EPF Contribution Dilemma: How Do You Handle Allowances in Your Calculations?

Dear members, recently, the EPF Commissioner informed our company that all allowances, except HRA, are to be included in the basic wages for the calculation of EPF contributions. Normally, we include Basic and DA only for PF calculation. If anybody has faced a similar situation, please provide a solution.

Thanks

Yes, now all allowances except HRA are considered for PF contribution.

Regards,
B. Saikumar
HR & Labour Law Advisor
Mumbai