Hi friends,
Can anyone shed some light on the Rs. 6500/- PF deduction limit? Few companies only cut PF up to Rs. 6500/-, while others deduct even more beyond that. What is the exact rule? This is urgent.
Rajeev Dixit
From India, Bangalore
Can anyone shed some light on the Rs. 6500/- PF deduction limit? Few companies only cut PF up to Rs. 6500/-, while others deduct even more beyond that. What is the exact rule? This is urgent.
Rajeev Dixit
From India, Bangalore
Dear,
As per the law, whose basic and DA is up to 6500, PF has to be deducted. However, after that, it is the choice of the employer to deduct or not to deduct. If someone becomes a member of PF once, they will remain a member of PF.
Thank you,
J. S. Malik
From India, Delhi
As per the law, whose basic and DA is up to 6500, PF has to be deducted. However, after that, it is the choice of the employer to deduct or not to deduct. If someone becomes a member of PF once, they will remain a member of PF.
Thank you,
J. S. Malik
From India, Delhi
Dear Mr. Mallik,
Please don't mind, I have one more doubt here. As you said, after ₹6500, it's the choice of the employer. In that case, up to what amount can he cut? Suppose my basic + DA is ₹20,000 per month, can the employer cut the PF amount of 12% from it?
Regards,
Rajeev Dixit
From India, Bangalore
Please don't mind, I have one more doubt here. As you said, after ₹6500, it's the choice of the employer. In that case, up to what amount can he cut? Suppose my basic + DA is ₹20,000 per month, can the employer cut the PF amount of 12% from it?
Regards,
Rajeev Dixit
From India, Bangalore
Yes, they can do that. If the company want to continue PF beyond basic limit of Rs.6500/-, they can continue deducting. with regards, Mahesh
From India, Madras
From India, Madras
No It Is All Depends On Employee Consent. If You Are Not Ready To Cut Pf On Basic &da (20000) Then There Is No Law To Cut It From Your Salary. Sonu
From India, Delhi
From India, Delhi
Hi,
Up to Rs 6,500, it is a must for the employer to deduct, and the employee has to contribute. But above Rs 6,500, it is upon the employer whether they want to deduct or not. However, if the basic salary + DA of the employee is above Rs 6,500 and the employer is willing to deduct, the employee can refuse to opt for PF. But once the PF is deducted, the employee cannot refuse.
Thank you,
Kumar
From India, New Delhi
Up to Rs 6,500, it is a must for the employer to deduct, and the employee has to contribute. But above Rs 6,500, it is upon the employer whether they want to deduct or not. However, if the basic salary + DA of the employee is above Rs 6,500 and the employer is willing to deduct, the employee can refuse to opt for PF. But once the PF is deducted, the employee cannot refuse.
Thank you,
Kumar
From India, New Delhi
Hi all,
In my company, for an employee whose basic is Rs. 10,000/- (Gross is 20k), they deduct Rs. 1,200/- as the employee contribution. The employer contribution is Rs. 541 for employee pension and PF is Rs. 659. This is the practice followed in our company.
Regards,
Sai
From India, Pune
In my company, for an employee whose basic is Rs. 10,000/- (Gross is 20k), they deduct Rs. 1,200/- as the employee contribution. The employer contribution is Rs. 541 for employee pension and PF is Rs. 659. This is the practice followed in our company.
Regards,
Sai
From India, Pune
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.