How to Handle PF Contributions When Employee Count Hits 20 Mid-Month?

Dear all,

Procedure for PF Contribution When Reaching Coverage Threshold Mid-Month

What will be the procedure for PF contribution as per the act if a company is going to reach the desired number (20) for coverage in the middle of the month?

For example:
- In April: 2 employees
- In May: 4 employees
- In June: 20 employees (by 15th June)

Do we calculate the PF contribution on a full-month basis, or is it only for the 16 days worked?

In other words, for the above 4 employees, one has to provide two types of salary (one with PF deduction and one without PF deduction).

Please take necessary action on an urgent basis.

Regards,
Vikas Kumar

Dear all, what will be the procedure for PF contribution as per the act if a company is going to reach the desired number (20) for coverage in the middle of the month?

Example Scenario:

- In April: 2 employees
- In May: 4 employees
- In June: 20 employees (by 15th June)

Do we calculate the PF contribution on a full-month basis, or is it only for the 16 days of working?

In other words, for the above 4 employees, does one have to provide two types of salary (one without PF deduction and one with PF deduction)?

Please take urgent action.

Regards,
Vikas Kumar

Dear all, what will be the procedure for PF contribution as per the act if a company is going to reach the desired number (20) for coverage in the middle of the month?

For example:
- In April: 2
- In May: 4
- In June: 20 (by 15th June)

Do we calculate the PF contribution on a full-month basis, or is it only for the 16 days of working?

In other words, for the above 4 employees, one has to give two types of salary (one without PF deduction and one with PF deduction).

Please take urgent action.

Regards,
Vikas Kumar