Saswatabanerjee
Partner - Risk Management
Bijay_majumdar
Freelancer
Tholanakishore
Manager Hr
Bala_mim
Asst Manager Hr & Admin
Jeewan Mittal
Compensation & Benefits And Hcm Module
RajibMondal
Kolkata, Manager-hr
Kasta_24@yahoo.com
Hr / Manager
Sarfraz00015
Recruitment
Premkrish001
Finance Manager
+2 Others

Thread Started by #Divya K

Hi,
Please guide me.. In our organization many employees basic+DA is crossed the celling rate of PF i.e 15,000 after the salary hike from April-2015. For these employees whether we need to continue the PF contribution or need to stop the PF deduction.
24th April 2015 From India, Bhatinda
Hi Divya,
Its not statutory to deduct the PF from the employee who are all crossed the ceiling of Rs. 15000 /- per month. But still if your management wants to continue the benefits to the employee, you can deduct for Rs. 15000/- and pay the pf for the employees who are all crossing their ceiling.
25th April 2015 From India, Pondicherry
employee salary more than 15000 pm also to be covered under the p.f. as ceiling is up to 15000 pm.
employee may contribute up to or more than 15000 pm...but employee cont.only up to 15000 pm i.e. ceiling limit.
employee wants to pay more cont. permission of the authority sd be taken.i.e. from p.f. authority
25th April 2015 From India, Bhilai
That is a completely wrong information you are providing.
Once a person is covered under the PF act and has PF account, he is required to continue to be a member of PF and it is necessary that both the employee and employers contribution must be paid each month. The rule however, is that you are required to compute PF contributions only on the maximum salary limit of Rs.15,000 per month. So even if his salary is higher then Rs.15,000 per month, PF will be computed on Rs.15,000 per month.

25th April 2015 From India, Mumbai
I agree with saswata banerjee sir.members must ensure that they post correct information.
26th April 2015 From India, Vadodara
PF will continue as usual. The ceiling is to calculate the PF contribution only. i.e. If one of your staff Basic+DA is Rs.20000/- you have calculate the PF @12% on Rs.15000/- which comes to Rs.1800/- as employees contribution and equal contribution from your company too. I hope this will clears your doubt.
Mohan Sankaranarayanan
26th April 2015 From India, Vijayawada
Hi Divya,
As for as you are having more than 20 employees and covered under PF, it is mandatory to contribute to PF as per norms.
You can not discontinue for the reason the salary is higher than the ceiling. Like I earlier said the contribution is Rs.1800/- for both employee and employer. However if the employee wants pay more he can do so after obtaining approval from the PF Dept. under Voluntary Pension Scheme. I hope I am right
Mohan Sankaranarayanan
27th April 2015 From India, Vijayawada
please explore for PF deduction for members having basic pay more than 15000/pm for eg : One of the member is basic pay is 50000/pm if calculated for whole month so we can deduct his/her PF amount of eligible i.e. 15000 so pf deduction will be 15000*12%=1800. So now if that member remains present for 15 days and basic is prepared accordingly i.e. 25000/- that is again more than eligible pay i.e. 15000. so now please suggest his/her PF deduction amount be 1800 or 900 (proportionate to working days)
27th April 2015 From India, undefined
How PF is calculated?
PF:1. Employees share
PROVIDENT FUND 12% of basic
2. Employers share 12% of basic of which 3.67% goes to Provident fund and remaining 8.33% goes to Pension fund
(PF is calculated on 12% of basic, where the maximum deduction should be 1800 or whichever is less- i.e. basic should not exceed 15000/-)
11th January 2017 From India, Pune
Dear Seniors,
Please do clarify my below doubts with regards to EPF Calculations.
Case a) An employee with first time employment who's EPF Wages (Basic+DA) are more than 15000, shall i cover under EPF....? If yes, why? and i need a supported document or statement
Case b) An employee with existing membership of EPF, joined in a new company who's EPF wages crossed more than 15000, shall i cover under EPF? if yes, why? and i need a supported document or statement
Case c) An employee with withdrawn account, due to non employment for 3 months hence, the money withdrawn from the EPFO and joined in a new company with more than 15000 of EPF wages. Shall i cover under EPF? if yes, why? and i need a supported document or statement
Appreciate an update on the above doubts with relevant proofs.
Look forward,
Kishore Tholana
+91 9966359397
+91 9494087111
18th May 2017 From India, Hyderabad
Sir if we recruit a new employee in our organisation and his basic salary is more than 15000. So that we have to deduct his pf on basic which is more than 15000 or we can deduct his pf on 15000?
Please help
14th June 2017 From India, Delhi
Only to be calculated on the Basic Amount up to Rs. 15000/- @ 12% and maximum amount will go Rs. 1800/- . and the person who having the basis wages more than Rs. 15000/- will be calculated @ 12% of 15000/- on proportionate rate as optional.
But once deduction of PF contribution started from an employee can't be stop even his salary raised high more than Rs. 15000/- until his resignation. though his contribution can be calculated on the basis of maximum ceiling Rs. 15000/-
Regards,
Rajib
Corporate HR & Admin.
12th October 2017 From India, Kolkata
Dear Seniors,
Please do clarify
There is an employee whose gross salary is 40000 and that is 22,000 Basic, employee want to deduct PF on his basic 22000 is it possible or not if yes how ? as we know 15000 is ceiling of PF
Best Regards,
Sangeeta Thapa
+918057078653
27th November 2017 From India, Faridabad
#Anonymous
Hi,
Please help me with, if an employee's gross is more than Rs. 15000? can he opt for higher PF deduction? or is it compulsory to deduct only Rs. 1800?
Also is PF calculated on pro-rata basis? for eg. like Jeewan Mittal has asked above, gross of an employee is Rs. 50000 and if the same employee remains present for 15 days and basic is prepared accordingly i.e. 25000/- that is again more than eligible pay i.e. 15000. so now please suggest his/her PF deduction amount be 1800 or 900 (proportionate to working days)??
Please revert.
18th January 2018 From India, Chennai
Dear Payroll & HR experts:
How can we show increased employee PF contribution in the ECR upload process?
IF the employee is on a higher pay bracket and wants to increase his PF contribution, can we increase it ? If so how do we show this increase without affecting the ECR validation process in the ECR tool.
Thanks
Prem
+8746982307
19th April 2018 From India, Bengaluru
Any One please correct below table:
G W EPF W EPS W EDLI W EPF CONTRI EPS CONTRI EPF EPS DIFF REMITTED NCP REFUND
30000 30000 30000 30000 3600 2499 1101 30 0
9816 5800 5800 5800 696 483 213 30 0
26th May 2018 From India, Barmer
Dear All,
I have need one suggestion from you.
In our company one employee requested us to deduct PF as per PF deduction limit i.e. 15000/- instead of his Basic salary i.e. Rs. 45000/- (currently we deducted his PF on Rs. 45000/- i.e. Rs.45000*12% = Rs. 5400/-)
Please reply. Can PF allow us to do deduction of PF as per PF deduction limit i.e. Rs. 15000/- for only one employee.
Regards
Atul
8th September 2018 From India
Dear All,
I have need one suggestion from you.
In our company one employee requested us to deduct PF as per PF deduction limit i.e. 15000/- instead of his Basic salary i.e. Rs. 45000/- (currently we deducted his PF on Rs. 45000/- i.e. Rs.45000*12% = Rs. 5400/-)
Please reply. Can PF allow us to do deduction of PF as per PF deduction limit i.e. Rs. 15000/- for only one employee.
Regards
Atul
8th September 2018 From India
#Anonymous
dear all seniors,
good evening ,
i want share some information but not sure about this please suggest and correct me if any have idea
subject about PF deduction above PF decided ceiling which has (15000@12%=1800) my point of view is
if any Employees have basic 20,000 so he deduct his pf 20000@12%=2400 is it possible for both employer and employee .
EXAMPLE :-
As per my knowledge
basic = 2000
A--------------Employees +Employer share +15.67 % in the case of Employee and Employer ( 20000@12% =2400 + 20000@3.67% = 734 sub total 12%+3.67% =15.67% =2400+734= 3134 )
A= 3134
B-----------EPS share Employer =8.33 (1500@8.33%= 1249 ) in the case of EPS ceiling rule 15000 is applicable
B= 1249
Sub total A+B =3134 +1249 = 4384
Regards ,
Manoj Sharma
Asst Manager Legal & IR
TDS management Consultant
MOB- 7018592255
17th September 2018 From India, Ropar
Sir,
I believe that, if both employee and employer are contributing the same amount on the actual's of the basic for (e.g 25,ooo is basic ) then 12% of employees share will be paid towards EPF account, whereas the employer's contribution will be restricted to 8.3% towards EPS share and the balance amount will paid to the EPF account.
Anyone please correct me if i am wrong.
Regards,
Raman.
12th October 2018 From India, Chennai
Dear All,
All are right if ones i deduct my PF then i have to continue my deduction till resignation but anyone have PF notification about that
I want paper please help me
thanks in advance
Sagar Pednekar
10th December 2018 From India, Delhi
Hi Divya
In response to your query on employees drawing more than Rs.15,000/- pm here below is the position as far as PF is concerned in an FAQ format:
a. Can an employee who is already a member of the Provident Fund Scheme opt out of the Scheme when his salary crosses the ceiling of Rs.15,000/- per month?
No. An employee whose salary crosses Rs.15,000/- per month does not have the discretion of opting out of the Scheme. If his salary is more than Rs.15,000/- at the time of taking up an employment he can opt out and remain an “excluded employee” under the Scheme. The basic principle here is: “Once covered always covered”.
b. Can an employee who is already a member of the Scheme drawing more than Rs.15,000/- p.m. opt out of the Scheme if he changes his employer?
No. Once an employee has joined the Scheme, he will remain covered throughout his career.
c. Has an employee the option of limiting his contribution to PF only on the ceiling amount of Rs.15,000/-?
Yes. Paragraph 26A of the P F Scheme provides for it.
Hope the above answers your doubts.
19th May 2019 From India, Nasik
if the employee dosent disclose his or her privious employment details and uan no and asks not to deduct PF at the time of joining in new company. what and employer should do.
27th May 2019 From India, Ahmedabad
Hi,
If your company is already covered under PF, then PF deduction is compulsory for all employees and it is not as per the choice of employee. Even if the employee didn't disclose the previous UAN details, at the time of creation of new UAN, you will be able to know about previous UAN with which his PAN and Aadhaar are linked.
27th May 2019 From India, Madras
Vmlakshminarayanan sir
if i am not going to diduct the pf of that employee than why should i create a new UAN of that employee do in this case no UAN mismatch or anything like that will happen. am i right. i have taken the form 11 from that employee and in wghich he has not mentioned his privious employment detail. i am paying him 15000 per month less his absents.
27th May 2019 From India, Ahmedabad
V.M.Lakshminarayanan
this website says difrent thing.
https://www.dnaindia.com/business/co...at-all-2213003
please give your views
27th May 2019 From India, Ahmedabad
Hi,
For the PF deduction, the maximum limit of salary of the employee is Rs 15,000 per month. This means that even if the employee’s salary is above Rs 15,000, the employer is liable to contribute only on Rs 15,000 that is Rs 1,800.
27th May 2019 From India, Madras
what about the exemted employee? and please tell the views on the https://www.dnaindia.com/business/co...at-all-2213003 link
27th May 2019 From India, Ahmedabad
Hi,
Even if the salary is above 15000/- the employer is liable to contribute on Rs 15,000 that is Rs 1,800.
28th May 2019 From India, Madras
Dear Experts,
here I got a doubt about PF calculation of certain employees
Q: if an employee fixed basic is 15000 pm, and in one month he worked for 10 days then should we calculate PF on his fixed basic with ceiling or on the basis of his earned basic wages.
4th June 2019 From India, Chennai
Hi,
PF deduction is always on earned basic obviously. If the employee worked for 10 days and balance 20 days adjusted against leave then his earned basic is 15000/- only.
If the employee doesn't have leave eligibility and in case of leave for 20 days then he is eligible for 10 days earned basic only.
4th June 2019 From India, Madras
The PF deduction is to be calculated on the amount of the employee's earned basic income for 10 days only unless the employee is on leave with pay for rest of the month.
The logic for this goes something like this. The amount of Rs.15,000/- is not an absolute amount on its own. It is per mensem or per month of 30 days (typical month). Naturally the employee would earn only proportionate amount as salary based on his attendance attracting that much as the qualifying figure for calculation of deductions.
4th June 2019 From India, Nasik
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