PF Calculation For Mid Joinees For MH State

vrvchander@gmail.com
Hi Experts
In the case of mid month joining/leaving/absences or transfer scenarios how PF should calcualte.
Example : If employee gross is 20,000 P/M and he joins 15th of April 2013 then he is eligible for 10,000 for that month.
So PF for 30 days is 780 rs, But as employee joined on 15th of april his pf is calculation as 780/30= 26rs per day which is 26*15=390.
Is the above calculation is correct.
My client says even if Employee basic is more than 6,500 after mid joining it must deduct flat 780 and shld not consider prorate.
Can it legally happen.
Regard
Chandu
kprasoon
@vrvchander@gmail.com
EPF contribution is calculated on actual amount paid (basic+DA or ceiling of 6500/-).
There is no fixed amount as such to be contributed in the EPF.
Your calculation is absolutely right.
thanks,
Kamal
vrvchander@gmail.com
Hi Kamal
So you mean to say if emp joins 16.04.2013 with basic 15000 after prorate(Actula basic is 30000) then his PF should be 780 or 780/30=26rs per day so for 15days 26*15=390 to be deducted.
kprasoon
PF contribution should be 12% of the basic + DA (actual paid) or if there is a ceiling of 6500/- for PF contribution then it should be 780/-. because employee is getting more than 6500/-.
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