HI I just wanted to ask is it possible to have PF less than 12% may be 6% both employers and employee contribution
From India, New Delhi
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1From India, New Delhi
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Dear Priyesh PF is fixed i.e 12% of the basic salary or 780 whichever is minimum. Regards Upasana
From India, Delhi
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From India, Delhi
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It is not possible to contribute less than 12% from each party. Furthermore, the employer must bear the administrative charges of 1.61% as well. According to the EPF & MP Act, 1952, the rate of contribution is 10% only in some cases such as:
- Less than 20 employees
- Sick industries declared as per the Act
- Companies which have accumulated losses at the end of the financial year
- Manufacturers of Jute, Beedi, and Brick, etc.
Regards,
Ramesh Vuriti
From India, Hyderabad
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- Less than 20 employees
- Sick industries declared as per the Act
- Companies which have accumulated losses at the end of the financial year
- Manufacturers of Jute, Beedi, and Brick, etc.
Regards,
Ramesh Vuriti
From India, Hyderabad
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Dear Priyesh In case the Est is not covered under EPF Act 1952 or the Employees are excluded than their PF contribution may be at a lesser rate. Why an employee would choose to reduce his benefits?
From India, Jaipur
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From India, Jaipur
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EPF & Misc. Provision Act.1952 & the scheme.ppt
Employees' PF & Misc Prov Act 1952.pdf