5 Best Employee Salary Certificate Templates for MS Word

Companies and businesses function through the continuous efforts of their employees, who work tirelessly to make it run and progress. These employees are hired by the company over a long period of time and their number varies depending on the job required. There is different rank among employees based on the function and job description they hold at their workplace. Based on rank and work, salaries and allowances of employees are decided by the owners.

Employees working in a managerial positions get greater benefits as compared to assistants and interns. It is based on the role they play in the progress of the company. Most of the businesses structure their salary system in a manner that every employee is entitled to a bank account and salary is directly transferred to their accounts every month.

This system bypasses the chaos and problems that occur during manual salary distribution. Every employee is aware that their salary would be in their accounts by a specific date of every month. This is a hassle-free method used by many multinational companies.

Salary certificates are certificates awarded to employees and are essential documents for various purposes. These certificates are hard copy proof of their salaries in addition to the bank transfer.

Multinational companies have hundreds of employees working for them therefore, they cannot keep a tab on the manual salary distribution of every employee. These certificates are proof for the employee as well as their workplace.

Contents of salary certificates are basic and provide detailed information of the employee’s salary. The layout of a certificate is given below,

_____________
Signature of employee

It is to certify that Mr/Mrs. ______________ S/o, D/o, W/o of Mr. ______________ residing at ______________ is the permanent employee of __________________ (Department name). Pay allowances for the month of _________ (Year) are as follows.

Gross Salary

Basic Pay
Endowment fund
Medical Allowance
Miscellaneous
Gross Salary

Net Salary

EPF
Insurance
Home loan
Miscellaneous
Net Salary

The above-mentioned template provides a complete layout of an employee salary certificate. Important terms in the certificate are the Gross salary, dedications, and net salary of the employee. Different companies follow different rules of deductions based on the job description of the employee but with a few changes, all employees have a similar certificate.

Significance

Employee salary certificates can be used for various purposes. One of the major purposes is applying for a loan. A loan can be applied for buying property or car or any other materialistic object. Bank asks for assurance before signing off the loan. Employee salary certificates are provided to the bank as they observe if the person earns enough to pay the installments of the loan on time. The net salary mentioned on the certificate dictates their monthly earning and also notify their capacity to pay for the loan.

In addition, these certificates are also used to avail the medical facilities at the designated hospital. Companies provide the facility of medical allowance to their employee but within a limit and at the hospital which is referred by the company themselves.