Employee doesn't want PF. But wants 25k in hand. Can we exclude him from PF?

nisha-shekhar
Had one doubt. We recruited one new employee to our company. While having a salary discussion with him. He said he don't want pf. HR is asking for 25000 take home. We decided to give him a gross of 25k (including PF). However, he doesn't want PF. But wants 25k in hand. Can we exclude him from PF? Please guide me
vmlakshminarayanan
Hi
If your company is already covered under PF, then you cannot exclude him from PF. Still if you want PF don't bring him on rolls. Hire him on short term contract basis as Retainer consultant wherein only 10% TDS has to be deducted. This is also a temporary measure only. Even for consultants PF is mandatory.
saswatabanerjee
Nisha,
this topic has been discussed so many times, that I am tired of even seeing the heading.
Please use the search option on the main page and you will see all the discussions.

If the person is already having a PF account, then you will have to include him in PF and you and he both don't have a choice.
If he does not have an existing PF account, since his starting salary with you is above 15,000 a month, you can treat him as an exempt employee and exclude him, but do the paperwork properly.
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