Fixed amount of PF contribution for non-mandatory category of employees

We know that it is mandatory for all employees having basic salary less than ₹15,000 to register for the EPF.
However, can the employees earning more than ₹15,000 also join in the EPF scheme with a fixed contribution of Rs. 1,800 per month (ie 12% of Rs.15,000)?

Hi,

PF is compulsory for them also either they can contribute Rs.1800/- with restriction of Rs.15,000/- or can pay on actual basic salary basis also.

First of all it has to be checked whether the employees drawing more than 15,000/- salary per month are excluded employees or not. If they are excluded employee as per EPFO Scheme , PF is not compulsory for them but they may be member voluntarily. But if they were earlier member of EPFO, then it is compulsory for PF membership if they have not closed their past PF account and rejoining again.

S K Bandyopadhyay ( WB,HOWRAH)
CEO-USD HR Solutions,
+91 98310 81531
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USD HR Solutions – To Strive towards excellence with effort and integrity

Sir, how to identify if they have closed their past PF account? Acc. to my knowledge pf account cant be closed.

Also, can you elaborate what you mean by rejoining so that i can understand the concept better.

PF account can be closed. There are conditions when one employee was member of EPFO and left the job after working few years for higher study, marriage, maternity matters etc. and withdraw his/her accumulated amount from PF & EPS ( if less than 10 years of service ) and again join in any organization with PF gross more than 15,000/- per month (as on date ) will be considered as excluded employee.

S K Bandyopadhyay ( WB, Howrah)
CEO-USD HR Solutions
+91 98310 81531
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USD HR Solutions – To Strive towards excellence with effort and integrity

Sir, is the PF considered closed if the said employee just withdrew his PF amount and not his pension amount and have not worked for a PF firm since leaving the last PF firm.

There is an employee who wishes to join firm who had PF because he worked for the same firm previously where PF was offered to him but he now states that he has not been part of PF since many years after leaving the present firm. Firm is not sure whether he has closed his PF account and employee is not providing clear answer whether his account exists or closed. The employee wishes to join the firm but does not want any PF/esi deduction since he is joining at a salary of 25k.

Firms wants to join the employee but doesn't want to spend additional expenditure on the employee. Can firm just accept what employee is saying on face value and join them without PF/esi? Or should the firm be advised something else?