Hello, I need clarification on the PF wages limit, which is ₹15,000 per month at present. If a member's basic wages plus DA exceed ₹15,000, for example, ₹16,000 per month, and in November, the member receives wages for 29 days, the calculation would be: Basic wages earned = ₹16,000/30 * 29 days = ₹15,467. However, the PF wages ceiling is ₹15,000 per month, so we calculate PF wages based on this ceiling: ₹15,000/30 * 29 = ₹14,500 * 12% = ₹1,740 as displayed on the portal.
Someone suggested paying contributions based on ₹15,000 in the above cases. My query is: if PF wages are capped at ₹15,000, why do we need to consider ₹16,000 basic wages plus DA, which exceeds ₹15,000 as per EPFO?
Please suggest.
Regards, Dwarika
From India, New Delhi
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4Someone suggested paying contributions based on ₹15,000 in the above cases. My query is: if PF wages are capped at ₹15,000, why do we need to consider ₹16,000 basic wages plus DA, which exceeds ₹15,000 as per EPFO?
Please suggest.
Regards, Dwarika
From India, New Delhi
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Hi, Can you please specify whether the employee is on LWP (Loss without Pay) for 1 day. if that is the case ,there will be no issue for applying the formula15000/30*29 . Regards Kiran raj
From India, Mumbai
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From India, Mumbai
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PF- on minimum wages-EPF appellate tribunal-Award against Deptt..pdf
HIKE OF EPF CEILING LIMIT.jpg