Pf Contribution For Foreign Employees - PDF Download - CiteHR
Director Of Human Resources
Hr Generalist
Pf & Esic Consultant
+2 Others

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Dear All,
Is PF applicable for citizens of other countries employed in India? And if so can you guide me through the provisions and deductions for those who are covered under SSA and who are not covered under SSA?
Thank you

yes PF applicable on International worker
you may get all the information regarding this on Epfo (Govt. of India)
PF ESI Consultant

Dear Thomas,
Yes, it is compulsory should have contribute Pf contribution. but remember one thing PF contribution should be both side.
I mean if foreigner employee is related to japan country. than you have to submitted Pf contribution of Indian salary & japan salary of 12%. One important point is that Salary should not be in parts like BASIC, HRA, MEDICAL ALL., LTA not to need. It is only Basic.
I have knowledge only that points with assure.

PF is not on basic but on full salary paid to the expat, including allowances paid.
Please find the latest guidelines on PF issued by KPMG

Attached Files
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File Type: pdf EPF Circular May'13.pdf (186.6 KB, 771 views)

Mr. Murali kandukuri, I had already wrote that no need for salary should be in parts like HRA, LTA, Conveyance All, etc.... So i had mean that make a single part that is BASIC. and deduct pf on same.
You must pay pf contributions on international workers drawing salary in India and Indian currency what they will get and P.F calculate 12% on Total salary not in basic + DA.
VSN Raju
PF & ESI Consultant:9440635016

Dear Thomas,
PF has to be deducted for them also.
12% from them and Employer 12% has to paid as it is.
i.e., For example: His basic pay is 1,00,000. His 12% is 12,000/- then 3.67% & 8.33% has to be paid as 3670 & 8670 accordingly. We should not limit to Rs.6500/-
saravanan J

Dear All,
Why is the employer contribution in this regard only 12% or is it 13.61% itself ?
How can an expat claim the amount if he's in India for only few yrs and has to leave the country before retirement age provided the constraint of not having an Indian bank account ?
Thank you
Edwin Thomas

Dear Edwin,
Please note the following points for your reference in regards to foreign workers / expats :-
a) PF deduction is 12% from employee and 12% + 1.61 % employer
b) Percentage i.e. 8.33% and 3.67% will be on actual basis - it means not limited to Rs. 6500
c) Employee will not be able to withdraw PF amount till the age of retirement / 58 years of age.
d) Expats must have single headed salary structure.
Hope this will meet your requirement.
Chill HR

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