Dear Friends,
I have the following doubt.
PF administration charges shall be calculated @ 1.10% of wages.
I am not certain about the definition of wages. Please tell me
on what component of wages it has to calculated. i.e. Gross pay
excluding HRA or Gross pay limited to Rs.6500/-.
Can some one help me to resolve my doubt. please provide
reference for present G.O. or Amendment regarding EPF Act
19th February 2011 From India, Madras

India, Mumbai
India, Howrah
India, Chennai
+4 Others

Hi sreenandhini,

Pls find the answers as u required:-

* PF is calculated on (basic+DA)& it is covered by central Government.
* PF is a kind of benefit & savings for the employees & a part of deduction as well.
* basic means the minimum wages & wages varies from state to state & parameters on which wages vary will be according to the cost of living.

*6500 is the limit of PF.

* DA=Dearness Allowance will vary acc to central Govt & state Govt. the changing ratio will be dif. for State & Central Govt.

*Employee Contribution towards PF Ee =12%
Employer Contribution Er = 12% + 1.61% (administration Charges)

*if B+DA = 650 then Ee = 12%, Er = 12%+1.61%
Ee = Rs 780, Er = Rs 780 = 1.61% * 6500 = Rs. 104.65

A/C 1 (Employee Provident Fund Account,EPF), Ee = 12%, Er = 3.67%
Ee= Rs780, Er= Rs238.55

A/c 10(Employee Pension Fund) Er= 8.33%
Er= 8.33 *6500/100 = Rs.541.45

A/c2 (Administration Charges),1.1%
1.1%*6500= Rs.71.50

A/c21 (Employee Developed Linked Insurance Charges),0.5%
0.5%*6500= Rs.32.50

0.01%*6500= Rs 0.65

Total Administration Charges = Addition of all 1.1% + 0.5%+ 0.01% 1.e.
Rs(71.50+ 32.50+ 0.65) = Rs 104.50

I hope now you will be able to understand ur query in a better way.


19th February 2011 From India, Mumbai
aaashi please try to come on chat want to ask in detail about PF we are paying PF administration charges on the total gross wages earned by employee.... , are we doing right or wrong ;(
19th February 2011 From India, Madras
Hello everyone,
I have a doubt regarding contribution of PF from employer side.
As I understood there are 3ways of contribution
1. PF
2. Family pension scheme
3. Deposit linked insurance fund
My doubt is Employer has to choose his contribution from the above three or in all he has to contribute some % in all three from this 12%
for ex: Employer contribution for Pension fund 8.33%+ 3.67 for Pension fund
Please clarify my doubt.
21st September 2012 From India, Ahmedabad
(EE X 2) + ER = Total PF Amount Where, EE is Employer & Employee’s Share ER is Other Receivables by Employee (including interest)
20th December 2012 From India, Pune
Dear SIr,
from last 4 year i have not create challan of ESIC and PF because work is stop. now i want to do the contribution of employee then what should i do to re open account of pf and ESIC and also please suggest me what charge i will pay for pf from last 4 year
15th May 2015 From India, Howrah
Sir my pf amount EE amount-34771 ER amount-10656 So my total pf amount how many rupees please answer me
20th January 2017 From India, Chennai
Pf challan calculation with all admin charges find excel sheet here it will be helpfull for you
20th January 2017 From India, Gurgaon
Attached Files
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File Type: rar PF CHALLAN-CALCULATION.rar (17.1 KB, 491 views)

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