Yes, an employee can choose to discontinue their Provident Fund (PF) contributions. However, this is only possible if their salary (Basic + Dearness Allowance) exceeds ₹15,000 per month. If this condition is met, the employee can opt out of the PF scheme. However, once the employee has enrolled in the scheme, they can't discontinue it until they quit their current job or retire.
To opt-out of the scheme:
- Initially, when you join a company and your salary (Basic + DA) is more than ₹15,000, you can fill Form 11 to declare that you want to opt-out.
- Submit this form to your employer.
- The employer will then not deduct the PF from your salary.
Remember, once you are a member of EPF and if you continue to be employed, you cannot stop the contribution. You can only stop the contribution when you are unemployed for 2 months or more.
However, keep in mind that the PF is a beneficial scheme aimed at providing a financial cushion for your post-retirement phase. The decision to opt-out should be taken after thorough consideration.
Please note that the information provided here should be used as a general guideline and might differ based on specific cases or changes in the law. Always consult with a labor law expert or the HR department to understand how these laws apply to your specific situation.