Comprehensive
Actuarial &Employee
Benefits Solutions for Businesses
Mithras Consultants is an independent actuarial and insurance consultancy firm providing qualitative financial and insurance solution to its clients. Our goal is to provide business solution customized to client‘s need to help our clients make the best possible decisions on their financial, insurance and risk management programs. Our team has a combined experience of over 2 decades that spans into areas of Pricing ,Valuation, Investments, Risk Management etc in Insurance in general and actuarial in specific.
Years of trusted experience
Serving Clients from all over the world with our actuarial expertise.
We are providing our services since 2015, with 70+ years of cumulative team experience.
Well Documented reports with complete disclosures and analysis.
We provide draft reports within 2 working days of data received.
We have clients from all kinds of industry like FMCG, Manufacturing, IT, Educational Institutions, Automobiles, Pharmaceuticals etc
Solving all the auditors queries over call or Video meeting and making necessary changes as required.
In India, Gratuity benefits are payable as per Payment of Gratuity Act, 1972. The Act defines the level of benefits payable to an employee.
As per Payment of Gratuity Act, 1972, Gratuity payment is payable to an employee only after completion of 5 years of continuous service at the time of termination, resignation, or retirement… Read More
The Institute of Actuaries of India has introduced a new Actuarial Practice Standard (APS) on Employee Benefits (APS 27) (the “Standard”), which applies to all actuarial work relating to employee benefits effective 01-Jan-2018. This is a principle-based standard that’s aims to strengthen actuarial work/valuation related to… Read More
An actuarial valuation is a critical financial assessment conducted for employee benefit plans, particularly those offering retirement benefits. It provides a snapshot of the plan’s financial health at a specific point in time.
Through a series of calculations and assumptions, actuaries estimate the plan’s ability to meet its future obligations to participants. This process involves determining the plan’s liabilities, which is the present value of all future benefit payments promised to employees… Read More
Life insurance provides financial security and peace of mind by protecting policyholders and their families against unforeseen events. It ensures timely financial support through well-defined products tailored to clients’ needs. With our extensive expertise in actuarial processes, we specialize in product pricing, compliance, and documentation in alignment with IRDAI regulations. At Mithras Consultants, we deliver reliable solutions backed by industry experience and a commitment to excellence… Read More
Mithras Consultants is an independent actuarial and insurance consultancy firm providing qualitative financial and insurance solution to its clients. At Mithras, we take pride in providing detailed and clear actuarial solution.
Complete adherence to regulatory principles and professional guidelines is at the heart of each financial activity we carry at Mithras. Actuarial Services are best provided.
Comprehensive communication with client to understand their financial situation and to be able to deliver actuarial solution tailored to the financial needs of the client.
The Gratuity Act 1972, describes that the gratuity is payable to an employee after completing 5 years of vesting period in case of resignation, termination or retirement. However, the provision shall be done as per the accounting standard even if the Company has not completed 5 years of operations. As per Para 72 of Ind AS 19/ Para 70 of AS 15, Gratuity Provision shall be made even for service of less than 5 years.
Payment of Gratuity Act applies to your company if you have more than 10 employees. All companies having 10+Employees need to make Provision for Gratuity as per Actuarial Valuation method Projected Unit credit method (PUCM) to comply with AS15/ Ind AS19.
No, the actuarial valuation is not required for short-term benefits. In case, the benefit paid after 12 months, the actuarial valuation is needed as per AS 15 R / IND AS 19 accounting standard.
For SMC, the actuarial valuation is required but detailed disclosures are exempted.
Para 78 of AS 15 states that the rate used to discount post-employment benefit obligations (both funded and unfunded) should be determined by reference to market yields at the balance sheet date on government bonds. Similarly, IND AS 19 also prescribe to refer government bond yield to set discount rate. In order to set the discount rate, its critical to keep currency and term of the bonds to be consistent with liability duration.
In India, currently there are no regulations to keep fund to back the gratuity provision calculated by an Actuary. However, it is always encouraged to keep fund in order to pay off liabilities on time and to avoid/reduce interest rate and reinvestment risk. Further, there are tax advantages for funding.
There are three key factors which shall be considered to set attrition assumption: a) Company’s recent attrition experience in last 2-3 years b) Industry experience of employee attrition c) Management view on future attrition.
Even if the plan is funded and managed by an Insurance Company, still the Company need to get a separate actuarial valuation done. The reason being that an insurance company does not provide complete disclosures as required by accounting standard regulations and sometimes the assumptions are not fair and inconsistent with Company’s own experience.
Common Mistakes Companies Make in Gratuity and Actuarial Valuations Most companies don’t get gratuity or actuarial valuations wrong because they’re careless. They get it wrong because these liabilities don’t scream for attention. They sit quietly in the background, until something …
The Role of Warranty Valuation in Accurate Financial Reporting For many businesses, warranties are seen as a sales tool, something that builds customer confidence and closes deals. But once the sale is done, warranties quietly shift from being a promise …
How Actuarial Valuation Impacts Long-Term Employee Benefit Planning Employee benefits are often discussed in terms of policies and payouts. But in reality, they are long-term promises—promises that stretch across years of service, salary changes, and workforce growth. For organisations that …
Gratuity Valuation vs. Provisioning: Are Companies Getting It Right? For growing organisations, employee benefits can be one of the trickiest areas to manage. Among these, gratuity often creates confusion. Many companies know they need to account for it, but how …
Understanding Actuarial Valuation: What Every CFO and HR Leader Should Know For most CFOs and HR leaders, financial decisions are no longer limited to salaries, incentives, or monthly cash flows. Today, leadership roles demand a deeper understanding of long-term obligations, …
Growth is exciting. New hires, expanding teams, better revenues, bigger ambitions. But behind every growing organisation is a quieter responsibility, planning today for obligations that will mature tomorrow. One such obligation that many businesses underestimate until it becomes unavoidable is …
Section 1: Introduction The Government of India has announced that the four Labour Codes – The Code on Wages, 2019, The Industrial Relations Code, 2020, The Code on Social Security, 2020, and The Occupational
Leave is more than just a break from work. For employees, it is a right. For employers, it is an obligation. When companies promise leave encashment or carry-forward benefits, they create a
Employee Stock Option Plans (ESOPs) are no longer just a corporate buzzword. They have become a powerful tool to reward, retain, and motivate employees. Employees often view
Retirement is one of the most important financial milestones in life. People often ask, how will they manage their expenses after regular income stops? Pension schemes answer this
Gratuity is one of the most important employee benefits in India. Employers use it as a way to recognise long service and loyalty. Employees often see it as financial security after years of
Gratuity is more than just a legal requirement. It is a gesture of appreciation that rewards long-term employee loyalty and service. For employers, managing this obligation is not always
Gratuity is more than just a financial benefit. It is an employer’s way of showing gratitude for years of loyal service. But have you ever wondered how companies calculate this amount? The answer lies in something known as
When it comes to employee benefit valuation, many businesses focus solely on numbers. But smart organisations know that behind those numbers lie assumptions, and when those assumptions shift, so does the outcome. That is where sensitivity analysis plays a crucial …
Employee benefit valuations are not just about crunching numbers. They are about understanding people, predicting futures, and preparing your organisation financially. At the centre of these valuations lie actuarial assumptions – the invisible forces that shape the outcome. Now you …
Leave liability may seem like a routine number on your balance sheet. But is it really? Let us pause and reflect. When employees accumulate unused leave, your organisation incurs a hidden financial obligation. This often gets overlooked until it becomes …
Every business leader knows this – statutory audits are not optional. But have you ever paused to ask why gratuity valuation is such a big part of it? At first glance, it might seem like just another compliance item. But …
Ever felt lost trying to understand the fine print in employee benefit accounting? You are not alone. Most business owners, finance professionals, and even HR heads often scratch their heads over one critical subject – gratuity valuation. And when terms …
Have you ever thought about what happens when an employee retires after years of loyal service? They deserve more than just a farewell cake. They deserve gratitude in the form of gratuity. But here’s the catch – calculating it isn’t …
The moment an employee steps into your organisation, a silent financial contract
In today’s competitive business environment, your most valuable asset isn’t the product
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