PF Ceiling and Employee Membership
As we know, the PF ceiling is a basic ₹15,000/-. Some employees have salaries beyond ₹15,000/-, i.e., ₹16,000 or ₹17,000. Some employees do not want to become members of the PF scheme, while others do. Can an inspector question why all employees earning more than ₹15,000 are not covered under the PF scheme?
Opting Out of the PF Scheme
Beyond ₹15,000, employees can opt out of the scheme if they are not PF members or have withdrawn their PF amount and do not wish to become PF members, providing a declaration in Form No. 11. I have learned that PF inspectors raise this issue during firm inspections. Kindly clarify this matter.
From United States, Chicago
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11As we know, the PF ceiling is a basic ₹15,000/-. Some employees have salaries beyond ₹15,000/-, i.e., ₹16,000 or ₹17,000. Some employees do not want to become members of the PF scheme, while others do. Can an inspector question why all employees earning more than ₹15,000 are not covered under the PF scheme?
Opting Out of the PF Scheme
Beyond ₹15,000, employees can opt out of the scheme if they are not PF members or have withdrawn their PF amount and do not wish to become PF members, providing a declaration in Form No. 11. I have learned that PF inspectors raise this issue during firm inspections. Kindly clarify this matter.
From United States, Chicago
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Hi Buddy, Unless those employees drawing Basic Salary more than 15,000 Rs withdraw their PF amount whole at the time joining organization they continue to be a member of PF. With Regards Mr.Thumbs Up
From India, Chennai
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From India, Chennai
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Hi,
Employees whose Basic + DA is Rs. 15,000 or less automatically qualify for PF contribution. If an employee receives more than Rs. 15,000 of Basic + DA and hasn't contributed to PF in the past, they can be exempted from PF.
From India, Bangalore
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Employees whose Basic + DA is Rs. 15,000 or less automatically qualify for PF contribution. If an employee receives more than Rs. 15,000 of Basic + DA and hasn't contributed to PF in the past, they can be exempted from PF.
From India, Bangalore
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