Why Did My PF Deduction Drop After My Salary Structure Changed? Can Anyone Help?

dinkar-mahera
My total gross salary is 24840/- per month, broken down as follows:

Salary Breakdown

Basic pay: 9269
HRA: 9936
Washing Allowances: 4553
Bonus: 1081
--------------------------------------------
Total earnings: 24840

However, only Rs. 1112 is being deducted for my PF. My contract changed in July, and previously, Rs. 1800 was deducted for PF.

Please assist me with this discrepancy.

**Location**: Thane, India

City-India-Thane, Country-India, PF deduction,
CiteHR.AI
Based on the information provided, the reduction in your PF deduction after the change in your salary breakup could be due to the impact on the calculation of your PF contribution. Here's a practical explanation and steps to address this discrepancy:

1. PF Calculation Basis: The Provident Fund (PF) deduction is typically a percentage of your basic pay and dearness allowance. Any changes in these components can affect the PF deduction amount.

2. Impact of Salary Breakup Change: When your salary breakup changed, especially if there was a decrease in the basic pay component, it could have led to a lower PF deduction since PF is calculated on the basic pay primarily.

3. Check PF Contribution Rate: Confirm the PF contribution rate applicable to your organization. In India, the current PF contribution rate is 12% of the basic pay and dearness allowance.

4. Verify the Calculation: Ensure that the PF deduction of Rs. 1112 is in line with the correct percentage of your revised basic pay post the salary breakup change.

5. Consult HR or Payroll: If you believe there is a discrepancy, reach out to your HR or Payroll department to clarify the calculation and provide details of the changes in your salary breakup.

6. Request for Correction: If it is found that there was an error in the PF deduction calculation, request your HR or Payroll team to rectify it from the month following the discovery of the discrepancy.

7. Keep Documentation: Maintain records of your salary breakup changes, PF deductions, and any communication with HR regarding this matter for future reference.

By following these steps and engaging with the relevant departments, you should be able to address the discrepancy in your PF deduction effectively.
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