Hello,
I understand that HRA and Conveyance allowances are not included in calculation of employee / employer contribution towards PF. But is it considered when calculating the gross pay for PF cut off limit of 15,000?
For example, consider the following salary
Basic = 8,800/-
DA = 4,400/- ( 50% of Basic)
HRA = 5,280/- (40% of Basic + DA)
Conveyance Allowance = 1,600/-
Gross Pay = 20,080/-
Here Basic + DA is 13,200, which is below 15,000. But gross salary is above 15,000. Is it mandatory to contribute to PF for this employee?
Also, is PF applicable for interns/apprentices?
I understand that HRA and Conveyance allowances are not included in calculation of employee / employer contribution towards PF. But is it considered when calculating the gross pay for PF cut off limit of 15,000?
For example, consider the following salary
Basic = 8,800/-
DA = 4,400/- ( 50% of Basic)
HRA = 5,280/- (40% of Basic + DA)
Conveyance Allowance = 1,600/-
Gross Pay = 20,080/-
Here Basic + DA is 13,200, which is below 15,000. But gross salary is above 15,000. Is it mandatory to contribute to PF for this employee?
Also, is PF applicable for interns/apprentices?