Account Opening and Payment Procedures

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Questions and Answers

Match the following account types with their descriptions:

Commercial Banks = Provide a range of financial services to individuals and businesses Regional Rural Banks = Focus on rural areas to support agriculture and development Post Offices = Serve as points for savings and postal services Mobile Banks = Offer banking services through mobile applications

Match the following roles in the Payment Committee with their responsibilities:

GP Head/Sarpanch = Leads the Payment Committee meetings GP Member = Represents the ward where works have been executed Women SHG Members = Encourages female participation and insight School Headmaster/Teacher = Assesses educational impact in the community

Match the following time frames with their corresponding contexts in wage disbursement:

Weekly Disbursement = Payments made after each week of work is done Fortnight Disbursement = Payments made not later than two weeks after work Post-Verification = Payments made after assessing muster rolls and site measurement Prior Intimation = Notification required to the Ministry before cash payments

Match the following wage equality principles with their descriptions:

Equal Remuneration Act, 1976 = Ensures equal pay for men and women Non-Discrimination = Prohibits wage differences based solely on gender Verification Process = Involves validating worker efforts and hours through muster rolls Inclusivity in Payments = Guarantees representation of SC/ST and women in disbursement Signup and view all the answers

Match the following entities responsible for generating pay orders with their contexts:

Districts = Must generate pay orders if not using e-FMS Blocks = Required to verify work before disbursing wages GPs = Need to ensure security during cash payment processes Payment Committee = Facilitates monitoring the payment procedure Signup and view all the answers

Match the following payment systems under Mahatma Gandhi NREGS with their key characteristics:

e-FMS = Electronic payments using NEFT/RTGS/ECS/APBS PFMS = Routing e-payments through Fund Transfer Orders Ne-FMS = Central sector scheme for wage component NREGASoft = Interface with Bank’s Core Banking System Signup and view all the answers

Match the following activities required by State Government for e-FMS use with their descriptions:

Identification of Key Bank(s) = Determining banks for seamless payment Issuance of Digital Signatures = Authorization for approving payments Training on Digital Signatures = Educating signatories on usage Coordination with Key Bank(s) = Synchronizing NREGASoft with banks Signup and view all the answers

Match the components of a pay slip with their descriptions:

Wage rate = Payment amount per hour/daily Work ID = Unique identifier for the employee Number of days worked = Days the individual has worked in a period Man days completed = Total labor days accomplished per household Signup and view all the answers

Match the following terms related to fund management with their meanings:

DBT = Direct Benefit Transfer FTO = Fund Transfer Order MoU = Memorandum of Understanding ECS = Electronic Cash Transfer method Signup and view all the answers

Match the following enabling structures for payment systems with their purposes:

e-FMS = Reduces delay in payments Ne-FMS = Streamlines fund flow system PFMS = Registers accounts for fund releases Digital Signatures = Ensures secure payment approvals Signup and view all the answers

Study Notes

Account Opening and Payment Procedures

Wage seekers can open accounts in various financial institutions, including commercial banks, regional rural banks, and post offices, based on convenience.
The Mahatma Gandhi NREGS Job Card, signed by a relevant officer, is required to officially open an account.
Cash payments may be permitted in areas with limited banking infrastructure, subject to prior notification to the Ministry and State Government approval.
A Payment Committee is formed by the District Program Coordinator to oversee cash payment processes, including video recording for security.

Payment Committee Composition

The Payment Committee consists of:
- GP Head/Sarpanch or Traditional Tribal Head.
- GP member from the executing ward.
- Two women from Self-Help Groups (if applicable).
- At least three Mahatma Gandhi NREGA workers, including at least one woman and one from SC/ST.
- School headmaster or teacher.

Wage Disbursement Guidelines

Wages must be disbursed weekly or within a fortnight of work completion.
Equal wages for men and women are mandated, adhering to the Equal Remuneration Act of 1976.
Wage payments require verification of muster rolls and onsite measurement of completed tasks.

Pay Order Generation

Non-e-FMS districts need to generate pay orders manually.
Pay orders must be authorized by the GP or Programme Officer before submission to wage paying agencies.
E-FMS generates an equivalent pay order known as a Fund Transfer Order (FTO).

Pay Slip Requirements

Individual pay slips must include:
- Work ID
- Wage rate
- Days worked
- Total earnings for the week
- Man days completed and due per household.

Enabling Structures of Payment Systems

Payment systems under Mahatma Gandhi NREGS are facilitated by e-FMS and Ne-FMS through PFMS.
E-FMS enables electronic payments using various financial transaction networks (NEFT, RTGS, etc.), enhancing payment speed and efficiency.

State Government Responsibilities for e-FMS

The State Government is responsible for:
- Identifying key banks for electronic payments.
- Establishing agreements with key banks for seamless transactions.
- Coordinating with banks to connect NREGASoft to their systems.
- Authenticating and freezing stakeholders' bank accounts.
- training signatories on digital signature usage.

Public Fund Management System (PFMS)

All e-payments under Mahatma Gandhi NREGA are routed through PFMS.
Implementing agencies must register their accounts under the appropriate scheme code to ensure proper fund release, with accounts needing approval from a higher authority.

National Electronic Fund Management System (Ne-FMS)

Ne-FMS seeks to streamline fund flow and deliver entitlements efficiently across 27 states and 3 Union Territories.
The wage component is categorized as a central sector scheme managed by the Central Government, adhering to direct benefit transfer protocols for fund releases.

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Description

This quiz covers the essential procedures for opening accounts and managing payments under the Mahatma Gandhi NREGS program. It details the requirements for wage seekers, the composition of the Payment Committee, and guidelines for wage disbursement. Test your knowledge on these important welfare processes!