PF is Deducted on Basic +DA.Not on gross salary.If am not wrong.
The employees, who were drawing salary beyond Rs. 6,500/- per month (p.m.) and less than Rs. 15,000/- p.m., were excluded employee within the meaning of Para 2(f) of the Employees’ Provident Funds Scheme (EPF Scheme), 1952 up to 31st August, 2014. Consequent upon the enhancement of wage ceiling to Rs.15,000/- per month, all such employees have become eligible to be member of the Fund from 1st September 2014. EPF contribution in respect of such employees for the wage month of September 2014 is payable by 15th October, 2014.
Emoluments, for the purposes of reckoning the wage-ceiling of Rs.15,000/- p.m., means all components of emoluments payable in cash to an employee during the month excluding: (a) House Rent Allowance (b) Over Time Allowance (c) Bonus (d) Commission or similar allowance (e) Any presents made by employer For example: Employees - A Basic wage 12000 Dearness Allowance 3000 Retaining Allowance - House Rent Allowance 2000 Over Time Allowance 1000 Bonus 2000 Conveyance Allowance 5000 Presents - Employee A:Eligible for membership of the Fund as basic wages and dearness allowance are Rs.15000/- or less p.m. Employee B: Basic wages 13000 Dearness Allowance 3000 Retaining Allowance - House Rent Allowance 1000 Over Time Allowance 2000 Bonus 1000 Conveyance Allowance 5000 Presents -. Employee B: Not eligible for membership of the Fund as basic wages and dearness allowance are above Rs.15000/- p.m.
For More Details Pls refer to epfo Website.