For PF Calculation We Consider Only Basic Or Basic+DA?

srikanth.hrm
Dear All,
Good Evening.
For PF calulation we consider only Basic? or Basic+DA we can consider?
Please let me know.
Regards
Srikanth
avleen
Hi All,
I have hired 4 unskilled manpower with a cash in hand of Rs. 8000/- pm
As per government rules they are eligible for PF and ESI and 4 offs in a month
i am not sure about , whether they are eligible for Government holidays and leave policy like other staff member which includes EL, CL and SL
Also someone told me that hence we pay them overtime , in that case they are not eligible for the above mentioned leave policy but only 4 offs in a month.
Pls let me know what is right
Thanks
Avleen
Ro
Hi Mr. Shrikant,
PF deduction is only on Basic with the upper caps not exceeding more than Rs 6500. Any employee drawing wages more than above will be termed as excluded employee provided he is not already a member of PF.if he is already a member of PF then his PF deduction will be on 6500only
padala venkata subba rao
Mr.Shrikant,
The PF deduction shall be made on Basic+DA as Contribution with equal contribution by the Employer. The maximum ceiling limit on both Basic+DA is Rs.6500/-.
abbasiti
Dear Srikanth,
Kindly go through the section 29(1) of the EPF Act 1952 (Chapter V)
29. Contributions
(1) The contributions payable by the employer under the Scheme shall be at the rate of [ten per cent] of the [basic wages, dearness allowance (including the cash value of any food concession) and retaining allowance (if any)] payable to each employee to whom the Scheme applies:
Provided that the above rate of contribution shall be [twelve] per cent in respect of any establishment or class of establishments which the Central Government may specify in the Official Gazette from time to time under the first proviso to sub-section (1) of section 6 of the Act.
Abbas.P.S
Shabana Begum
dear all,
in our organisation, everyone's basic+DA is more than Rs 6500. The PF deducted from employee side as well as contributed by employer is Rs 780 throughout the company.
is this correct or the employer contribution should be 12% of Basic + DA
lmananthapur
780 is the correct. The maximum contribution of Employer side is on Rs.6500/- only. If salary is more than 6500/- it is option for pf.
varghesemathew
The unskilled employees are also eligible for all benefits like other employees.OT is not an excuse.I do not think that by any law an employee is eligible for 4 leaves in a month
Varghese Mathew
9961266966
varghesemathew
Mr ABBAS
The sections in EPF Act is numbered only up to 23.What you referred is para 29(1) of Employees Provident Fund Scheme 1952.
Varghese Mathew
varghesemathew
If any sum is paid as DA that is considered for PF deduction.
Varghese Mathew
If you are knowledgeable about any fact, resource or experience related to this topic - please add your views. For articles and copyrighted material please only cite the original source link. Each contribution will make this page a resource useful for everyone. Join To Contribute