Dear Team,
Salary breakup for EPF submission
Is the salary breakup okay to submit to EPF authorities?
- Basic: 9000
- Food allowance: 3000 (varies from one person to another, from 1000 to 3000 per month)
- Uniform: 1000 (for those who have completed 30 days of working)
- HRA: 3600
- Other allowance: 1400
- Gross salary: 18000
We have contributed to EPF considering only the basic and food allowance. As uniform and HRA are exempted, we have not included them. Is there a limit on uniform allowance (similar to HRA being limited to 40 percent) based on the basic salary? Kindly confirm if the above bifurcation is correct.
From India, Bengaluru
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Salary breakup for EPF submission
Is the salary breakup okay to submit to EPF authorities?
- Basic: 9000
- Food allowance: 3000 (varies from one person to another, from 1000 to 3000 per month)
- Uniform: 1000 (for those who have completed 30 days of working)
- HRA: 3600
- Other allowance: 1400
- Gross salary: 18000
We have contributed to EPF considering only the basic and food allowance. As uniform and HRA are exempted, we have not included them. Is there a limit on uniform allowance (similar to HRA being limited to 40 percent) based on the basic salary? Kindly confirm if the above bifurcation is correct.
From India, Bengaluru
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If the statutory minimum wages fixed by the government are equal to your basic (9000) and food allowance, then it is okay with respect to PF as well as for future payments like bonus, layoff compensation, gratuity, etc.
If the above components do not make up the statutory minimum wages, then you can include 'Other allowance' as well. Obviously, if it is payable to all employees, then that should also be included in the salary for PF contribution to avoid disputes.
From India, Kannur
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4537If the above components do not make up the statutory minimum wages, then you can include 'Other allowance' as well. Obviously, if it is payable to all employees, then that should also be included in the salary for PF contribution to avoid disputes.
From India, Kannur
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EPF-Circular-da ted-23-May-2011 -Splitting-of-M inimum-Wages-fo r-the-Purpose-o f-PF-Contributi on-Not.pdf
Salary breakup format.xls