Mynd Solutions Pvt. Ltd. Official Blog

Thursday, April 2, 2015

Changes in KARNATAKA Shops and Commercial Establishment Compliances

INDIA STATUTORY COMPLIANCE NEWS

Karnataka Minimum Wages and revised VDA details for Shops and Commercial Establishment effective from 1st April 2015 to 31st March 2016.

Improving Profitability with Mynd's Finance & Accounting Services..

Improve your bottom line with Mynd’s finance and accounting outsourcing solutions, built to achieve high-performance business results

Ongoing pressures to optimize business performance have prompted many finance executives to look for new approaches, including outsourcing finance & accounting functions of the organization. Financial organizations worldwide are facing the impact of higher volatility, uncertain business as well as regulatory and socio-political environments putting pressure on them to make their bottom-line more predictable and sustainable. Chief Financial Officers (CFO) of leading organizations are leveraging finance and accounting outsourcing as a strategy to change their operating models.

Mynd integrates domain expertise, global delivery network and technology solutions to assist clients in identifying, transitioning, transforming, executing and continuously adding value to finance and accounts outsourcing processes through a low-cost BusinessProcess Outsourcing (BPO) services model; without compromising on quality and compliance. We believe in delivering the right information at the right time! We provide our clients managed Finance and Accounting Outsourcing Services at the lowest possible costs so that they can focus on their core business activities while saving a significant amount of overhead costs as well. We are offering Accounting Outsourcing Services globally and provide tailor-made solutions to our clients.

Mynd Solutions provides best solutions for outsourcing your Finance& Accounts outsourcing requirements. The services offered aims to meet client's business objectives as well as cost-optimization goals. We deal with global clients and provide customized solutions for many industries namely Telecom, Retail and e-Commerce, BFSI, Infrastructure, Healthcare etc. Reduction in operational costs has helped our clients' boost their business. We provide great control over finances, which in turn enhance profits of the company.

Thursday, March 5, 2015

The Advantages of Outsourcing Bookkeeping for Small Business Owners

The Advantages of Outsourcing Bookkeeping for Small Business Owners

The advent of the Internet era has changed the way in which businesses are conducted. The Internet has enabled our Businesses to run smoothly and become more profitable by enhancing relationship management and real-time connectivity.

Bookkeeping is a critical business piece for all small to mid-sized businesses & companies. Outsourcing this activity can be a big reliever and facilitate seamless operations for businesses:

Primary advantages of outsourcing Bookkeeping Operations to Mynd:

· Expertise at a Lower Cost: Outsourcing offers companies a good way to have full-time expert devoted to managing your books without requiring paying them a full-time salary. This helps companies not just to save money but also enhance their efficiency levels by leaps and bounds.

· Money Savings: Outsourcing bookkeeping operations can help with enormous money savings as compared to sustaining a full time In-House Accounting team. Opportunity and Lost Productivity Costs are negligible while outsourcing your business functions as compared to hiring a third party vendor.

· Time Savings. Outsourcing bookkeeping processes helps free the management’s valuable time which could be utilized in organizational development & strategic activities. Administering your Backend office functions is a potential time waster and adversely affects company growth and progress.

· Higher Resource Allocation & Focussed Staff. When a backend task like Bookkeeping is restricted to In-house, usually one resource is allocated and hence the process can be prone to errors. However, usually an outsourcing company allocates a team of resources to one particular task and thereby the chances of errors substantially decrease. This also drives more focussed staff and dedicated resources.

· Ease and Scalability. Growth in business or cut backs all are accountable when it comes to outsourcing. Outsourcing offers the option of flexibility and scalability which can help companies adapt as per changing time & business requirements.

· Access to Top of the line Technology and Systems. Bookkeeping outsourcing enables companies to access the latest state-of-the-art technology and tools through their vendors, without having to bother paying for dynamic technology up gradations. It is challenging for small business owners to afford these rapid changes in technology and also be informed about any upcoming revisions in regulations and laws.

Reduction in rate of Admin Charges on PF/EDLI contributions

We are forwarding herewith copies of two Notifications bearing No. S.O.323(E) dated 2nd February, 2015 and 324 (E) dated 2nd February, 2015 issued by Government of India, Ministry of Labour and Employment New Delhi.

Note: The above mentioned two notifications relate to un- exempted establishments i.e. establishment to which EPF Scheme , 1952 applies. These notifications do not apply to exempted/relaxed establishments which are required to pay inspection charges in place of administrative charges. Similarly notification relating to payment of administrative charges on EDLI contribution apply to only such establishment which report compliance of EDLI , Scheme, 1956 to RPFC concerned. In other words the said notification does not apply to those who subscribe to group insurance policy obtained from an approved insurer.

The following table shows the changes brought about through these notifications:

A. Notifications bearing No. S.O.323 (E) dated 2nd February, 2015, effective from 1^st January 2015
Sr. No	Existing Provisions	Revised Provision	Impact
(i)	The rate of administrative charges payable under para 38 of the EPF Scheme,1952 at present is @1.10% of the pay (basic wages, dearness allowance, retaining allowance, if any, and cash value of food concessions admissible thereon	This rate has now been reduced to 0.85% of the pay (basic wages, dearness allowance, retaining allowance, if any, and cash value of food concessions admissible thereon)	Thus , as a result of the issue of present notification, the liability of an employer towards payment of such administrative charges shall stand reduced except in cases of smaller establishments who were required to pay the administrative charges @ 1.10% of pay of the members employed by them amounting to rupees less than Rs. 75/- per month in case of non-functioning establishment having no contributing member and Rs. 500/- per month per establishment for other establishments.
(ii)	No minimum amount was prescribed for payment of such charges	A minimum sum of Rs. 75/- per month for every non-functional establishment having no contributory member and Rs. 500/- per month per establishment for other establishments.
B. Notifications bearing No. S.O. 324 (E) dated 2nd February, 2015 ,effective from 1st January 2015
Sr. No	Existing Provisions	Revised Provision	Impact
(I)	The rate of payment of administrative charges on EDLI contribution was prescribed @ 0.01% of aggregate of the basic wages , dearness allowance(including cash value of food concession ) and retaining allowance if any payable by the employer in relation to his employees	This rate remains the same	The liability of the employer towards payment of such charges has now gone up in cases of establishments who were paying such charges amounting to less than Rs. 25 per month in case of non-functional establishments having no contributory members and less than Rs. 200 per month per establishment in case of other establishments.
(ii)	The minimum amount payable towards such charges was fixed earlier as Rs.2/- per month vide notification No . S.O 237 dated 11th Jan 1989	This minimum amount has now been enhanced to Rs 25 per month for every non-functional establishment having no contributory member and Rs. 200 per month per establishment for other establishments