Understanding PF: Common Questions and Answers About the PF Act and Its Forms

Hi friends,

We all get a little confused with PF. Here are some questions and answers related to the PF act in the form of Q&A. Along with that, I am attaching different forms of PF.

Regards,
Divya

Good. Very informative.

You may add one more question, 'Is PF deduction required for leave encashment?'

Good one. Two corrections are required:

1. Deduction is on basic wages and DA, not on basic only. Moreover, the definition of basic wages is provided in the EPF and MP Act, which needs to be followed.

2. Pension contribution is mandated at 8.33% from the employer's share of contribution, not the employee's share.

Dear all, EPFO has its website [EPFO](http://www.epfindia.gov.in) which has all the requisite information.

Hi friends,

Thank you all. I have made a mistake in one slide that is of contribution, please correct it. It's like 12% on the employee PF account in employer contribution.

13.61% is divided as follows:
- 12% of basic paid towards employer PF contribution goes into two parts:
a) 8.33% to the employer pension account
b) 3.67% to the employer PF contribution account
- 1.61% towards admin charges as under:
a) 1.1% of basic to PF admin charges
b) 0.5% to EDLI charges
c) 0.01% to EDLI admin charges

Please correct me if there are any other errors.

Regards,
Divya

Hi Divya,

It's a very useful document that you have shared, thank you for the same. I request you to share ESI, CLRA, and S&E act documents in the same way, if possible.

Thanks & Best Regards,
Dasharath Rao
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Hi Divya,

Great contribution. Some corrections are there. The contribution amount can be either for the full basic or it can be limited up to a maximum of 6500. Good PDF for learners.

Cheers,
Jeeva