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How long can a company take for full and final settlement?

Waiting for your F&F payment after resigning? Know what to write, the usual timeline in contracts and a clause that sets a fixed payment date.

The risky clause

Full and final settlement shall be processed within 60 to 90 days after the last working day, subject to clearances.

Why it is dangerous

A 60 to 90 day window without a date can leave your salary and leave encashment stuck. Check the contract and applicable labour rules for the timeline, and ask for a fixed date. If the delay is long, send a written reminder, then a legal notice. This is general information, not legal advice.

Safer clause to propose

The Company shall pay all earned salary, leave encashment and reimbursements within 30 days of the last working day, with an itemised statement.

Message to send

Subject: Full and final settlement

Dear [HR Name],

My last working day was [DATE]. Please share the F&F statement and confirm the payment date. If anything is pending from me, please tell me today. Regards, [Your Name]

Frequently asked questions

What is included in full and final settlement?

Usually pending salary, leave encashment, bonus due, reimbursements, and deductions for notice shortfall or advances.

What can I do if F&F is delayed?

Write to HR and your manager, keep records, escalate, and consider a lawyer's notice or the labour authority.

Related guides

• Do I have to repay my joining bonus if I resign?
• Can my employer ask me to repay relocation costs?
• Can HR deduct salary for notice period shortfall?
• Can I contact clients or colleagues after I resign?
• Is my employment NDA too broad?

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Not legal advice. ClauseRadar is an automated AI review tool, not a law firm. © 2026 ClauseRadar.