Is It True You Don't Get Full Provident Fund After 2 Years? How Much Can I Expect?

Hi,

I came to know on this forum the method of withdrawing the PF amount. But I was told by someone that if you withdraw your PF after 2 years of service, as in my case, you will not get the complete amount of PF. Is that true? If yes, then please tell me how much percentage I would get of my total PF.

Thanks,
Nikhil Jain

Dear,

Basically, the employer's share of PF is 12%, out of which 8.33% is deposited in the pension and 3.67% is deposited in PF. The employee's share of 12% goes to PF, making the total share of PF 15.67% and pension 8.33%.

Now, if you leave the organization within 6 months, you will not receive the 8.33% pension amount. As you are leaving after 2 years of contribution, you will get the full share with interest.

Thanks,
J. S. Malik

Dear Nikhil,

As per my knowledge, if your basic pay is more than ₹6500 per month, the employer can stop the PF deduction of employees and the employer contribution. For more information, please contact any senior person who specializes in statutory compliance and labor laws.

Thanks,
Tushar Swar.

Dear,

Yes, I agree with Mr. Govind. The company cannot stop the withdrawal of PF under any circumstances.

Thanks,
J. S. Malik

Mallikjee, please tell me one thing: if an employee has a basic salary of 6500, and his PF is deducted from his basic salary in one organization, after six months, his basic salary increases. The question arises: is he now exempted from having his PF deducted by the employer compulsorily or not?

I had a question here. In our company, we have INR 780 each contributed by employees and employers. What will be the percentage breakdown for Pension and PF in this case.

Thanks in advance,
Divyata

Dear,

If PF deduction is ₹780, it means the basic is ₹6,500.

Employee contribution for PF = ₹780
Employer contribution for PF = ₹239 (12% of salary for PF less 8.33% of pensionable salary)
Employer contribution for EPS = ₹541

Senior, please suggest if I am wrong.

Thanks,
Mahender Singh

Hello Sir,

I changed my company after working for 1 year of service. It has been 3 years since then. I have not withdrawn my PF from the company. Can I do it now? What is the procedure, and will I face any problems?

Please reply to my email - [Login to view].

Regards,
ABA.