The CTS is a social benefit that companies grant to the worker.  (Photo: GEC)

Since last Monday, June 6, the workers of the private sector and those of the State companies, subject to Legislative Decree 728, can withdraw the 100% of your fund Compensation for Time of Service (CTS). This, according to Law 31480, regulated by Supreme Decree 011-2022-TR.

MORE INFORMATION: What happens to the CTS account in the event of the owner’s death

As is known, The law authorizes all formal workers to dispose of the CTSin order to mitigate the economic effects of the COVID-19 pandemic and current inflation.

then meet how to request the withdrawal of your CTS, Until when do you have time to do it? and all the information you need to know about it.

MORE INFORMATION: How can I make my money profitable if I withdraw my CTS

WHAT IS THE CTS?

Compensation for Time of Service (CTS) It is a social benefit that companies grant to the worker, with the purpose of constituting a fund that allows him to cover his expenses. This, in case you lose your job. The compensation must be paid every six months, during the first fifteen days of the months of May and November.

The CTS savings accounts, on the other hand, are financial products that generate better interests, unlike some savings accounts. It is there where said amount is deposited.

MORE INFORMATION: Before you take out your CTS savings, here’s what you should keep in mind

The CTS is a social benefit that companies grant to the worker. (Photo: GEC)

HOW TO REQUEST THE WITHDRAWAL OF MY CTS?

Unlike other processes, this time you will only need to go to the bank where you have deposited the money from this fund and withdraw it. You also have the possibility of transferring it to other accounts, from digital channels.

In that sense, the CTS withdrawal request can be done in the following ways:

  • From June 6, you will be able to access 100% of your Compensation Fund for Time of Service. Therefore, you should only go to the establishment closest to your home or to an ATM. This way you can withdraw the requested money.
  • You can also dispose of your money through Internet banking at the financial institution where you keep your CTS. To do this, you must have the digital channel of your account active. Contact their official media if you haven’t already.
  • You can also send your money to another account. This can be done through transfers to the same establishment or interbank transfers.

UNTIL WHEN DO I HAVE THE DEADLINE TO REQUEST THE WITHDRAWAL OF MY CTS?

Workers will be able to totally or partially withdraw their money from the CTS from the June 6 of this year until December 31, 2023. In this way, you will have a range of almost 19 months to access these funds.

If you withdraw the full amount you currently have in your account, you can also withdraw in November 2022, as well as in May and November 2023.

HOW DO I KNOW IF I HAVE CTS?

If you are a formal worker and you are on the payroll, you only have to contact the bank where your company deposits your remuneration and make the query. You can do it through a phone call or from the website.

Remember that the CTS It is equivalent, on average, to an annual salary. Likewise, this must be deposited by the employer, for the benefit of the worker, in May and November of each year.

You can make your query at the bank where your company deposits your remuneration (Photo: GEC)
You can make your query at the bank where your company deposits your remuneration (Photo: GEC)

WHEN DO YOU DEPOSIT THE NEXT CTS?

Until last Monday, May 17, employers had a deadline to deposit the Compensation for Time of Service (CTS) to their workers. The Lima Chamber of Commerce specified that this amount, which varies according to the company’s labor regime, corresponds to the six-month period between November 1, 2020 and April 30, 2021.

In that sense, know when you should receive your next Compensation for Time of Service in THE FOLLOWING LINK.

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