Can We Exempt Employee For Provident Fund?

Human Resources Management

+1 Other

Hallo to all friends,
Can we exempt our employees from provident fund even the organization is covered under Provident fund act.
In few cases some employees doesn't want PF is it legally acceptable?
If yes please tell me which form is necessary to fill for the same.
Regards,
Rahul
20th June 2007 From India, Bangalore

welcomeumesh

if the basic pay of the employee is more than Rs. 6500 a month..the employee may be exempted from deduction of PF. In such cases, to safeguard yourself during any inspection, please get form 11 signed from the employee and also take a declaration stating his salary-break-ups and his/her consent for not availing the PF benefit.
Please also make sure, that the basic pay should be atleast 50% of the Gross pay.
with best regards,
Umesh Chaudhary
([email protected])
21st June 2007 From India, Delhi

welcomeumesh

To nomiate any employer for PF, you can get the form 2(revised) in duplicate filled by the employee and submit the same at the local PF office. the form can be downloaded from epfindia.nic.in.
regards,
Umesh
21st June 2007 From India, Delhi

suneetkavu

An employee if drawing (Basic+DA )salary more then Rs.6500 they can be legally exempted from the PF deduction by getting employee Signature & their willingness to not deduct PF in Form 11,however employee drawing salary below Rs.6500 can not be exempted form deducted PF by any way if establishment is covered under PF rules & regulation.
15th May 2010 From India, Gurgaon

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