Hi all,
One small information on Mr.V.R.Rao's notes. the monthly salary only divided by 26 and the daily wages need not divided with 26.
Then, for Bidyadhar Mukhi...
Actually the PF Act says that..
Any employee working under any establishment and his basic + DA is below 6500/- then the employee should be a member of the PF scheme. (If the basic+Da is above 6500/- also can be the member but its not mandatory)
The contribution is 12% from both Employee and Employer.
From the 12% of employees contribution will directly remitted to the PF account.
the 12% of employer contribution will remitted to as follows.
out of 12% 8.33% towards Employees Pension fund and balance 3.67% to PF account.
For Pension eligibility - the employee should complete the service for 10 years (either revised pension or complete pension).
Trust this is cleared your doubt.
Best Regards
Saravanan
Asst. Manager - HR
Thiruvalla, Kerala
One small information on Mr.V.R.Rao's notes. the monthly salary only divided by 26 and the daily wages need not divided with 26.
Then, for Bidyadhar Mukhi...
Actually the PF Act says that..
Any employee working under any establishment and his basic + DA is below 6500/- then the employee should be a member of the PF scheme. (If the basic+Da is above 6500/- also can be the member but its not mandatory)
The contribution is 12% from both Employee and Employer.
From the 12% of employees contribution will directly remitted to the PF account.
the 12% of employer contribution will remitted to as follows.
out of 12% 8.33% towards Employees Pension fund and balance 3.67% to PF account.
For Pension eligibility - the employee should complete the service for 10 years (either revised pension or complete pension).
Trust this is cleared your doubt.
Best Regards
Saravanan
Asst. Manager - HR
Thiruvalla, Kerala