Dear seniors, Please help me in PF, I have many workers in my organization who have nearly 1800/- pf deduction every month. Can I reduce this deduction by changing the salary component? if yes then how?
From India, Vadodara
From India, Vadodara
Yes, you can reduce the pf deduction amount. At First, you have to show their basic salary less than 15k that help in reducing pf amount.
From India, Delhi
From India, Delhi
This is not straight cut mathematics. As per PF Act it is not possible to reduce salary to bring down PF contribution. Yes it is possible if the organization is paying PF contribution above the statutory limit i.e above 15k per month. But it is not allowed to bring down salary below 15k per month or below the actual salary which is already below 15k per month.
S K Bandyopadhyay ( WB, Howrah)
CEO-USD HR Solutions
+91 98310 81531
USD HR Solutions – To Strive towards excellence with effort and integrity
From India, New Delhi
334S K Bandyopadhyay ( WB, Howrah)
CEO-USD HR Solutions
+91 98310 81531
USD HR Solutions – To Strive towards excellence with effort and integrity
From India, New Delhi
Community Support and Knowledge-base on business, career and organisational prospects and issues - Register and Log In to CiteHR and post your query, download formats and be part of a fostered community of professionals.
PF Contribution on Leave Encashment - Clarification by EPFO.pdf