Senior Officer - Hr
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Hr Executive

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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
Dear Yamini, Please go through below attachmnet,in case of any query,revert me back on the same. Regards RAHUL JAT.
From India, Pune

Attached Files
File Type: xls PF.xls (31.0 KB, 251 views)

Thank You so much your reply.
But some one told me -pf deduct on gross salary for contract employee.(not on Basic salary) is it correct.
shall i generate one challan for march 2015( contract & permanent employee)
Please give the reply

From India, Hyderabad
Dear Rjat, Your details is old not yet updated in recent amendments. Account No 21 it was amended in to 1.1% to 0.85%. Please share updated status. Regards|Siraj
From India, Kolkata
Sorry not a account No 21 mean this account No 2 for Admin Charges of Provident fund...
From India, Kolkata
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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