Can we bifurcate the minimum wage, i.e., Basic + HRA + Con., and have PF deducted only on Basic? We need your suggestions for the same. Your prompt reply in this regard will be highly appreciated.
Thanks & Regards,
Vijay Yadav
[Phone Number Removed For Privacy Reasons]
From India, Gurgaon
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Thanks & Regards,
Vijay Yadav
[Phone Number Removed For Privacy Reasons]
From India, Gurgaon
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HI Vijay Minimum Wage can be bifurcated as Basic+VDA. But the PF deduction has to be there on the Total of Basic+VDA with 12%. Regards
From India, Gurgaon
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1From India, Gurgaon
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Dear VIJAY, PF duduct on BASIC+DA, with employees:12% & employers:12%. Minimum Wages can only bifurcated as Basic & D.A. With Regards, Vineet.
From India, Yavatmal
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From India, Yavatmal
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Yes, it can be bifurcated. There is a recent judgment dated 7th February on the same issue by the Punjab & Haryana High Court, which clarifies this point. Search on the forum to the right side; certainly, you will find the judgment.
From India, Delhi
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From India, Delhi
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Dear Vijay, If you are paying consolidated salary then the basic + DA should not cross more than 60%, on the 60% amount PF 12% can be deducted. regards
From India, Hyderabad
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From India, Hyderabad
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PF Contribution on not less than Minimum Wage.pdf