Quarterly report pursuant to Section 13 or 15(d)

Employee Benefit Plan

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Employee Benefit Plan
 3 Months Ended
Mar. 31, 2023
Employee Benefit Plan [Abstract]  
Employee Benefit Plan

11. Employee Benefit Plan

 

The Company has a 401(k) plan to provide defined contribution retirement benefits for all eligible employees. Participants may contribute a portion of their compensation to the 401(k) plan, subject to the limitations under the Internal Revenue Code. The Company’s contributions to the 401(k) plan are at the discretion of the Company’s board of directors. During the three months ended March 31, 2023 and 2022 the Company made contributions of $52,000 and $46,000, respectively, to the 401(k) plan.

 

Effective October 2021, the Company established a savings fund for permanent employees of the Bangladesh subsidiary named Augmedix BD Limited Employees’ Gratuity Fund (“Gratuity Fund”), as per local requirements. Employees will be entitled to cash benefit after completion of minimum five years of service with the company. The payment amount will be calculated on the basic pay and is payable at the rate of one month’s basic pay for every completed year of service. The Company expensed $0.1 million and $0.5 million related to the Gratuity Fund during the three months ended March 31, 2023 and March 31, 2022, respectively. At March 31, 2023 and December 31, 2022, $0.6 million and $0.5 million, respectively, was accrued in other liabilities in the accompanying consolidated balance sheet.