Dear Sir, I have some queries related to PF opt-out option. Hope you will help me for the same.
1) If an employee was a member of PF in his/her last company and he/she has withdrawn his/her PF amount then he can opt out from PF?
As per my knowledge if someone already was a member of PF then he can not opt out from PF. (Please correct if i am wrong)
2) Do I need to submit form 11 at the PF office or do I just need to keep my record?
3) We have around 37 employees in our company, is it possible that some employees can opt-out and others not?
Please help for the same.

From India, Solan
Kumaran Praveen
Hr And Labour Law Consultant
+2 Others

Kumaran Praveen

Hi Mr.Sapna,
For your first query:
My answer is yes, if a employee withdraw is whole PF amount from previous employment, he/she may opt out of PF.
For your second query:
Sorry, I didn't no the answer.
For your third query:
No, You cannot do like it unless the the first scenario Happens (Your First Query-Case).
With Regards
Mr.Thumbs Up

From India, Chennai

Dear Sir
Few days ago, I applied PF Voulantry coverage for our Establishment . we attached our salary structure with that application.
Example Salary structure is as follows.
Name Gross Salary Basic DA HRA TA Gross Earn PF deduction ESI deduction Net Wages
Xxxxxx 10000 5000 1000 2000 2000 10000 720 175 9105
We deduct the PF contribution for basic wages and DA only.
But PF enforcement officer advised to us that, please deduct the pf contribution for gross earning (expect HRA ) and don’t take Basic & Da.
As per the PF act , you would deduct the amount for whole salary. Ii it true?
But most of the companies pay only basic wages and DA . please advise me senior. It will be help me .

From India, Chennai

Basic= 5000 DA=1000 HRA=2000 TA=2000 PF deduction=720 ESI Deduction=175 Net wages =9105
From India, Chennai
Kumaran Praveen

Hi Mr.Kalyanasundaram, As per PF&MP Act-1952 we have to deduct PF contribution from BASIC+DA only (Above Calculation is right). With Regards Mr.Thumbs UP
From India, Chennai

Ok Sapna
Lets do it point to point.
1. If an employee has withdrawn his/ her EPF and EPS from the EPFO then he/she will be treated as new member of the EPFO if he/she joins again. Optioning Out is not option for person whose salary is less then 15000 (salary on which you deduct EPF, it may be Basic + DA or Gross (as per company policy)). However if salary is more then 15000 then it is the option of the employer and the employee to opt. for epf or not.
2. Form NO. 11 (R) is mandatory as per EPFO, but you do not have submit to the EPFO. Only you have to do is go to and go to PREVIOUS EMPLOYMENT and fill the previous employment of employees and get it Digitally Signed.
3. Again it is not an option for Less then 15000 people.
Hope I got everything right.
Stay Cool.

From India, Phagwara

Hello Professionals,
We are running Labour Law consultancy in Bangalore , and we do provide services In Payroll, PF, ESI and In other labour laws.
If anyone looking for these services and more information Please contact us on the below phone number.
Govind Sagar AV
Labour Law Consultant, Bangalore
PH -9036368502

From India, Bangalore

All employees who has withdrawn PF cannot opt out of Pf in the next Co even if his salary is above Rs15000/- Pm.The withdrawal should be due to retirement after the age of 55 yes or for migration from India. Withdrawal after resignation or termination is not a ground for opting out.Read the definition of ' excluded employee' in the EPF scheme.
From India, Thiruvananthapuram

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