Cognizant

Flexible Benefit Plan

House Rent Allowance(HRA)

Coverage:All Associates

Eligibilitylimit:0 to 60% of the basic salary

Key Policy Highlights:

 Associatesneed to choose and define the HRA amount in the FBPdefinitionsystem on a monthly basis.

 Associatescan opt for an HRA amount in the range of0 to 60% oftheir respective basic salary.

 On selection, associateswill be paid the defined HRA amount as part oftheir monthlysalary.

 In order to claim Tax exemption, associatesneed to submit the rent receipt/bankstatementand a copy ofthe lease agreement to the Finance team.

 Associatesavailing hostel accommodation need to submitthe rent receiptsin the hostel’sletter head or pre-printed receipt book.

 Expenses incurred on maintenance charges,electricitybill,food (in case ofpaying guest accommodation) are not eligible for any Tax exemption.

 Tax exemption on HRA, ifapplicable, willbe as per the prevailing income Tax rules.

Food Reimbursement

Coverage:All Associates

Eligibilitylimit:Up to a maximum of Rs. 3,000 (PM)

Key Policy Highlights:

 Associatescan avail the benefit ofFood Reimbursement through Foodcard

 Associatesneed to choose and define the Food Reimbursement amount in the FBP definition system on a monthly basis.

 Associatescan redefine the amount ofFood Reimbursementon a monthlybasis,subject to the prescribed limits.

 Food Reimbursement is proportional to the number ofdays an associate spendson India payroll in a month.

Please note that food card usage is subjectto Governmental regulations.

Leave TravelAllowance(LTA)

Coverage:All Associates

Eligibilitylimit:Up to a maximum of Rs. 100,000 (PA)

Key Policy Highlights:

 Associatesneed to choose and define the LTA amount in the FBP definition systemon a monthly basis.

 Associatescan redefine the LTA amount on a monthlybasis,but the changes would be effective for the month ofredefinition & onwards only.

 Associatesneed to avail a minimum 3 Working daysofearned leave in order to claim LTA.

 Only travel expenses for associatesand their dependents are reimbursable.

 In order to claim the reimbursementofdependent’s travel expenses,the associate musthave accompanied them during the travel.

 Only expenses incurred on travel within India may be claimed for reimbursement.

 Expenses incurred on accommodation,recreation, sightseeing etc. cannot be claimed as part of LTA.

 Exemption can be claimed twice in a blockoffour years (Current block period is2018-2021)

 LTA can be claimed twice in a block offour years. i.e.two journeyscan be performed in a block (current block period startsfrom 1st January 2018 and ends by31stDecember 2021). Accumulation can also be carried forward to the next year within the blockoffour years. However, associatescan claim onlyone travel in a calendar year.

 LTA can be claimed as non-taxable income onlytwice in a blockoffour years. After the associate has claimed it as non-taxable income twice,the LTA component willbe frozen for further definition.

 Tax exemption on LTA, ifapplicable, will be as per the prevailing Income Tax rules.

Reimbursementof MobilePhone Expenses

Coverage:Manager&below

Eligibilitylimit:Grade-wise eligibility is as described below

Associate &Manager

Key Policy Highlights:

 Associatesneed to choose and define the amount ofMobile reimbursementin the FBP definition system on a monthly basis.

Reimbursementof Car running

Coverage:Sr. Associate &above

Eligibilitylimit:

Eligibility (in Rs. Per month) based on the car engine capacityas describedbelow.

Key Policy Highlights:

 It is aimed to help associatesto get the car expensesincurred by themfor official purposes reimbursed.

 Associatesneed to choose & define the amount in the FBP definition systemon a monthlybasis.Car expenses include the expensesincurred on fuel, maintenance,and driver’s salary.

 In order to avail the benefit, Associatesneed to use carsregistered in their namesat their respective current locations only. Car ownership proofto be submitted in MyPayto avail the car running benefit

 Fuel expenses can be reimbursed only through credit card swipes

 Maintenance & Driver salary will be reimbursed based on the invoices submitted

SuperannuationFund

Contribution

Coverage:All Associates

Eligibilitylimit:Minimum contribution of INR 500 per month and subject to a ceiling of 15%of basic salary or INR 150,000 per annum, whichever is lesser.

Key Policy Highlights:

 Superannuation Fund is an optional post-retirement benefit extended to all Associates ofCognizant.

 Associatesneed to choose and define the contribution amounttowards Superannuation Fund in the FBP definition system on a monthlybasis.

 If opted, Cognizant would contribute to the Superannuation Fund on a monthlybasis.

 Associatesopting for Superannuation Fund Contribution can change the amount ofcontribution on a monthly basis.

 Once opted, an Associate will have to continue contributing to the fund throughout his /her employment tenure with Cognizant.

 Associatesare not eligible to withdraw any amount from the Superannuation Fund during their employment tenure in Cognizant.

 New Joiners can opt for this benefit through their first FBPdefinitionsand enroll within the firstthree months oftheir Joining. Failure to declare and opt for this benefit before the 25th ofthe third month from Date of joining, would make the associate ineligible to enroll for this benefit thereafter.

NationalPension Scheme

Coverage:Associates at all levels

Eligibilitylimit:Minimum contribution of Rs. 500 per month and maximum of 10%of basic per month

Key Policy Highlights:

 National Pension Scheme (NPS) is a retirementbenefit provided to employees. Originally, introduced by the Govt of India in 2003 and revised in1 April, 2011.

 The scheme is administered and controlled by the PensionFund Regulatory& Development Authority – PFRDA.

 Please refer the FBP policydocument on https://mypay.cognizant.comfor more details on claim process and policy details.

 Associatesto declare the desired NPSContribution amountin the FBPdefinition system,available on https://mypay.cognizant.com

The Policy andProcessdetailsare subject to change without notice basedon rulesand regulationsby government asappropriate.

The Organization reservesthe right to remove or addany new FBP componentsand modify the Eligibility/guidelineswithout any prior notice