Question 1: Which employees are excluded employee under Employees’ Provident Funds and Miscellaneous Provisions Act, 1952.
Answer: An employee whose salary (BASIC+DA) at the time of entry into EPF Scheme more than Rs.15,000.
Once employee will be a member of EPF, then employee must have to continue in EPF (irrespective of salary hike). And EPF membership continues even after one’s salary crosses Rs.15,000 pm
One employee will join in our company.
His (BASIC+DA) will be more than Rs.15,000 at the time of joining
He is a member of EPF in his previous company.
He has PF Number and UAN Number which has given by his previous company.
Now my query is that
1.Is he excluded employee under Employees’ Provident Funds and Miscellaneous Provisions Act, 1952 even though he is a member of EPF in his previous company
2.Is he included employee under Employees’ Provident Funds and Miscellaneous Provisions Act, 1952, even though his (BASIC+DA) will be more than Rs.15,000
3. Is he eligible for mandatory EPF contribution (compulsory EPF contribution) even though his (BASIC+DA) will be more than Rs.15,000
4. Is he eligible for Voluntary Provident Fund (VPF)
Thanks with Regards,
From India, Hyderabad
He is an existing member. An existing member means one who has not withdrawn his PF accumulations on leaving the establishment. Since he is an existing member, he will not come under the category of excluded employee when he joins another establishment even at a salary higher than Rs 15000. Needless to say, it is mandatory to cover this employee. It is for this purpose that we are collecting from 11 from every new joinee. The form 11 declares whether the new joinee is an existing member or not. If not an existing member, and is joining your establishment with a PF qualifying salary of more than Rs 15000, then you can treat him as an excluded employee.
Since such an employee is covered he can even opt for voluntary contribution also.
From India, Kannur
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