We were making a payment of maximum PF of Rs.6500.00 on the basic salary of Rs.8000/-.Have we to pay Rs.960/- per the new amended rules of PF.Please advice
From India, Mumbai
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2From India, Mumbai
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Yes, you have to remit 12% on 8000 resulting to an amount of Rs. 960 to EPF. Abbas.P.S
From India, Bangalore
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From India, Bangalore
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Also, please note that the PF is not only payable on the basic salary, but also on the Dearness Allowance and all other allowances that are payable regularly in terms of employment. It is not payable on HRA, Overtime allowance, Bonus, Commission, or any other payment in the nature of commission.
From India, Kolkata
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From India, Kolkata
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I am also confused regarding how much percentage to be deducted.
Eligibility for EPF Membership
1. Suppose I have an employee, and his drawn salary is ₹14,800/- gross per month. He is not a member of EPF, but now, as per the direction of the EPF department, the PF ceiling is increased to ₹15,000/-. My question is, is he eligible to be an EPF member or not?
2. I have a new recruit, and the proposed salary is ₹13,954/- gross per month. Is she eligible for EPF or not?
Dear seniors, please suggest what I should do. Hope for an early reply from your side.
Thanks & Regards
From India, Delhi
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Eligibility for EPF Membership
1. Suppose I have an employee, and his drawn salary is ₹14,800/- gross per month. He is not a member of EPF, but now, as per the direction of the EPF department, the PF ceiling is increased to ₹15,000/-. My question is, is he eligible to be an EPF member or not?
2. I have a new recruit, and the proposed salary is ₹13,954/- gross per month. Is she eligible for EPF or not?
Dear seniors, please suggest what I should do. Hope for an early reply from your side.
Thanks & Regards
From India, Delhi
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Dear Bhagat R K, In the above both cases, PF has to be remitted. Now it is statutory to pay PF for a salary upto Rs. 15,000/- Abbas.P.S
From India, Bangalore
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From India, Bangalore
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Suppose an employee receives ₹14,950/- gross per month, and we structure his salary breakdown as follows: Basic - ₹6,000, HRA - ₹2,600, Conv. - ₹800, Spl. Allow. - ₹5,550. My question is, is this arrangement valid? Secondly, can we adjust his basic salary higher or lower, or is it mandatory to deduct his PF until his salary exceeds the ₹15,000/- limit?
Thank you.
From India, Delhi
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Thank you.
From India, Delhi
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Regarding your query, are you referring to PF remittance or the pay structure? In terms of PF, it is required to remit 12% of basic + DA (in this case Rs. 6000) to the PF account. As for any manipulation or discrepancies, I regret to inform you that I am unable to provide an answer at this time.
Best regards,
Abbas P. S
From India, Bangalore
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Best regards,
Abbas P. S
From India, Bangalore
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[QUOTE=rakesh_bhagat26@rediffmail.com;2188794] I am also confused regarding how much % to be deducted - the same 12% on basic.
1. Suppose I have an employee and his drawn salary is ₹14,800/- Gross per month - keep 50% or more in basic and deduct 12% on that.
₹14,800 - Basic could be ₹7,500, hence deduction is ₹900 + employer contribution is also ₹900
And he is not a member of EPF.
This is not possible unless you have a PF trust to give more benefits
But now, as per the direction of the EPF department, the PF ceiling increased to ₹15,000/-. Here is my question: is he eligible for EPF membership or not?
2. Having a new recruitment and his proposed salary is ₹13,954/-
Even if your housekeeping staff receives ₹7,000 as salary, you should deduct the EPF.
Reach my mail [Email Removed For Privacy Reasons] for more clarification and assistance.
From India, Chennai
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1. Suppose I have an employee and his drawn salary is ₹14,800/- Gross per month - keep 50% or more in basic and deduct 12% on that.
₹14,800 - Basic could be ₹7,500, hence deduction is ₹900 + employer contribution is also ₹900
And he is not a member of EPF.
This is not possible unless you have a PF trust to give more benefits
But now, as per the direction of the EPF department, the PF ceiling increased to ₹15,000/-. Here is my question: is he eligible for EPF membership or not?
2. Having a new recruitment and his proposed salary is ₹13,954/-
Even if your housekeeping staff receives ₹7,000 as salary, you should deduct the EPF.
Reach my mail [Email Removed For Privacy Reasons] for more clarification and assistance.
From India, Chennai
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PF Calculation Sheet To The Subscribers At the Time Of Provident Fund Withdrawal.pdf
PF-Know Employees Provident Fund-CHART-L-4. doc