Provident Fund Calculation - Salary Break Up
rebeccahr Started The Discussion:

Hi, I would like to clarify the following 1. method of calculating PF 2. Who are the people eligible for deduct PF 3. What could be the exact salary break up if a person monthly salary is Rs10000

baglasumit21 - Member Since: Nov 2007
Quote:
 Originally Posted by rebeccahr Hi, I would like to clarify the following 1. method of calculating PF 2. Who are the people eligible for deduct PF 3. What could be the exact salary break up if a person monthly salary is Rs10000
1) PF is generally 12 % of basic+DA, but sometimes comapnies have fixed amount of PF say 660 or 780.
2)Establishments employing 20 or more persons are required to deduct PF from the salary of employees.
3) The salary breakup for monthly salary (10000) is not fixed. It varies from comapy to comapny. but in general it includes Basic, Conveyance(800), HRA (40% or 50% of Basic), special allowance, medical Allowance, etc..

vipinmanav - Member Since: Sep 2008
Dear All, Please find attached which can help u . Regards Vipin

 benefits_of_PF.doc (47.0 KB, 4612 views) forms__pf___esic__719(1).xls (29.5 KB, 2319 views) pf___if_forms_327[1].doc (58.5 KB, 1413 views) PF_-_DUTIES_OF_EMPLOYER.doc (39.5 KB, 1867 views) PF_-_EXEMPTIONS.doc (73.5 KB, 1795 views)
dr_gaurish - Member Since: Jun 2009
i have a querry the pf is calculated as 12% contribution from both employee as well as the employer right? that means the company contributes 12% of the basic salary of the employee separately and not deduct it from employee salary every month right.?
Coz my basic salary was 6500/- and and my company was deducting 24% monthly as PF contribution.and not contributing separately

Kindly guide me on this, my salary was Rs 13000/-,,, basic 6500/-, and monthly deduction was 24% ie 1560/-.(which should have actually been 780/-) kindly calculate my pf amount for one year.

ramswaroop - Member Since: Apr 2007
Mr. Gaurish

PF Wages is Basic+VDA+FDA+Lunch Allowance etc. Generally 12% of wages wages will be deducted from employees salary and same amount of 12% will be added by the employer.

Suppose.

Basic 6500
Less PF(12% ) 780
-------
Net Salary 5720
-------
Ur PF Contribution 780
Less 8.33% on 6500 541
(To ur Pension Fund) -----
Ur Balance amount in PF 239
----

So ur PF Contribution is 780/- (12% of 6500/-)+ Employer PF Contribution is 780.
And Our of ur contribution 8.33% of 6500 i.e 541 goes to ur Pension Fund. Rest of ur contribtion i.e, 3.67% (Rs.239)and Employer Contribution to u i.e.12% (780) put together Rs.1019/- goes to ur Provident Fund Account.

I hope ur PF Salary is 13000/- in which Basic is 6500 and u may be paid DA or (VDA + FDA) and Lunch Allowance.

If ur PF Salary is 10000/- ( UR PF deduction is 1200/- and employer PF Contribution is 1200 and out of 2400, Rs. 541 ( 8.33% of Rs.6500) goes to ur pension fund and rest of 1859 goes to ur Provident Fund.

Note: If PF Wage is more than 6500/- an amount of 541 (i.e, 8.33% on 6500) only goes to Pension fund.

If u have any doubts pl provide ur wage components, i will clarify ur doubts.

Regards
PB Rama Swaroop

palmyrasprings - Member Since: Mar 2010
Dear Sir I am newly prepare the pf statement how much salary minimum applicable in PF apply in the employee regards Prabhu

saraswathi.p - Member Since: Feb 2010
Dear Sir,

I would like to know is there any new amendment or notification regarding the change in the pf components. Eg:if an employee has a components of Basic, DA, HRA, Conveyance and Special Allowance. Normally for pf calculation we consider Basic+DA. But now I came to know that if the basic+da is less than 6500.00 then special allowance is also to be considered as pf component and pf should be calculated on Basic+DA+Special allowance.

Kindly clarify the above.

Regards,

Saraswathi.P

Kavita Gupta777 - Member Since: Aug 2012
Dear Seniors,

Greetings of the Day!!

Hope you all are doing good. This is Kavita and I am working in a software company. My quire is about pension.My quires are as follows:

1. How to get the pension
2. Types of Pension
3. What are the conditions of pensions
4. And how to calculate the pension
5. What is the minimum age and how many years of services required for this.

My humble request to my all seniors please provide the details on the above topics and if you share complete detail on this it will be more appreciable.

Thanks & Regards
Kavita Gupta
Executive - HR

rajbir86yadav - Member Since: Mar 2012
PF- 12% of employer
PF-3.67% of employr
Pension-8.33% of employer
Inspection charge-0.005% of employer
EDLI-0.5% of employer

Maximum limit of basic+VDE+DA will be Rs.6500

Rajbir

Soumyata_Gupta - Member Since: Apr 2011
Hi,

My name is soumya, please inform me what all forms are related to PF.Like
- Form no. xxx for PF application
- Form no.xxx for getting co. registered for PF
- Form no.xxx for transferring PF
- Form no.xxx for winding up PF a/c.

Regards,
soumya

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