Learn how to process a Full and Final (FnF) settlement in KekaHR. Ensure accurate payroll calculations, gratuity, leave encashments, and final payments seamlessly.
Whenever an employee leaves an organization, it's essential to settle their payments and deductions to avoid pending dues from either side. The Full and Final Settlement (F&F) in Keka helps streamline this process by breaking the whole process down into various steps.
TABLE OF CONTENTS
So, let's take an example of an employee who has submitted their resignation and see how their F&F settlement process works.
Begin by navigating to the Org(1) section and selecting the Exits(2)tab. Within this tab, proceed to the Exit process(3), and go to Exits in Progress Phase(4). This section displays a comprehensive list of all employees whose resignations have already been accepted.
To start the settlement process for an employee, select the "Manage(5)" option found in the Actions column. This will bring up a window that presents a summary of all exit actions, along with a detailed Finances section for your review.
This will open a side window, choose the Finances(1) section here.
Finances Section (1)
Before proceeding to the Finances section, ensure that all other sections have been completed and any outstanding tasks have been addressed.
For a detailed understanding of the Full and Final Settlement (F&F) process, please follow this guide before proceeding with the settlement.
Please ensure that the Payroll for the employee has been processed and locked prior to initiating the F&F settlement. This step is crucial for a smooth settlement process.
To begin, click Review & Finalise(2).
This will take you to the Review and finalise payables window.
PAYABLE COMPONENTS - Page 1
You will have a list of all Payable components along with other information.
Asset – You can find the details of Asset damage charges here along with the status. 
Leave – Here you can find, LOP reversals, Overrides, Arrear LOP, and Leave Encashments. You can make necessary adjustments here. You can also configure their Leave Encashment settings in this section. You have the option to choose an Encashment policy or override the calculation generated by the system. Additionally, you can decide to either pay or void the amount by selecting the appropriate option from the Pay Action drop-down menu.
Attendance – here you can find overtime payments due, and shift allowances due if there are any.
Salary - here you can find Previous Salary Arrears, Salary revision, Bonuses due, Earned Bonuses due. 
Reimbursements & Expenses - here you can find Component claims, Expense Claims, Advance requests, Pending receipt submissions, and Advance settlements. 
Others - here you can find Notice period buyouts, Gratuity, One-time payments & Reimbursements, Any other settlement amount, Loans, Contribution overrides, and Tax overrides. 
Once you have cleared all this you can click Save & Next. 
Finalise - Page 2
During the Finalize step, you have the choice between opting for a One-time Complete Settlement or a Periodic Partial Settlement. You can switch between these options by clicking on the Change Settlement Mode button(1).
Then click on Yes, Continue in the next window.
If you opt for a One-time Complete Settlement, you have the option to review the settlement amount and download the comprehensive calculation summary by clicking on the Download F&F Statement button(1).
you can choose what to do with the settlement status from the dropdown, you can either Pay it, Void it or mark it as Already Paid(2). If you decide to pay, you will need to select the Settlement Month(2) and then click on Finalise(3) which will cause a prompt to appear where you will need to click on Confirm to complete the process.
If you opt for a Periodic Partial Settlement, You will have the option to settle payables/deductions across multiple months.
To do that click on Manage against the respective section. 
and then you can choose a settlement status, either Pay it, Void it or mark it as Already Paid(1). If you decide to pay, you will need to select the Settlement Month and then click on Save(2).
after reviewing the details, click on Finalise(3) which will cause a prompt to appear where you will need to click on Confirm to complete the process.
That concludes the Full and Final Settlement (F&F) process in Keka. By Following these simple steps, you can ensure a hassle-free and efficient exit process for your employees. And if you ever need to make any changes after this, you can come back here and update it or even change the settlement month.
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