Dear Seniors,
Greetings for the day. We are deducting P.F. contributions above the ceiling (₹6,500). If an employee is getting ₹10,000 as PF salary, we are remitting the whole amount (i.e., ₹10,000 * 12%) to EPFC (EE 12% + ER 13.61%).
Example:
Dinesh's P.F. Salary is ₹10,000.00
P.F. ceiling is ₹6,500.00
My question is, should I calculate the Admin Charges (1.1%) for ₹10,000/- or can I calculate for ₹6,500/-? What figure should I remit to EPFC, either ₹100/- or ₹71.5? Why shouldn't I go for ₹71.5? Please clear my question.
Regards,
Dinesh L
Greetings for the day. We are deducting P.F. contributions above the ceiling (₹6,500). If an employee is getting ₹10,000 as PF salary, we are remitting the whole amount (i.e., ₹10,000 * 12%) to EPFC (EE 12% + ER 13.61%).
Example:
Dinesh's P.F. Salary is ₹10,000.00
P.F. ceiling is ₹6,500.00
My question is, should I calculate the Admin Charges (1.1%) for ₹10,000/- or can I calculate for ₹6,500/-? What figure should I remit to EPFC, either ₹100/- or ₹71.5? Why shouldn't I go for ₹71.5? Please clear my question.
Regards,
Dinesh L