Hi all,
My question is if an employee's wages (basic+da) exceeds Rs6500/- per month can the employer decide not to pay pf at all? Another question is if a workers salary is Rs.10000/- can the employer show all of his salary as Basic. In this case is the company liable to pay any PF at all?
Please help me with your valueable replies with suitable sections of the PF Act if possible
Thanx in advance to all those who take the time to reply.
From India, Calcutta
My question is if an employee's wages (basic+da) exceeds Rs6500/- per month can the employer decide not to pay pf at all? Another question is if a workers salary is Rs.10000/- can the employer show all of his salary as Basic. In this case is the company liable to pay any PF at all?
Please help me with your valueable replies with suitable sections of the PF Act if possible
Thanx in advance to all those who take the time to reply.
From India, Calcutta
Yes,up to 6500 it is compulsory to deduct pf after wors its employers decision wheather to deduct the pf or not.. Basic can be 10000 /-on total salary of 10000/-
From India, Nagpur
From India, Nagpur
Dear,
Whether i know...It is helpful for you.May be it is Wrong from any other angle or not Sutibale Reasons/Satified for you.But
If Any Employee's Basic Salary(Only Basic not any other Allowences) is Above than 6500/-P.M. means if it is 6501/-Rs.P.M. then he is able to decide to pay PF or not.It is a subject which is decided by both(Employee & Employeer)...
No..
No Employer/Company wants to pay his PF contribution on Gross Salary(if Gross salary is 10000/-)
Company/Employer always want to shows the employee Basic salray less than 10000/-(gross salary). Because Employer Pay 13.61% on Basic Salary as PF contribution for an employee.
Manish Upadhyay
Ajay Carpets,Sec.-18, Sarhaul,Gurgaon
From India, Delhi
Whether i know...It is helpful for you.May be it is Wrong from any other angle or not Sutibale Reasons/Satified for you.But
If Any Employee's Basic Salary(Only Basic not any other Allowences) is Above than 6500/-P.M. means if it is 6501/-Rs.P.M. then he is able to decide to pay PF or not.It is a subject which is decided by both(Employee & Employeer)...
No..
No Employer/Company wants to pay his PF contribution on Gross Salary(if Gross salary is 10000/-)
Company/Employer always want to shows the employee Basic salray less than 10000/-(gross salary). Because Employer Pay 13.61% on Basic Salary as PF contribution for an employee.
Manish Upadhyay
Ajay Carpets,Sec.-18, Sarhaul,Gurgaon
From India, Delhi
Hi,
Act clearly says that upto Rs.6500/-, it is mandatory. Even after that his membership shall be continued, in that case employer is liable to pay his contribution only on Rs.6500/-(Wage cieling in the Act).
Yes, company can bifercate employee's salary. But, if basic and DA both is upto Rs. 6500/- employer will have to pay the contribution.
Rajesh Gupta
From India, Delhi
Act clearly says that upto Rs.6500/-, it is mandatory. Even after that his membership shall be continued, in that case employer is liable to pay his contribution only on Rs.6500/-(Wage cieling in the Act).
Yes, company can bifercate employee's salary. But, if basic and DA both is upto Rs. 6500/- employer will have to pay the contribution.
Rajesh Gupta
From India, Delhi
Regarding a fresh employee whose salary is above Rs. 6500, it is not statutory to enroll and contribute to EPF. But regarding an employee already registered with EPF, the membership should be continued even if salary crossed Rs. 6500.
Abbas.P.S
From India, Bangalore
517Abbas.P.S
From India, Bangalore
Hi,
If an employee is old member and has not withdrawn his PF he is eligible for PF even in new organisation where his salary is more than Rs.6500/-. Employer will have no choice but to make contribution on salary upto Rs.6500/-.
Yes company can pay the entire amount in basic. But again PF shall if he falls in para 1.
In new case of joining on salary Rs.10000/-, where employee has made declaration on Form-11 that he was never a member of PF or he has withdrwan his PF accumulation and no more PF member, then only employer is at liberty not make contribution. This is what I know.
Rajesh Gupta
From India, Delhi
If an employee is old member and has not withdrawn his PF he is eligible for PF even in new organisation where his salary is more than Rs.6500/-. Employer will have no choice but to make contribution on salary upto Rs.6500/-.
Yes company can pay the entire amount in basic. But again PF shall if he falls in para 1.
In new case of joining on salary Rs.10000/-, where employee has made declaration on Form-11 that he was never a member of PF or he has withdrwan his PF accumulation and no more PF member, then only employer is at liberty not make contribution. This is what I know.
Rajesh Gupta
From India, Delhi
Hi,
If an employee is old member and has not withdrawn his PF he is eligible for PF even in new organisation where his salary is more than Rs.6500/-. Employer will have no choice but to make contribution on salary upto Rs.6500/-.
Yes company can pay the entire amount in basic. But again PF shall if he falls in para 1.
In new case of joining on salary Rs.10000/-, where employee has made declaration on Form-11 that he was never a member of PF or he has withdrwan his PF accumulation and no more PF member, then only employer is at liberty not make contribution. This is what I know.
Rajesh Gupta
From India, Delhi
If an employee is old member and has not withdrawn his PF he is eligible for PF even in new organisation where his salary is more than Rs.6500/-. Employer will have no choice but to make contribution on salary upto Rs.6500/-.
Yes company can pay the entire amount in basic. But again PF shall if he falls in para 1.
In new case of joining on salary Rs.10000/-, where employee has made declaration on Form-11 that he was never a member of PF or he has withdrwan his PF accumulation and no more PF member, then only employer is at liberty not make contribution. This is what I know.
Rajesh Gupta
From India, Delhi
Your statement that "If an employee is old member and has not withdrawn his PF he is eligible for PF even in new organisation where his salary is more than Rs.6500/-. Employer will have no choice but to make contribution on salary upto Rs.6500/-." is not correct. If an employee draw a salary of more than Rs. 6500 at the induction stage of a new employment, the employer has no obligation to contribute PF. Whether he has a PF account in the previous employment or not, will not have any roll on the new employment.
Abbas.P.S
From India, Bangalore
Abbas.P.S
From India, Bangalore
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Basic 4 pf.pdf