Basic Salary + HRA

bhavesh1119@gmail.com
Hello Cite HR Member, My basic salary constitues Rs. 8000/-, My HRA is 50% of Basic Rs. 400/-, Conveyance allowance is Rs. 800/- and AD Hoc allowance is Rs. 13,780/-., My deduction of PT comes to Rs. 200/-, what would be my deduction of PF in above case. Please help me in the above Query. Thanks.
korgaonkar k a
Dear [Login to view],
It seems you have made mistake in HRA percentage.
In your case, PF deduction would be Rs. 960/- i.e. 12% on your basic, if basic is paid equal to or more than minimum wage rate as applicable to your category of employee in the schedule industry you are in.
srs_vignesh
Dear Bhaavesh,
Section 2 (b) is interpreted by the enforcement authority as Basic wages means all allowance excluding DA & OT. So, in such a case PF to be calculated in your case 12% of your salary i.e.Rs.15,000/-.
However, Government is proposed to amend the above clause as only as wages and not Basic wages. If the above amendment will enforced then there may not be any interpretation about the definition of wages as far as PF is concerned.
regards
S Rajasekaran
korgaonkar k a
Dear S Rajasekaran ji,
I was stun on reading your above statement. I was taking a pause for comments by other learned members in this forum on your above statement. Now I can not wait for more and compelled my self to write this. I started doubting my knowledge since there is no comment by any member on this statement.
To up date my knowledge and correct myselft, can I ask you to elaborate on your above statement? Is there any supporting with the enforcement authority to suffice their interpretation? What is the ground with HR Fraternity to accept the interpretation by enforcement officers?
I am aware of above proposed amendment and agree with this statement.
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