EPFO Administrative Charges Reduced: How Does This Impact Your Business?

EPFO Administrative Charges Update

The EPFO has revised the administrative charges from 1.10% to 0.85% with effect from 1st January 2015. Please see the notification.

Regards,
PBS KUMAR

Thank you, Mr. PBS Kumar, for posting this circular on the site. Can you please help me in getting the link to this circular on the EPF website or the Labour's website? I tried to search for the source of this circular on the site but was not able to find it. I even contacted the PF office (helpdesk) but only received a reply that they do not have online information on this yet. If you have the link to this circular, please post it.

Thanks & Regards,
RS

Can anybody clarify the following mentioned in the act:

"Subject to a minimum sum of seventy-five rupees per month for every non-functional establishment having no contributory member and five hundred rupees per month per establishment for other establishments."

Regards,
T.S. SRINIVASAN

Thank you, Pbs Kumar. It was really useful information. I have a doubt here. In the circular, it is mentioned that it will be effective from Jan 1, 2015. However, we have already made the payment for January & February. What about these two months' extra admin charges that we paid?

As per the EPFO notification, the details are attached here. Employers have to pay the balance amount for January and February 2015 under the "Challan Entry" available in the Employer E-Seva.

Regards,
Arockiarajs

Detail of Revision

Previous Rule:

Two Conditions:
- No Employee: Minimum Rs. 5 in A/c 2 and Rs. 2 in A/c 22.
- Others: 1.1% in A/c 2 and 0.01% in A/c 22.

New Rule:

Two Conditions:
- No Employee: Minimum Rs. 75 in A/c 2 and Rs. 25 in A/c 22.
- Others: 0.85% or Rs. 500, whichever is higher, in A/c 2 and 0.01% or Rs. 200, whichever is higher, in A/c 22.

I hope this helps. Let me know if you need any further assistance.

Dear All,

You can adjust who pays more or less administrative charges in A/C 2 and A/C 22. I have received an adjustment letter from the central PF office. If you want, then send me your email ID, and I will send it.

Regards,
Mukund Roy
9210695698