Comments on: First JobMob Pro Chat: Payroll Specialist Moshe Egel-Tal, July 15th 2008 http://jobmob.co.il/blog/chat-announcement-moshe-egel-tal/ JobMob is about bringing together job seekers and jobfinders to find jobs in Israel and all over the world. Our motto is "all together now." The blog is filled with straight-talking advice based on real world experience and lots of humor thrown in. Sun, 12 Feb 2012 07:16:16 +0000 hourly 1 By: Moshe http://jobmob.co.il/blog/chat-announcement-moshe-egel-tal/#comment-10944 Moshe Wed, 10 Sep 2008 14:14:20 +0000 http://jobmob.co.il/blog/chat-announcement-moshe-egel-tal/#comment-10944 I will try to simplfy the questions you raised: 1. The instances when an employee is entitled to severance pay are clearly defined in the labor laws: resigning after giving birth in order to take care of the baby and because of relocation to another country to join a spouse definitely entitle the employee to severance pay. 2. The payment of severance pay is within 30 days and the responsibility of the employer. The employer can pay through a severance pay fund of manager's pension plan that has a severance pay section. In either case the employer needs to issue a formal letter to the fund releasing the money accumulated (a copy must be sent to the employee) without this letter the employee will not be able to withdraw any funds from the account. 3. severance pay is tax free up to 10,500 shekels per year. the rest is taxable at the employee's tax bracket. the tax is deducted by whoever pays the severance pay (employer - thru the payslip or the fund) 4. monies accumulated in manager's accounts and pension plans can be withdrawn tax-free at retirement age. withdrawing the money beforehand is only possible if the account was designated as a capital account and not as a pension plan or if the account was started prior to the pension reform. check with your insurance agent or the policy if you are unsure. at any rate this option isn't advisable as it is taxable at 35% which in most cases is more than the accumulated interest earned. I will try to simplfy the questions you raised:
1. The instances when an employee is entitled to severance pay are clearly defined in the labor laws: resigning after giving birth in order to take care of the baby and because of relocation to another country to join a spouse definitely entitle the employee to severance pay.
2. The payment of severance pay is within 30 days and the responsibility of the employer. The employer can pay through a severance pay fund of manager’s pension plan that has a severance pay section. In either case the employer needs to issue a formal letter to the fund releasing the money accumulated (a copy must be sent to the employee) without this letter the employee will not be able to withdraw any funds from the account.
3. severance pay is tax free up to 10,500 shekels per year. the rest is taxable at the employee’s tax bracket. the tax is deducted by whoever pays the severance pay (employer – thru the payslip or the fund)
4. monies accumulated in manager’s accounts and pension plans can be withdrawn tax-free at retirement age. withdrawing the money beforehand is only possible if the account was designated as a capital account and not as a pension plan or if the account was started prior to the pension reform. check with your insurance agent or the policy if you are unsure. at any rate this option isn’t advisable as it is taxable at 35% which in most cases is more than the accumulated interest earned.

]]> By: Tal http://jobmob.co.il/blog/chat-announcement-moshe-egel-tal/#comment-10935 Tal Tue, 09 Sep 2008 21:22:13 +0000 http://jobmob.co.il/blog/chat-announcement-moshe-egel-tal/#comment-10935 Hello, My wife and myself had been living in Australia in the past 3.5 years. 1. General question- If an employee resign from his job and the employer did not ‘release’ his/her severance funds specifically, but those funds are in the ‘pool’ of the pension/manager fund, can the employee withdraw those funds after few years? What is the timeframe (30 days, 6 months, 1 year etc.) in which the employer who does not wish to release those funds needs to withdraw those funds in order that the employee cannot ‘touch’ those monies? 2. Are releasing of severance funds from the Manager fund after 3-4 years are taxed free? Or in order to receive tax free, you need to withdraw those funds within certain time after quiting/terminating the job? 3. My wife worked for first employer in Israel till 1995 and her severance money is still included in her Pension fund, is she able to withdraw those funds (she have a termination letter from that employer)? 4. My wife worked for 2nd employer from 1997 to 2002, she resigned from that employer 7 months after giving birth, is she entitled for the severance money in her manager fund? can she withdraw those funds from her manager funds free of tax today? 5. My wife worked at her 3rd employer between 2002 and 2005, 2 days after she resigned we moved to live overseas, is she entitled for her severance money from that employer free of tax? Hello,
My wife and myself had been living in Australia in the past 3.5 years.

1. General question- If an employee resign from his job and the employer did not ‘release’ his/her severance funds specifically, but those funds are in the ‘pool’ of the pension/manager fund,
can the employee withdraw those funds after few years? What is the timeframe (30 days, 6 months, 1 year etc.) in which the employer who does not wish to release those funds needs to withdraw those funds in order that the employee cannot ‘touch’ those monies?
2. Are releasing of severance funds from the Manager fund after 3-4 years are taxed free? Or in order to receive tax free, you need to withdraw those funds within certain time after quiting/terminating the job?
3. My wife worked for first employer in Israel till 1995 and her severance money is still included in her Pension fund, is she able to withdraw those funds (she have a termination letter from that employer)?
4. My wife worked for 2nd employer from 1997 to 2002, she resigned from that employer 7 months after giving birth, is she entitled for the severance money in her manager fund?
can she withdraw those funds from her manager funds free of tax today?
5. My wife worked at her 3rd employer between 2002 and 2005, 2 days after she resigned we moved to live overseas, is she entitled for her severance money from that employer free of tax?

]]> By: Israeli Salary and Labor Law Q&A with Moshe Egel-Tal | JobMob http://jobmob.co.il/blog/chat-announcement-moshe-egel-tal/#comment-10328 Israeli Salary and Labor Law Q&A with Moshe Egel-Tal | JobMob Wed, 13 Aug 2008 23:49:39 +0000 http://jobmob.co.il/blog/chat-announcement-moshe-egel-tal/#comment-10328 [...] The questions cover ageism, maternity leave, severance pay and overtime for part-timers. The answers are the result of followups to the JobMob Pro Chat with Israeli Payroll Specialist Moshe Egel-Tal. [...] [...] The questions cover ageism, maternity leave, severance pay and overtime for part-timers. The answers are the result of followups to the JobMob Pro Chat with Israeli Payroll Specialist Moshe Egel-Tal. [...]

]]> By: Moshe http://jobmob.co.il/blog/chat-announcement-moshe-egel-tal/#comment-10298 Moshe Sun, 10 Aug 2008 11:00:44 +0000 http://jobmob.co.il/blog/chat-announcement-moshe-egel-tal/#comment-10298 Abe - I would strongly suggest you seek legal counsel on this as it is not a labor law related question but more of a contract dispute issue. these things can be complicated, especially when there are unclear things not mentioned in the contract and each side sees it differently. all the best Moshe Abe – I would strongly suggest you seek legal counsel on this as it is not a labor law related question but more of a contract dispute issue. these things can be complicated, especially when there are unclear things not mentioned in the contract and each side sees it differently.

all the best

Moshe

]]> By: abe http://jobmob.co.il/blog/chat-announcement-moshe-egel-tal/#comment-10280 abe Thu, 07 Aug 2008 12:13:00 +0000 http://jobmob.co.il/blog/chat-announcement-moshe-egel-tal/#comment-10280 Firstly, I would like to thank you for taking the time to answer my question. That being said I would like to point out some details re my situation. This issue has only come up years after the contract was negotiated. The company paid these expenses directly to the vendors for two+ years. The consultance fee was not paid for technical reasons. Unbeknownst to me the company kept track of all these expenses ad then after years decided to deduct it fro my fees. The contract does not entio anything about expenses nor doesit say that the fee is the full compensation for the services rendered. The company deemed important incurring these expenses. these expenses ended up being app. 30% of the fee. I feel the company should be responsible for reasonable out of pocket expenses. Any more thoughts? Respectfully Abe Firstly, I would like to thank you for taking the time to answer my question. That being said I would like to point out some details re my situation. This issue has only come up years after the contract was negotiated. The company paid these expenses directly to the vendors for two+ years. The consultance fee was not paid for technical reasons. Unbeknownst to me the company kept track of all these expenses ad then after years decided to deduct it fro my fees. The contract does not entio anything about expenses nor doesit say that the fee is the full compensation for the services rendered. The company deemed important incurring these expenses. these expenses ended up being app. 30% of the fee. I feel the company should be responsible for reasonable out of pocket expenses. Any more thoughts?

Respectfully
Abe

]]> By: Moshe http://jobmob.co.il/blog/chat-announcement-moshe-egel-tal/#comment-10275 Moshe Wed, 06 Aug 2008 17:17:04 +0000 http://jobmob.co.il/blog/chat-announcement-moshe-egel-tal/#comment-10275 Anyone who does consultation should be able to raise issues like this prior to starting the job. everything should be above board and clear. Obviously, you shouldn't need to shoulder expenses related to consultation for a company, but there isn't really anything illegal here by them not paying expenses, especially since you stated that you have a contract with them.Some companies spend excessive amounts on concepts and consultation but are ,miserly with expenses even when they are peanuts in their budget. you should try to renegotiate the agreement with them. If they refuse to pay the expenses you should work with what you are given (in terms of budget) and don't shoulder company expenses. Anyone who does consultation should be able to raise issues like this prior to starting the job. everything should be above board and clear.
Obviously, you shouldn’t need to shoulder expenses related to consultation for a company, but there isn’t really anything illegal here by them not paying expenses, especially since you stated that you have a contract with them.Some companies spend excessive amounts on concepts and consultation but are ,miserly with expenses even when they are peanuts in their budget. you should try to renegotiate the agreement with them. If they refuse to pay the expenses you should work with what you are given (in terms of budget) and don’t shoulder company expenses.

]]> By: abe http://jobmob.co.il/blog/chat-announcement-moshe-egel-tal/#comment-10258 abe Mon, 04 Aug 2008 08:45:29 +0000 http://jobmob.co.il/blog/chat-announcement-moshe-egel-tal/#comment-10258 I have a consultant's agreement with a company. Nothing is mentioed in the contract with regard to out of pocket expenses. The compay paid all the expenses when the vendors billed them but now they deducted them when it came to paying the consultance fee.They say I'm not entitled because there is no allowance in the contract I have a consultant’s agreement with a company. Nothing is mentioed in the contract with regard to out of pocket expenses. The compay paid all the expenses when the vendors billed them but now they deducted them when it came to paying the consultance fee.They say I’m not entitled because there is no allowance in the contract

]]> By: Jacob Share http://jobmob.co.il/blog/chat-announcement-moshe-egel-tal/#comment-10087 Jacob Share Sun, 20 Jul 2008 18:38:11 +0000 http://jobmob.co.il/blog/chat-announcement-moshe-egel-tal/#comment-10087 Bena, here's Moshe's reply: "Hello Bena. This is a problem that is hard to work around because of the way employers in Israel do things. It is illegal by law to discriminate against workers or potential candidates because of their age. This is specifically listed in the wording of the law "Equal opportunities at work" law from 1988. (section 2 a) What you can do is file a complaint with the Ministry of Labor. Ask for the natziv ezori's (area commissioner) phone number and address. Make sure you have the name of the company, name of the person who interviewed you (even if it was via telephone) and the date and time. It is hard to prove as they can always make excuses and say that your other credentials didn't fit what they were looking for. Also even if the commission finds your claims valid - they will get a fine and probably continue. Know that this type of employer isn't a very serious one and you would probably be better off elsewhere anyhow." Bena, here’s Moshe’s reply:

“Hello Bena.
This is a problem that is hard to work around because of the way employers in Israel do things.

It is illegal by law to discriminate against workers or potential candidates because of their age. This is specifically listed in the wording of the law “Equal opportunities at work” law from 1988. (section 2 a)

What you can do is file a complaint with the Ministry of Labor. Ask for the natziv ezori’s (area commissioner) phone number and address. Make sure you have the name of the company, name of the person who interviewed you (even if it was via telephone) and the date and time.

It is hard to prove as they can always make excuses and say that your other credentials didn’t fit what they were looking for. Also even if the commission finds your claims valid – they will get a fine and probably continue. Know that this type of employer isn’t a very serious one and you would probably be better off elsewhere anyhow.”

]]> By: Jacob Share http://jobmob.co.il/blog/chat-announcement-moshe-egel-tal/#comment-10029 Jacob Share Tue, 15 Jul 2008 17:42:01 +0000 http://jobmob.co.il/blog/chat-announcement-moshe-egel-tal/#comment-10029 Ezra, I was planning on having a transcript but in the end it wasn't possible. Strangely enough, both Moshe and I had technical difficulties that disrupted the chatting. I kept getting disconnected from the chat room and Moshe couldn't connect at all, although everyone in the chat room wasn't experiencing any of these issues. We decided that I would forward all questions to Moshe and he'll respond asap. If people are open to it, I will post the questions and answers here on JobMob. Ezra, I was planning on having a transcript but in the end it wasn’t possible.

Strangely enough, both Moshe and I had technical difficulties that disrupted the chatting. I kept getting disconnected from the chat room and Moshe couldn’t connect at all, although everyone in the chat room wasn’t experiencing any of these issues.

We decided that I would forward all questions to Moshe and he’ll respond asap. If people are open to it, I will post the questions and answers here on JobMob.

]]> By: Ezra Gilbert http://jobmob.co.il/blog/chat-announcement-moshe-egel-tal/#comment-10028 Ezra Gilbert Tue, 15 Jul 2008 17:26:39 +0000 http://jobmob.co.il/blog/chat-announcement-moshe-egel-tal/#comment-10028 Is there a transcript of the chat available? Thanks, Ezra Is there a transcript of the chat available?

Thanks,
Ezra

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