Understanding Employer's EPF Contribution: Is It 12% or 13% and Why It Matters?

Employer's Contribution towards EPF - 12% or 13%?

Employer's Contribution towards EPF typically ranges from 12% to 13% of the employee's basic salary. The exact percentage may vary based on the specific regulations of the country or organization. It's essential for both employers and employees to be aware of the contribution rates set by the governing authorities to ensure compliance with the law and proper fund allocation for retirement benefits.

Hi, Employee contribution to EPF is 12% of Basic. Employer contribution to EPF is 3.67% of Basic. Employer contribution to Pension is 8.33% of Basic, with a maximum of Rs. 1,250.

Sir, how are admin charges calculated under the employer's share?

Hi, Employee: 12% of Basic goes to PF.

Employer's Contribution:
- 12% of Basic: 3.67% goes to PF
- 8.33% goes to Pension contribution

Additionally, the employer has to pay:
- 0.5% into EDLI
- 0.50% into PF admin charges (effective from June 2018)