How to Calculate Salary for Immediate Termination: Do We Deduct PF or Use Basic Salary?

pmirasdar@gmail.com

Hello,

If an employee is terminated from the organization with immediate effect and the company wants to pay the employee his entire notice period, then how should we calculate his/her salary? Do we have to deduct PF, or should we calculate his/her salary based on his/her basic salary?

Kindly guide me.

Regards,
Prajakta

venkee6030

Salary calculation is always the same whether an employee is in their regular work period or in the notice period. The PF deduction also remains constant and is based on the employee's attendance and Basic+DA.

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