Chartered Accountant | GST | Audit | Taxation | Transfer Pricing | ROC Compliance |
The Government now Pays you to Keep Interns in your Company... I've been reading about the National Apprenticeship Promotion Scheme (NAPS) of the Ministry of Skill Development and Entrepreneurship (MSDE)... and this scheme has two core financial benefits: 👉🏼 1. Government reimbursing 25% of prescribed stipend back to the employer, subject to a maximum of Rs. 1500/- per month per apprentice; and 👉🏼 2. Reimbursement of basic training cost up to a maximum of Rs. 7,500 per apprentice calculated as Rs 15 per hour for up to a maximum of 500 hours... Such Basic Training usually is 20-25% of the duration of the overall Apprenticeship Programme However, the Stipend needs to be a minimum of 70% in the first year, 80% in the second year, and 90% in the third year of minimum wages in the semi-skilled category in the concerned state... Plus, the apprentice must have an Aadhaar Card. So, if the Minimum Wage in your state is Rs 17,000 then the stipend should be Rs 11900 (Y1), Rs 13600 (Y2) and Rs 15300 (Y3) out of which you get back Rs 1500 per month from the government, so final cost turns out to be Rs 10400 (Y1), Rs 12100 (Y2) and Rs 13800 (Y3). An online portal at www <dot> apprenticeshipindia <dot> gov <dot> in has been set up to administer the entire process online, and full user guides on how to register as an Establishment, hire listed apprentices, and make payroll to them are given. All Establishments having a workforce (regular and contract employees) of 30 or more are mandated to undertake Apprenticeship Programs in a range from 2.5% -15% of its workforce (including contractual employees) every year. While I've never hired interns through under this scheme, I'm really intrigued to check this out and register just to see how the government is administering this. If any establishment is already using this scheme, would love to know insights. ********** That’s my insincere intern smile. #casandipmarkad #India #schemes
I'll keep this in mind