Hr Consultant
Senior Manager - Statutory Compliance
Vidyadhar Bhat
Consultancy In Pf
Asst. Manager Hr & Compliance
+2 Others

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Dear Respected All,
Plz let me know if an employee has basic salary as 20000 and as Per PF Act. celling is 15000, my question is, if in particular month of 30 days if employee was absent for 2 days then what will be calculation to deduct PF, if I make basic as 20000/30*28=18666.66 then what the PF should I deduct as 1800 or 15000/30*28=14000 so PF deduction will be 1680, so what calculation should I use,
I hope you understand my question.
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under no work no pay or LOP the calculation would be on 14000 i.e 1680 and NCP days would be 2
Since the earned Basic ie., Rs. 18,666 is greater than Rs. 15,000 then you need to consider the ceiling limit of Rs. 15,000 as PF Wages and PF deduction will be Rs. 1800.
as the absent is declared, so the calculation would go for 28 days in place of 30 and 2 days NCP ( non contributory period) would be reflected in ECR
Dear Sharma ji, Noted but my question is what will be PF contribution (Employee Account @12%) as 1800 or 1680 My main focus is that. Regards Bharat Sukhwal
1800 is for full 30 days or 31 days , if 2 days NCP is counted then obviously it will be 1680
Dear Mr. Bharat, The EPF is related to wages earned ( amount). If member is earning more than 15 K, max 15K PF will be deducted i.e. Rs 1800/-
Dear All Pls clarify for PF contribution weather month shall by devided by 26 days basis or calander month basis Regds Amit
PF is to be calculated on pf wages actually paid, and not payable.
Dear Mr. Amit,
PF should be calculated for Monthly earning members, on days for the wage month.
If member is daily wage system, then it will on actual days excluding holidays in the month
Vidyadhar Bhat
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