If we are deducting PF of an employee as his basic is less than 15000 Rs. and it is mandatory to have PF contribution and after an appraisal his CTC is increased and his basic also exceeds from 15000 to 16500 (lets say), is it still mandatory to deduct his PF contribution from his salary because we were deducting in past when it was mandatory for him.
Is there any rule that if a person is enrolled in PF while joining as per the salary and PF rules, it is mandatory that PF should be a part of his salary even if his salary is raised and he is out of PF bracket.
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Hi There,
PF to be deducted @ 12% of Basic / Basic + DA. If basic is increased and if its exceeding Rs. 15000, PF to be deducted on 15000 only (15000*12% = 1800).
Once person enrolled in PF then it is mandatory to deduct his PF @ 12%,though he crossed limit of Rs.15000 ; however you can have ceiling of Rs 15000 while calculating PF.
Thank you for the advise...It resolved my query...
Once you are in PF, always in PF!
Does this rule have any reference with sections or clauses or or Rules or Notifications?
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