Queries on Salary Structure and EPF Notification
1. Suppose we have a salary structure as follows:
- Basic: 3495
- HRA: 1747
- CCA: 524
- CA: 349
- Gross: 6115
We deduct PF on the Basic salary. According to the new notification, we cannot split the minimum wage. Therefore, PF will be deducted on the actual minimum wage, i.e., 6115. The question is, if we increase the gross salary to 6250, which is more than the minimum wage, then the Basic would be 3577, which would be less than the minimum wage. Will this be a wrong calculation?
2. Do we need to ensure that the Basic salary is equivalent to the minimum wage?
Thanks