Percentage Of Basic & DA On Total Gross Salary

hi Mr. Srinivasn,
i have one doubt.
Eg: one of our employee is having BA+DA of rs. 10,000/- and we are contributing to PF on 10000(Rs.1200 being 12% of Rs.10,000/-). and for pension fund we are contributing 8.33% of Rs.6500(i.e. Rs.541) and balance amount goes to Employees PF.
here i have the doubt that, for calculating EDLI, and EdLI administration charges, should we consider Rs.6500 or Rs.10,000.
waiting for early reply

hi Mr. Srinivasn,
i have one doubt.
Eg: one of our employee is having BA+DA of rs. 10,000/- and we are contributing to PF on 10000(Rs.1200 being 12% of Rs.10,000/-). and for pension fund we are contributing 8.33% of Rs.6500(i.e. Rs.541) and balance amount goes to Employees PF.
here i have the doubt that, for calculating EDLI, and EdLI administration charges, should we consider Rs.6500 or Rs.10,000.
waiting for early reply
manoj

Dear Mr. Prasad,
Recently we had a PF inspection at our office. We maintained all the relavant document in clear manner but we are following 50% basic and DA on gross. Pf officer said strictly we have to follow minimum 65-70% then we finally said ok we will follow this eventhough we paid 70000 Rupees for non maintaining 70% on gross, they asked 140000 but we paid 700000 with the help pf enforcement officer. for example if you ask there is any rule for 70% simply they say there is no rule but they will catch you some other way. Now we restructured all the basic things like 60% basic. So try to formulate 60% of basic on gross. There is no way to escape from PF official this is my real time experience.

Even if EPF is contributed on Rs 10000, EDLI (like EPS) is contributed on a salary of Rs 6500 only. Similarly administrative charges on EDLI is alos calculated on Rs 6500.
Regards,
Madhu.T.K

Mr.Kumar,in my opinion the admin charges on PF &EDLI is calculated on earned basic+da # pf wages# but not on total gross salary which can prove to be huge burden on employers contribution
Kareem

Dear friends,
Thank u all for your responses and the suggestions. I am sorry for the late reply as it happened to see just now when I spotted the replies under my subscribed discussions.
Best wishes!
Regards,
Prasad

Dear All,
According to my observation the bifurcation of gross amount will be like as follows-
Basic+DA 50%of gross
HRA 20%of gross
CONVEYANCE 6%of gross
MEDICAL 10%OF GROSS
EDUCATION 1%
OTHER ALLOWANCES 13%OF GROSS .
Correct me if i am wrong.I have a question to all my seniors- how to show bonus in the salary statement.I studied that bonus % will be 8.33%of 3500 or rs100 whichever is more.Kindly help me....
Thanks
Ritu Sinha
KCPL

Hi can some one help.an employee in her agreement is mentioned 35000 in hand salary.we paid her 35000 without TDs deductions as company was newly formed in sept 2012.she is terminated due to some reasons by me.now she argues on gross salary of 38500 as I don't fall under Tds deduction as employee if crossing 2 lacs then the Tds deduction starts.how can I counter attack this employee

You are wrong kumar,
Admin charges on PF is calcuated on bases of BAsic +DA used for calculation of PF contribution. and Administartion charges on EDLI is calculated on 6500 or Basic+DA, which ever is less.
Admin charges not calcuated on Gross salary. why should employer pay simply on higher salary, without getting any benefits like increase in LIfe insurance or increase in pensions..

HI frnds im fresher i need your assistance i want to know if one person salary is 20000 per month how to caliculate basic da hra