PROFESSIONALS AND BUSINESSES PARTICIPATING IN DISCUSSION
Company Secretary In Practice
Sr.executive (per & Adm)
Management Consultants Legal & Hr
Assistant Engineer, Indian Telephone Industries,
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csJadon.firstname.lastname@example.orgDear All, Is TDS applicable on DA ( Daily Allowance ) Paid to employee. Please suggest.
From India, Gurgaon
sibabrata.majumdarDear Mr Agarwal,
It is indeed an excellent article consequent to increase of EPF ceiling from Rs 6500 to Rs 15000 and FAQ on employee under EPF. This will help young HR Managers to manage their EPF A/C.
From India, Calcutta
pipDear Agarwal ji,
Thank you very much for sharing the insightful articles on impact of recent amendments to PF. One point I would like to bring to the notice of our friends is....the EDLI benefit is calculated at 20 times the ceiling limit of Rs15,000/- i.e. rs 3 lakhs + an additional 20% which makes it 3.6 lakhs benefit.
I stand corrected if any of my colleagues have a different view point.
From India, Hyderabad
I also agree with Ashok Reddy regarding EDLI benefit. Apart from this, there are errors in paragraphs F, L, M & N.
1. In Para F, it is stated that Those who want to contribute above Rs.15,000/ for pension fund will have to shell out 1.16% additional contribution on the amount in excess of Rs.15,000/ from employees share & give declaration (both employer & employee) to that effect within 06 months from the date of this notification failing which any additional contribution made above Rs.15,000/ to pension fund would be diverted to EPF fund & will be given the interest as declared from time to time."
EPFO has stated that from 01.09.2014 on wards there will not be any provision to opt to contribute beyond ceiling limit to EPS. Those who already opted this provision before 31.08.2014 will only come under the purview of this clause .
2. As per Para L," If the service is below 10 years of service & has not attained the age of 58 years, can withdraw the pension amount or obtain certificate to that effect & resume the count of service in future, if the employee joins for the employment service covered under EPF&MP Act,1952".
There is no significance on age to get withdrawal benefit. If the service is 10 years or more, member will be entitled to get pension, other wise withdrawal benefit can be availed regardless of age.
3.As per Para M, "Pensionable salary up to 31st Aug’14 will be Rs.6,500/ thereafter it will be Rs.15,000/ till further amendment."
After 31st Aug 2014 pensionable salary will be in between 6500 and 15000 till July 2019. When a member complete 60 months (i.e Sept 2014 to Aug 2019) after 01.09.2014, then only pensionable salary will be 15000.
4. As per Para N, "If the Employee’s Pension contribution is restricted to Rs.15,000/ then the maximum pension at the age of 58 years shall not be more than Rs.15,000/ p.m as on date. Hitherto it was Rs.6,500/ p.m."
The cap is not on pension amount but pensionable salary. For those contribute on ceiling salary of 15000, there should be 68 years' service to get a pension of 15000. This is impossible.
From India, Bangalore
anandgmysoreVery Usful information, Pl tell me if any employee service is more than 10years is there any extra benefits in the pension scheme. - anandgmysore.
From India, Bangalore
10 years' service is the minimum eligibility to get pension. For those complete 20 years and get relieved from service after the age of 58 years will get an additional 2 years as bonus.
From India, Bangalore
NAVEEN76I am contributing to PF from last 16 yrs and got it transferred whenever there was change in company. While downloading my current PF statement thru EPF site , pension contribution in transfer row is not shown. PF transferred amount is ok.How can I know my pension amount. Or take it as difference between employee and employer share of transfer amount..I read that minimum pension is Rs. 1000/- what about maximum pension one can get and what is the calculation. explain with example.
From India, Chandigarh
ps_deshmuukhSir, If the company is giving incentive on monthly basis and in every month it will change. Can P.F. will calulate on this amount also
From India, Salai
AnonymousExtremely Useful Information Sir, Kindly let me know about the source website from which this articles have been extracted by you . Awaiting for response
From India, Mumbai