N Vennela
Hr- Trainee
+1 Other

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What is the percentage for calculating dearness allowance.
Most of the companies i heard that they do not have the pf or esi but they divided their salary as 610 for DA. I do not know at what percentage they are deducting? Is there any percentage to deduct DA for non-pf companies?
Pls clarify my doubt.

From India, Madras
Hi Jenny
As per goverment norms and implementation of 6 pay commission the DA rate now is 24% of Basic and grade pay . DA will increase 6% at every six month. I dont know your company pay structure, but this is as per goverment rules. The PF will deducted @ rate of 12% of Basic + grade pay+ DA. from employee end the same will be contributed by employer the total will be remitted at PF Office.

From India, Madras
Can you explain how much PF amount deduction from employee and employer?
Is this correct employee 12% employeer13.16%.
As well as in this 12% covers only Basic, DA , or etc., How we classify the salary as basic, DA, HRA , uniform washing allowance and other allowance
We are willing to deduct PF amount for our staff. What is the procedure of voluntary PF deduction? for Hospital setting. Please seniors any one can answer my question.

99655 59067

From India, Madras
Hi Mr. Prabhu,
PF (12%)
PF will be paid on Basic.
Here's an example for your clear understanding
Gross Salary: 30,000
Basic (50%*Gross Salary)= 15,000
PF (12%* (Basic) 15000)= 1,800
I hope you will definitely going to understand by this example.

From India, Guntur
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