What confusion do you have regarding PF? Any employee with a salary less than ₹6,500 is compulsorily enrolled in the PF scheme. An employee with a salary higher than ₹6,500 can also join the PF scheme, but it is not mandatory.
Contribution Rates
The rate of contribution for the employer is 12% of basic + DA, while the employee's contribution rate is 12%. The employee can contribute more if they wish, up to a maximum of 85%.
Employer's Contribution Details
- Pension Fund: 8.33%
- Provident Fund: 3.67%
- Employee Deposit Linked Insurance: 0.5%
- Administrative Charges for PF Scheme: 1.10%
- Administrative Charges for EDLI Scheme: 0.01%
For further details, you can browse the previous post to find ample material.