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Hi,
what is the procedure of PF Calculation on contract employee salary.
E.g: One person gross salary is 40k, in that basic is 20000/-. shall i deduct the 12% on 20,000/- . is it ok for contract employee.
or any differences as per pf act?
Please give the details as soon as.
From India, Hyderabad
what is the procedure of PF Calculation on contract employee salary.
E.g: One person gross salary is 40k, in that basic is 20000/-. shall i deduct the 12% on 20,000/- . is it ok for contract employee.
or any differences as per pf act?
Please give the details as soon as.
From India, Hyderabad
Hello,
You have to deduct PF on basic only. Not on gross salary. But employer also need to pay contribution of 12 %. If the basic salary is Rs. 20,000/-. PF contribution will be as follows.
Employees Contribution A/c.No.1 12.00% 2400
Employers Contribution A/c.No.1 3.67% 1150
Employers Contribution A/c.10 8.33% 1250
Admn. Charges A/c.No.2 0.85% 170
Admn.Charges A/c.No.21 0.50% 100
Admn Charges A/c.No.22 0.01% 2
TOTAL 25.36% 5072
From India, Chennai
You have to deduct PF on basic only. Not on gross salary. But employer also need to pay contribution of 12 %. If the basic salary is Rs. 20,000/-. PF contribution will be as follows.
Employees Contribution A/c.No.1 12.00% 2400
Employers Contribution A/c.No.1 3.67% 1150
Employers Contribution A/c.10 8.33% 1250
Admn. Charges A/c.No.2 0.85% 170
Admn.Charges A/c.No.21 0.50% 100
Admn Charges A/c.No.22 0.01% 2
TOTAL 25.36% 5072
From India, Chennai
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#Listed In: pf calculation pf act pf contribution basic salary employee salary contract employee pf deduction Country-India City-India-Hyderabad
Employees' PF Appellate Tribunal Procedure Rules 1997.pdf
Procedure of PF.xls
