Clarification Needed on EPF Contributions
I have joined a new organization and am in the process of calculating PF. However, I have come across a situation where the employer is contributing more to EPF than the wage ceiling. I have the following doubts and would appreciate clarification in this regard:
- Should EDLI be calculated based on the basic wage earned or the EPS wage ceiling?
- Are EDLI admin/inspection charges also calculated based on the basic wage earned or the EPS wage ceiling?
Please kindly advise.
Regards,
Gowri Sankar
From India, Visakhapatnam
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3I have joined a new organization and am in the process of calculating PF. However, I have come across a situation where the employer is contributing more to EPF than the wage ceiling. I have the following doubts and would appreciate clarification in this regard:
- Should EDLI be calculated based on the basic wage earned or the EPS wage ceiling?
- Are EDLI admin/inspection charges also calculated based on the basic wage earned or the EPS wage ceiling?
Please kindly advise.
Regards,
Gowri Sankar
From India, Visakhapatnam
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EDLI Contribution and Administrative Charges
Paragraph 7 of the EDLI scheme states that where the monthly pay of an employee exceeds Rs. 6500/-, the EDLI contribution by the employer is confined to Rs. 6500/-. The administrative charges shall also be calculated on basic + DA + retaining allowance + cash value of food concession.
Regards,
B. Saikumar
From India, Mumbai
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Paragraph 7 of the EDLI scheme states that where the monthly pay of an employee exceeds Rs. 6500/-, the EDLI contribution by the employer is confined to Rs. 6500/-. The administrative charges shall also be calculated on basic + DA + retaining allowance + cash value of food concession.
Regards,
B. Saikumar
From India, Mumbai
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Thank you, Sai, for stating the right information. Yes, I know admin charges are calculated based on basic pay + DA. However, I have a question about the EDLI admin/inspection charges. Are they calculated based on 6500/-?
Regards,
Gowri Sankara
From India, Visakhapatnam
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Regards,
Gowri Sankara
From India, Visakhapatnam
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Wage increase in between the contribution period.JPG
PF Contribution on not less than Minimum Wage.pdf