Dear Rolly & Richa,
Wge limit under EPF act to cover an employee is Rs.6500/ per month.Any employee drawing wages more than above will be termed as excluded employee provided he is not already a member of PF.if he is already a member of PF then his PF deduction will be on 6500/ only.
Voluntary higher contributions are also acceptable at the joint request of the member and the employer . However, the rate of contribution is 10% in respect of the following categories of establishments:
* Any establishment covered prior to 22.9.97 in which less than 20 persons are employed.
* Any sick industrial company as defined in Clause(0) of Sub-Section(1) of Section 3 of the sick industrial companies ( special provisions ) Act 1985 and which has been declared as such by the Board for Industrial and Financial Reconstruction.
* Any Establishment which has at the end of any financial year accumulated losses equal to or exceeding its entire net worth.
* Any Establishment engaged in manufacturing of (a) Jute , (b) Beedi , (c) Brick , (d) Coir (other than spinning sector), (e) Guar Gum Industries/Factories.
Hope it will help a lot to understand the situation.
Regards,
Amit Seth.