One of our employees in the Chandigarh branch is requesting minimal deductions for PF & ESI. His salary is 12,000/- PM. Please help me create a breakdown to give him the maximum take-home salary while ensuring compliance with PF, ESI, and the Minimum Wages Act.
Questions on Salary Breakdown and Compliance
Also, please help me address the following questions:
1. Can the basic pay be less than 50% for employees whose salary is less than 15K? If there is a stated rule, please share.
2. Can entertainment allowance be covered under ESI? What is the maximum cap on this?
3. Is special allowance/other allowances a part of the PF contribution calculation?
4. Are there any allowances that can be added to the breakdown to avoid PF & ESI deduction amounts?
From India, Delhi
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1Questions on Salary Breakdown and Compliance
Also, please help me address the following questions:
1. Can the basic pay be less than 50% for employees whose salary is less than 15K? If there is a stated rule, please share.
2. Can entertainment allowance be covered under ESI? What is the maximum cap on this?
3. Is special allowance/other allowances a part of the PF contribution calculation?
4. Are there any allowances that can be added to the breakdown to avoid PF & ESI deduction amounts?
From India, Delhi
Acknowledge(0)Amend(0)CiteHR is an AI-augmented HR knowledge and collaboration platform, enabling HR professionals to solve real-world challenges, validate decisions, and stay ahead through collective intelligence and machine-enhanced guidance. Join Our Platform.
ESI & PF Calculations.do c
ATTANDANCE, SALARY SHEET & PF CALCULATIONS.xl s