Actually, I am an HR Manager of a company. I want to do PF registration for my company but I don't know what the rules and regulations for PF registration are. Please help me out of this problem.
From India, Bhubaneswar
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From India, Bhubaneswar
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Please fill in Form 1 with all the required details and attach copies of certain documents such as the first sale bill, purchased bill, contract letter if you are a contractor, a draft for the registration month, address proof for both office and residence of the employer, and finally, copies of the first capital account, ledger account, and bank account.
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About PF
Employer Coverage
Establishments employing 20 or more persons and engaged in any of the 180 industries/Classes of Businesses specified. Co-operative Societies, employing 50 or more persons and working without the aid of power. Establishments not coverable statutorily can come under the coverage of the Act statutorily. An establishment continues to be covered under the Act, irrespective of the fall in the employment strength.
Since the Act applies on its own force to the establishments, the employers are required to file the particulars in the specified format for registration and allotment of a business number. Financial Obligations: Contributions: The statutory rate of contribution is 12% of emoluments (basic wages, dearness allowance, cash value of food concession, and retaining allowances if any) in the case of 175 establishments.
The rate of contribution shall be 10% in the case of the following: Brick, beedi, jute, guar gum factories, coir industry other than the spinning sector. Establishments declared as sick undertakings by BIFR. A matching contribution is to be collected from the emoluments of the employees. Out of 12% (or 10% as the case may be) of the employer's share of contribution, 8.33% is to be remitted towards the pension fund.
The employer is also required to pay a contribution of 0.5% of the emoluments towards EDLI '1976. Administrative Charges: An employer is required to pay administrative charges at 1.10% of emoluments towards the provident fund charges and 0.01% towards the EDLI Scheme 1976. No separate administrative charges for the pension scheme. Inspection Charges: In respect of an exempted establishment under P.F. Scheme, the employer is liable to pay only inspection charges at the rate of 0.18% of emoluments.
In the case of an establishment exempted from the EDLI Scheme, the employer is required to pay only inspection charges at the rate of 0.005% of emoluments. Interest Liability: For belated remittances of contributions, administrative/inspection charges, interest at the rate of 12% on such remittances for the period of delay is to be remitted. Damages: For all the belated remittances of contribution and administrative/inspection charges, damages are also payable as a penalty ranging from 17% to 37% p.a. depending upon the delay.
Duties of Employer Enroll all categories of employees including the employees engaged by or through contractors and also piece-rated, hourly rated employees. Remit the contributions and administrative charges before the 15th of the following month. File the initial returns of Form 9, Form 3(P.S.), Form 5A. File the monthly returns in Form 12A, Form 5, Form 10, and Challans for remitting the dues. Maintain the contribution card in respect of each employee in Form 3A and submit the annual returns in Form 3A and 6A after reconciliation with Challans and Form 12A. The employer has to ensure that statutory dues in respect of contractor's employees are remitted and returns filed.
Employer should attest the Form No.2 and the claims forms submitted by the member/legal heirs/nominees. Make available all relevant records for inspection of visiting officials with due authorization. Exemptions under the Schemes Provident Fund An individual member getting Provident Fund benefits on par with or better than statutory provisions can apply for exemption in Form 1 under para 27. Employers can apply for exemption in respect of a class of employees getting similar or better benefits than the statutory P.F. Scheme under P. 27A subject to the conditions governing the grant of exemption.
The employer can seek exemption from the P.F. Scheme for the entire establishment if the majority of the employees also consent to exemption, subject to certain conditions governing the grant of exemption and certain formalities. Pension Scheme Employer can avail exemption for the establishment as a whole, with the consent of the majority of employees if an alternative pension scheme is formulated by the establishment with benefits either on par with or superior to the EPS '95 and subject to certification of the viability and long sustenance of the scheme by an independent qualified actuary and satisfying the other conditions prescribed governing the grant of exemptions. There is no provision for exemption of individuals or for a class of employees. EDLI Scheme The establishment can get an exemption from the EDLI Scheme if the employees therein are entitled to a benefit in the nature of insurance whether linked to their P.F. deposit or not and without paying any contributions.
It's very clear that 12% is deducted on allowances other than exempted ones like Conveyance Rs 800/m, Child allowance Rs 200/m for two children, Medical allowance Rs 15,000/ per annum & LTA. The PF contribution is 12% of the Basic salary from both the employee and employer. For the calculation, the maximum limit of Basic is Rs 6500/-. It means even if the employee's basic salary is above Rs 6500/-, the employer is liable to contribute only on Rs 6500/-, that is Rs 780. However, if an employee so desires, he may voluntarily contribute more than 12%. Apart from it, an employer also has to pay some administrative charges. I explain to you the various accounts of the PF challan.
Employee Employer A/c No 1: PF contribution Account 12 3.67 A/c No 2: PF Admin account 1.10 A/c No 10: EPS account 8.33 A/c No 21: EDLIS account 0.50 A/c No 22: EDLIS admin account 0.01 12 13.61
PF admin charge = Employer has to pay 1.1% of the basic EDLIS: The employer has to pay 0.5% of the basic EDLIS admin charge: The employer has to pay 0.01% of the basic Total additional percentage employer has to pay: 1.61% of the basic So the employer has actually to pay 13.61% of Basic, and the employee has to pay only 12% of the basic. The employee's complete 12% goes to the PF account while the employer's contributions' 8.33% goes to the Pension fund, and 3.67% goes to the PF fund.
About PF PF Details and Knowledge THE EMPLOYEES' PROVIDENT FUNDS AND MISCELLANEOUS PROVISIONS ACT, 1952: THE ACT PROVIDES FOR THE INSTITUTION OF PROVIDENT FUNDS (I) EMPLOYEES' PROVIDENT FUND SCHEME 1952 (2) THE EMPLOYEES PENSION SCHEME, 1995 (3) THE EMPLOYEES DEPOSIT LINKED INSURANCE SCHEME, 1976 ESTABLISHMENTS WHICH ARE UNEXEMPTED/EXEMPTED HAVE TO COMPLY WITH THE REGIONAL PROVIDENT FUND COMMISSIONER. THE PRIMARY FORM ALL HAVE TO ENSURE IS FORM 2: NOMINATION AND DECLARATION FORM (SUBSCRIBER AND EMPLOYER HAS TO ENSURE)
FORM 3: CONTRIBUTION CARD FOR THE CURRENCY PERIOD FROM...TO... (FOR UNEXEMPTED ESTABLISHMENT) FORM 3A: CONTRIBUTION CARD FOR THE CURRENCY PERIOD FROM 1ST...TO 30/31ST...(FOR UNEXEMPTED ESTABLISHMENT)
FORM 5: RETURN OF EMPLOYEES QUALIFYING MEMBERSHIP FORM 5A: RETURN OF OWNERSHIP FORM 6; RETURN OF CONTRIBUTION CARDS FORM: FORM 9: RETURN OF EMPLOYEES FORM 10: RETURN OF MEMBERS LEAVING SERVICES FORM 12: STATEMENT OF CONTRIBUTION FOR THE MONTH... FORM 13: APPLICATION FOR TRANSFER OF EPF ACCOUNT FORM 13A: APPLICATION FOR INTER REGIONAL TRANSFER OF ACCOUNTS FORM 19: SETTLEMENT FORM 20 WITHDRAWAL BY MINOR/DECEASED MEMBER FORM 31: APPLICATION FOR ADVANCE FORM 1(IF) RETURN OF EMPLOYEES ENTITLED AND REQUIRED TO BECOME MEMBERS OF THE INSURANCE FUND FOEM 2(IF): EMPLOYEES ENTITLED FOR MEMBERSHIP FORM 3(IF): RETURN OF MEMBERS OF THE INSURANCE FUND LEAVING SERVICES FORM 5(IF): TO BE USED BY NOMINEE/LEGAL HEIR FORM 12A: RETURN FORM I: RETURN BY EXEMPTED ESTABLISHMENT
With Regards Bharat Personal Services contact Gurvinder Singh at 09414359895
From India, Jaipur
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Employer Coverage
Establishments employing 20 or more persons and engaged in any of the 180 industries/Classes of Businesses specified. Co-operative Societies, employing 50 or more persons and working without the aid of power. Establishments not coverable statutorily can come under the coverage of the Act statutorily. An establishment continues to be covered under the Act, irrespective of the fall in the employment strength.
Since the Act applies on its own force to the establishments, the employers are required to file the particulars in the specified format for registration and allotment of a business number. Financial Obligations: Contributions: The statutory rate of contribution is 12% of emoluments (basic wages, dearness allowance, cash value of food concession, and retaining allowances if any) in the case of 175 establishments.
The rate of contribution shall be 10% in the case of the following: Brick, beedi, jute, guar gum factories, coir industry other than the spinning sector. Establishments declared as sick undertakings by BIFR. A matching contribution is to be collected from the emoluments of the employees. Out of 12% (or 10% as the case may be) of the employer's share of contribution, 8.33% is to be remitted towards the pension fund.
The employer is also required to pay a contribution of 0.5% of the emoluments towards EDLI '1976. Administrative Charges: An employer is required to pay administrative charges at 1.10% of emoluments towards the provident fund charges and 0.01% towards the EDLI Scheme 1976. No separate administrative charges for the pension scheme. Inspection Charges: In respect of an exempted establishment under P.F. Scheme, the employer is liable to pay only inspection charges at the rate of 0.18% of emoluments.
In the case of an establishment exempted from the EDLI Scheme, the employer is required to pay only inspection charges at the rate of 0.005% of emoluments. Interest Liability: For belated remittances of contributions, administrative/inspection charges, interest at the rate of 12% on such remittances for the period of delay is to be remitted. Damages: For all the belated remittances of contribution and administrative/inspection charges, damages are also payable as a penalty ranging from 17% to 37% p.a. depending upon the delay.
Duties of Employer Enroll all categories of employees including the employees engaged by or through contractors and also piece-rated, hourly rated employees. Remit the contributions and administrative charges before the 15th of the following month. File the initial returns of Form 9, Form 3(P.S.), Form 5A. File the monthly returns in Form 12A, Form 5, Form 10, and Challans for remitting the dues. Maintain the contribution card in respect of each employee in Form 3A and submit the annual returns in Form 3A and 6A after reconciliation with Challans and Form 12A. The employer has to ensure that statutory dues in respect of contractor's employees are remitted and returns filed.
Employer should attest the Form No.2 and the claims forms submitted by the member/legal heirs/nominees. Make available all relevant records for inspection of visiting officials with due authorization. Exemptions under the Schemes Provident Fund An individual member getting Provident Fund benefits on par with or better than statutory provisions can apply for exemption in Form 1 under para 27. Employers can apply for exemption in respect of a class of employees getting similar or better benefits than the statutory P.F. Scheme under P. 27A subject to the conditions governing the grant of exemption.
The employer can seek exemption from the P.F. Scheme for the entire establishment if the majority of the employees also consent to exemption, subject to certain conditions governing the grant of exemption and certain formalities. Pension Scheme Employer can avail exemption for the establishment as a whole, with the consent of the majority of employees if an alternative pension scheme is formulated by the establishment with benefits either on par with or superior to the EPS '95 and subject to certification of the viability and long sustenance of the scheme by an independent qualified actuary and satisfying the other conditions prescribed governing the grant of exemptions. There is no provision for exemption of individuals or for a class of employees. EDLI Scheme The establishment can get an exemption from the EDLI Scheme if the employees therein are entitled to a benefit in the nature of insurance whether linked to their P.F. deposit or not and without paying any contributions.
It's very clear that 12% is deducted on allowances other than exempted ones like Conveyance Rs 800/m, Child allowance Rs 200/m for two children, Medical allowance Rs 15,000/ per annum & LTA. The PF contribution is 12% of the Basic salary from both the employee and employer. For the calculation, the maximum limit of Basic is Rs 6500/-. It means even if the employee's basic salary is above Rs 6500/-, the employer is liable to contribute only on Rs 6500/-, that is Rs 780. However, if an employee so desires, he may voluntarily contribute more than 12%. Apart from it, an employer also has to pay some administrative charges. I explain to you the various accounts of the PF challan.
Employee Employer A/c No 1: PF contribution Account 12 3.67 A/c No 2: PF Admin account 1.10 A/c No 10: EPS account 8.33 A/c No 21: EDLIS account 0.50 A/c No 22: EDLIS admin account 0.01 12 13.61
PF admin charge = Employer has to pay 1.1% of the basic EDLIS: The employer has to pay 0.5% of the basic EDLIS admin charge: The employer has to pay 0.01% of the basic Total additional percentage employer has to pay: 1.61% of the basic So the employer has actually to pay 13.61% of Basic, and the employee has to pay only 12% of the basic. The employee's complete 12% goes to the PF account while the employer's contributions' 8.33% goes to the Pension fund, and 3.67% goes to the PF fund.
About PF PF Details and Knowledge THE EMPLOYEES' PROVIDENT FUNDS AND MISCELLANEOUS PROVISIONS ACT, 1952: THE ACT PROVIDES FOR THE INSTITUTION OF PROVIDENT FUNDS (I) EMPLOYEES' PROVIDENT FUND SCHEME 1952 (2) THE EMPLOYEES PENSION SCHEME, 1995 (3) THE EMPLOYEES DEPOSIT LINKED INSURANCE SCHEME, 1976 ESTABLISHMENTS WHICH ARE UNEXEMPTED/EXEMPTED HAVE TO COMPLY WITH THE REGIONAL PROVIDENT FUND COMMISSIONER. THE PRIMARY FORM ALL HAVE TO ENSURE IS FORM 2: NOMINATION AND DECLARATION FORM (SUBSCRIBER AND EMPLOYER HAS TO ENSURE)
FORM 3: CONTRIBUTION CARD FOR THE CURRENCY PERIOD FROM...TO... (FOR UNEXEMPTED ESTABLISHMENT) FORM 3A: CONTRIBUTION CARD FOR THE CURRENCY PERIOD FROM 1ST...TO 30/31ST...(FOR UNEXEMPTED ESTABLISHMENT)
FORM 5: RETURN OF EMPLOYEES QUALIFYING MEMBERSHIP FORM 5A: RETURN OF OWNERSHIP FORM 6; RETURN OF CONTRIBUTION CARDS FORM: FORM 9: RETURN OF EMPLOYEES FORM 10: RETURN OF MEMBERS LEAVING SERVICES FORM 12: STATEMENT OF CONTRIBUTION FOR THE MONTH... FORM 13: APPLICATION FOR TRANSFER OF EPF ACCOUNT FORM 13A: APPLICATION FOR INTER REGIONAL TRANSFER OF ACCOUNTS FORM 19: SETTLEMENT FORM 20 WITHDRAWAL BY MINOR/DECEASED MEMBER FORM 31: APPLICATION FOR ADVANCE FORM 1(IF) RETURN OF EMPLOYEES ENTITLED AND REQUIRED TO BECOME MEMBERS OF THE INSURANCE FUND FOEM 2(IF): EMPLOYEES ENTITLED FOR MEMBERSHIP FORM 3(IF): RETURN OF MEMBERS OF THE INSURANCE FUND LEAVING SERVICES FORM 5(IF): TO BE USED BY NOMINEE/LEGAL HEIR FORM 12A: RETURN FORM I: RETURN BY EXEMPTED ESTABLISHMENT
With Regards Bharat Personal Services contact Gurvinder Singh at 09414359895
From India, Jaipur
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Employer-PF-res trict to wages of Rs 6500.pdf