Hello Friends,
My name is Iqbal, and I need some help regarding salary structuring. The local government clerical pay scale is Basic 3290 + DA 145. My first question is, can we give a higher basic (e.g., 4000) and keep the DA the same (145)? Secondly, as per statutory regulations, PF is not mandatory if basic+DA is more than 6500. What if the employee was covered under PF as his salary was below 6500 and after salary increments, his basic+DA has become 7500.
Warm Regards,
Iqbal Siddiqui
+91-98395-07598
From India, Lucknow
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My name is Iqbal, and I need some help regarding salary structuring. The local government clerical pay scale is Basic 3290 + DA 145. My first question is, can we give a higher basic (e.g., 4000) and keep the DA the same (145)? Secondly, as per statutory regulations, PF is not mandatory if basic+DA is more than 6500. What if the employee was covered under PF as his salary was below 6500 and after salary increments, his basic+DA has become 7500.
Warm Regards,
Iqbal Siddiqui
+91-98395-07598
From India, Lucknow
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It's not like that once we have started deducting the provident fund of an employee, we cannot stop it from deducting. But one thing you can do is to deduct his PF on Rs 6500 only, and you can keep the DA the same and increase the basic salary.
Regards,
Chandrakant V.
Consultant - PF, ESI, Contract Labour & Other labor laws
From India, New+Delhi
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3Regards,
Chandrakant V.
Consultant - PF, ESI, Contract Labour & Other labor laws
From India, New+Delhi
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Provident fund.zip
PROVIDENT FUND.rar
Leave Policy.doc