When an employee is retired from Govt service on the basis of Encashment, the encashment of leave is due for the said employee. This encashment is granted to the employee on the leaves in his/her credit not exceeding to 365 days according to new rules of encashment of 2012. The greater the number of leaves in his/her credit the more encashment he/she will get.

An employee can avail encashment after the minimum service of 30 years or the employees can avail encashment at the age of 60 years. The pay is calculated that he/she was being drawn during the period of last days i.e if an employee has 200 days leave in his/her credit then the pay of last 200 days is calculated for the encashment purpose. The formula for the purpose of calculating encashment of leave is as under:

Basic Pay x 5.918 x Leaves in credit/180

Note this formula is before the revision of leave encashment from 180 to 365 days. New formula will soon be replaced.

How to Calculate Leave Encashment manually

I will illustrate you with example that how to calculate the leave encashment manually. Suppose a person has 60 days leave in his/her credit at the time of retirement. He/she retired on 08/01/2013 with basic pay Rs. 15000 while his/her pay was 13000/- before 1^st December 2012. We will go back 60 days from 08-01-2013 in this way and will make the calculation of encashment in this way:-

Don’t Miss: Notification of Encashment of Leave 2012

Sindh Govt has also issued the Notification No. S.R.O 70 (KE)/2012 dated 1^st September 2012 regarding the amendment in Encashment Preparatory to Retirement. Before the issuance of this amendment the Leave Encashment was granted for 180 days and now according to this notification the employees getting leave encashment will avail the benefit of 365 days leave encashment instead of 180 days.

According to this notification if an employee has 365 days or more leaves in his/her credit he will avail encashment of 365 days and in the same way if he/she has 230 days leaves in his/her credit he/she will avail encashment of 230 days.  It means the number of leaves in his/her credit the same number of days leave encashment is entitled to him/her.

Before this notification the numbers of leaves were halved for the purpose of leave encashment. (A Post by ATIQURRAHMAN KAIMKHANI)

Many of the employees even don’t know the difference between LPR and Leave Encashment and they asked me about the same by sending me emails and by the comment. It is fact when an employee enters into Govt service he/she is not aware of many terms of job service and service rules. Do you know the difference between the said terms? If you know the difference it is great and if you not know the same today I will explain you the difference between the two with detail.

LPR & Leave Encashment

LPR and Leave Encashment are both the types of retirement options. LPR means leave preparatory to retirement and leave Encashment is the amount that is paid to the employee in return of the leaves in his/her credit at the time of retirement. In LPR the employee enjoys leaves instead of cash amount of Leaves while in Leave Encashment the employee enjoys the payment instead of availing leaves.

When an Employee can avail LPR and Leave Encashment?

A government servant can avail LPR after a continuous service of at least 25 years while he/she can avail Leave Encashment after a continuous service of at least 30 years. When an employee retires on the basis of Medical Basis he/she will also get the Leave Encashment of his/her leaves in credit. In this case at least nine and half years service is compulsory. The same is in the case of death during service.  Most of the employees prefer to retire at the age of 60 years on attaining the age of superannuation as they see they have no alternative source of income for them and their family.

Benefits of LPR and Leave Encashment

During LPR a government servant is on leave before his/her retirement. Suppose a government servant has 265 days leave in credit then after availing the leaves of 265 he will be retire from Govt service. He/she avails about all the pay and allowances except conveyance allowance during the period of LPR while in the case of Leave Encashment the employee serves the department till the date of retirement. The government servant gets all the pay and allowances as well as the payment in return of leaves in the credit. This payment depends on the number of leaves in his/her credit. Suppose the basic pay of an employee is 30,000 and he/she has 210 days leaves in the credit then he/she will get about Rs. 210,000/- as Leave Encashment.

I have discussed the major points on the said topic and it is on you that which benefit you want to avail.

Govt of the Punjab Finance Department has issued Notification No. FD-SR-II/2-141/2012 dated 9^th September 2013 in connection with the Leave Encashment for 365 days instead of 180 days. Earlier the benefit of leave encashment for 180 days was granted to the employee who retired on Leave Encashment basis and now the employees retiring on leave encashment bases would get the benefit of 365 days leaves.

Federal Govt of Pakistan has already issued the Notification of Leave Encashment for 365 days and now the Punjab Govt has also adopted the Notification No. S.R.O.70 (KE)/2012 dated 29^th August 2012 issued by Finance Division Regulation Wing Islamabad. This post is delivered by Mr. Faisal Queshi.

The post Notification Copy of Revised Leave Encashment for 365 Days Punjab Govt appeared first on Galaxy World.

Leave Encashment has been revised vide the Finance Division Regulation Wing No. S.R.O 70/(KE)/2012 dated 29^th August 2012. According to new rules the employees going on retirement and getting the benefit of Encashment will now avail the benefit of 365 days instead of 180 days.

Here is to mention that the employees availing the benefit of Encashment of maximum 180 days on retirement before this notification but now they can avail the benefit of 365 days leave if they have these leaves in credit.

The post Leave Encashment Revised appeared first on Galaxy World.

When an employee is retired from Govt service on the basis of Encashment, the encashment of leave is due for the said employee. This encashment is granted to the employee on the leaves in his/her credit not exceeding to 365 days according to new rules of encashment of 2012. The greater the number of leaves in his/her credit the more encashment he/she will get.

An employee can avail encashment after the minimum service of 30 years or the employees can avail encashment at the age of 60 years. The pay is calculated that he/she was being drawn during the period of last days i.e if an employee has 200 days leave in his/her credit then the pay of last 200 days is calculated for the encashment purpose. The formula for the purpose of calculating encashment of leave is as under:

Basic Pay x 5.918 x Leaves in credit/180

Note this formula is before the revision of leave encashment from 180 to 365 days. New formula will soon be replaced.

How to Calculate Leave Encashment manually

I will illustrate you with example that how to calculate the leave encashment manually. Suppose a person has 60 days leave in his/her credit at the time of retirement. He/she retired on 08/01/2013 with basic pay Rs. 15000 while his/her pay was 13000/- before 1^st December 2012. We will go back 60 days from 08-01-2013 in this way and will make the calculation of encashment in this way:-

Don’t Miss: Notification of Encashment of Leave 2012

The post How to Calculate Encashment of Leave Preparatory to Retirement? appeared first on Galaxy World.

Govt of the Punjab, Local Govt & Community Development Department (ADMN-III SECTION) has issued Notification No. SO.ADMN.III(LG)1-36/2004(P) dated 27^th November 2013 in connection with the Leave Encashment for 365 days instead of 180 days.

In this Notification with reference to the Notification No. FD-SR-II/2-141/2012 dated 09-09-2013 issued by the Finance Department Punjab,  it has been mentioned to adopt mutatis mutandis the grant of leave encashment of 365 days of civil employees of Punjab Government wef the 1^st day of September 2013 to the employees of erstwhile local councils on the same terms and conditions as mentioned in the above said notification.

Here it is to mention that the Notification of Leave Encashment by Federal Government, in the same way Notification of Leave Encashment by Punjab Govt as well as Sindh Govt has already issued the Notification regarding Leave Encashment for 365 days instead of 180 days.

The post Notification of Leave Encashment for 365 Days by Local Govt & Community Development Department appeared first on Galaxy World.

Azad Government of the State of Jammu & Kashmir,Finance Department has also issued the Notification No. FD/R/17898-17970/2013 dated 31^st October 2013 in connection with the  instead of 180 days for the Govt employees of Azad Jammu & Kashmir.

In this Notification, the Notification No. FD-SR-II/2-141/2012 dated 09-09-2013 issued of Leave Encashment for 365 days by the Punjab Govt has been adopted.

According to this Notification amendment has been made in Rule 17 of the Revised Leave Rules 1983. Now the employees of AJK will also enjoy 365 days leave encashment instead of 180 days. It means if an employee has 200 leaves in his credit at the time of retirement he will get basic pay of 200 days and if he has 365 days leave in his credit then he will get 365 days basic pay.

Here is to mention that I have already published a post in connection with “How to Calculate Leave Encashment” for the info of all the employees.

This post has been delivered by Mr. Ansar Ali Khan.

The post Notification of Leave Encashment for 365 Days for AJK Employees appeared first on Galaxy World.

Government of the Punjab Finance Department has issued Notification No. FD.SR-II/2-141/2012 dated 11^th April 2014 in connection with Leave Encashment for 365 Days instead of 180 Days.

It is to explain here that Punjab Govt has already issued Notification No. FD.SR-II/2-141/2012 dated 9^th September 2013 Regarding Leave Encashment for 365 Days for general cases but this Notification is related to the employees who die during service or incapacitated for further service due to Medical Grounds.

The earlier Notification issued was related to Rule 18 and this one relates to Rule 19. The word “One Hundred & Eighty” have been replaced with “Three Hundred & Sixty Five” in Rule 19.

The post Notification of Leave Encashment for 365 Days-Punjab Govt appeared first on Galaxy World.

When an employee is retired from Govt service on the basis of Encashment, the encashment of leave is due for the said employee. This encashment is granted to the employee on the leaves in his/her credit not exceeding to 365 days according to new rules of encashment of 2012. The greater the number of leaves […]

The post How to Calculate Encashment of Leave Preparatory to Retirement? appeared first on Galaxy World.

Leave Encashment has been revised vide the Finance Division Regulation Wing No. S.R.O 70/(KE)/2012 dated 29th August 2012. According to new rules the employees going on retirement and getting the benefit of Encashment will now avail the benefit of 365 days instead of 180 days. Here is to mention that the employees availing the benefit […]

The post Leave Encashment Revised appeared first on Galaxy World.