Dear All,
Need to ask a question for EPF registration. How mandatory is it for the organisation having employee strength greater then or equals to 20 to have EPF Registration.
We are a group of IT consultants and registered as a private limited company and all employees drawing salary around 2.4 Lakhs per annum.
I was discussing with some one and he advised that all employees having salary greater then Rs. 6,000 per month can sign a declaration that they don't need PF to be deducted. In this case the employer also need not add their contribution. But maintaining certain documents will suffice the statutory requirment of EPFO.
Is this true?
I am a person with no knowledge of Indian Labour and Industrial relations laws. So please guide.
Thanks in advance
Regards
VG
From India, Delhi
Need to ask a question for EPF registration. How mandatory is it for the organisation having employee strength greater then or equals to 20 to have EPF Registration.
We are a group of IT consultants and registered as a private limited company and all employees drawing salary around 2.4 Lakhs per annum.
I was discussing with some one and he advised that all employees having salary greater then Rs. 6,000 per month can sign a declaration that they don't need PF to be deducted. In this case the employer also need not add their contribution. But maintaining certain documents will suffice the statutory requirment of EPFO.
Is this true?
I am a person with no knowledge of Indian Labour and Industrial relations laws. So please guide.
Thanks in advance
Regards
VG
From India, Delhi
Strictly speaking PF act is not applicable to Software company pls read the applicbility clause of the act.
the recent recommendations for amentment has not been passed so for the time being it is not applicable ie the present rules will follow ie 20 or more persons............
and the max salary for the contributions is 6500
since being an employee welfare legislation it is good to make coverage under the act.
the documents submitted for the same is already mentioned by our friend binu
From India, Thiruvananthapuram
1the recent recommendations for amentment has not been passed so for the time being it is not applicable ie the present rules will follow ie 20 or more persons............
and the max salary for the contributions is 6500
since being an employee welfare legislation it is good to make coverage under the act.
the documents submitted for the same is already mentioned by our friend binu
From India, Thiruvananthapuram
Dear Srinivas,
I would like to tell you that from date you have 20 personnel in your muster ( now it will change upto 10 but notification awaiting) you should apply for registration. As far as contribution amount is concern you have to submitt relevant paper like, list of employee, reg certifcate of firm, bank statement etc( it is given in coverage performa). with P.F contribution bank draft to the department than only allotment procedure will complete from your side.
Rgds
Shrvan
From India, Dehra Dun
I would like to tell you that from date you have 20 personnel in your muster ( now it will change upto 10 but notification awaiting) you should apply for registration. As far as contribution amount is concern you have to submitt relevant paper like, list of employee, reg certifcate of firm, bank statement etc( it is given in coverage performa). with P.F contribution bank draft to the department than only allotment procedure will complete from your side.
Rgds
Shrvan
From India, Dehra Dun
Hi
there is a small correction to the calculation. it will be as follows..
when we calculate employee pf, it will be 12% of basic salary, for employers, it will be 13.61% and the breakup of 13.16% is as follows:
3.67% employer PF contribution
8.33% pension contribution (541/- maximum celing)
0.5% EDLI Charges
1.1% Admin Charges
0.01% inspection charges
hope i am right on this.
Venkat
From India, Madras
there is a small correction to the calculation. it will be as follows..
when we calculate employee pf, it will be 12% of basic salary, for employers, it will be 13.61% and the breakup of 13.16% is as follows:
3.67% employer PF contribution
8.33% pension contribution (541/- maximum celing)
0.5% EDLI Charges
1.1% Admin Charges
0.01% inspection charges
hope i am right on this.
Venkat
From India, Madras
Dear Friends, If the employees Basic salary is above Rs. 6500/-, how should we make the contribution? Waiting for your reply at the earliest. Regards Binu
From United States
From United States
Dear Binu,
You can either make them opt out of PF if they really dont want PF to be deducted or you can consider basic as Rs 6500 from day one and deduct PF from day 1 on Rs 6500 only i.e Rs 780. Hope now is it clear for you.
Regards
Amith R.
From India, Bangalore
You can either make them opt out of PF if they really dont want PF to be deducted or you can consider basic as Rs 6500 from day one and deduct PF from day 1 on Rs 6500 only i.e Rs 780. Hope now is it clear for you.
Regards
Amith R.
From India, Bangalore
Dear Amith,
Thanks a lot.
One more thing I want to ask you is about the PF calculation.Is it necessary that we should consider DA for PF calculation along with basic? Here we don't have DA in our salary structure.
Regards
Binu
From United States
Thanks a lot.
One more thing I want to ask you is about the PF calculation.Is it necessary that we should consider DA for PF calculation along with basic? Here we don't have DA in our salary structure.
Regards
Binu
From United States
Hi Friends this is Kumarworking as HR executive. I hava a doubt if i join in a new company what is the procedure to apply and get company code number and what forms we want to submit. Kindly help me.RegardsKumar
From India, Madras
From India, Madras
hi Binumol,
Please visit this website www.epfindia.com .
Then click on " Registration" at the left hand side.
You can download "proforma for coverage".
Rest of the informations are also available here.
Regards,
Priya J.
From India, Hapur
Please visit this website www.epfindia.com .
Then click on " Registration" at the left hand side.
You can download "proforma for coverage".
Rest of the informations are also available here.
Regards,
Priya J.
From India, Hapur
hi Binumol,
Please visit this website www.epfindia.com .
Then click on " Registration" at the left hand side.
You can download "proforma for coverage".
Rest of the informations are also available here.
Regards,
Priya J.
From India, Hapur
Please visit this website www.epfindia.com .
Then click on " Registration" at the left hand side.
You can download "proforma for coverage".
Rest of the informations are also available here.
Regards,
Priya J.
From India, Hapur
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Registration for EPF-Procedures & documents.docx
EPF registration Procedure.pdf