EPF Both Part Employee and Employer getting deducted from employee salary

sub-zero
SALARY HEAD (A) PER MONTH
BASIC DA - 20,000
HOUSE RENT ALLOW. - 8,000
CONVEYANCE ALLOW. - 1,600
SPECIAL ALLOW. - 34,305
GROSS SALARY (A) - 63,905
Retirals (B)
EMPLOYER PF - 1,800
GRATUITY - 962
TOTAL(B) - 2,762
Fixed CTC (A+B) - 66,667
Year-end Bonus(C) Retention Bonus will be paid post completion of the year INR 50,000/-
TOTAL CTC (A+B+C) 8,50,000/-
Now my question is monthly salary is coming out above to be - 66, 667 but receiving 59, 344 in bank as per my following calculations after viewing the salary slip -
Monthly - 66, 667
Graduity - 962
TDS - 2,761
EPF - 3600 (1800 - Employee Contribution, 1800 - Employer's Contribution)
Received in Bank - 59, 344
Its showing employer contribution in the website from which all the employees in the company can see their Salary Slips and EPF contribution, but from the above calculation its clear that amount is also getting deducted from the salary. Also confirmed with the HR of the company.
1) Is it right that both the EPF parts are getting deducted from the CTC?
2) If not what can I do to make it right?
Please help me sort this thing
ravi5554
Dear Friend,
Whatever the breakup you mentioned that is CTC ( Cost to company).
Every company designs different CTC's as per their policies, and for your knowledge CTC includes PF,Gratuity,Bonus etc....Whatever paid by an Employer.
nanu1953
Your monthly gross salary is 63,905/- and your monthly gross CTC is 66,667/-. These two are different. Your pay slip should reflect only the monthly gross salary not monthly CTC.
Now if you deduct your TDS and Employee EPF contribution from your monthly gross salary it will be 59,344/- as monthly net salary.
Employer for internal control may consider Employer portion of PF, Gratuity etc. as a part of CTC, but those are not your monthly gross salary. That is the reason for your confusion.
Regards,
S K Bandyopadhyay ( Howrah, WB)

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sub-zero
Hi, Thank you for you responses, But I am still not getting it.
How come the CTC include EPF portion from both side?
Can you please elaborate your points? It would help a lot.
sub-zero
Attaching Offer Letter and Latest Salary Slip. If it helps.
2 Attachment(s) [Login To View]

vvichu2003
Rs.1800 only deducted from your Gross salary which is right since it is your contribution. another Rs.1800 is of the Employer contribution to your PF account which is also right as it is added after Gross Salary.
CTC - Monthly Gross salary = Employer Liability for your retiral benefits as per Act. which is shown in the appointment letter to know the cost of the benefits. you can claim it when leave the company. while in service it is not possible.
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