Offboarding
FNF Full Form: Full and Final Settlement
Full and Final Settlement (FNF) is the process of reconciling all amounts due when an employee leaves an organisation.
In simple terms
It can cover unpaid salary, leave encashment, reimbursements, deductions, recoveries and applicable bonus or incentive payments. A clear exit checklist and records of assets, access and handover make the process easier to complete accurately.
Example
After an employee's LWD, payroll calculates pending salary and leave encashment, then adjusts an outstanding advance before settlement.
Frequently asked questions
When is FNF processed?
Timing depends on the employer's policy and applicable rules, often after the employee's last working day.
What is included in FNF?
It can include final salary, leave encashment, reimbursements and authorised deductions or recoveries.