Hi all,
My name is Srikanth, and I work as a Jr. HR Executive in a security company in Hyderabad. I'm really confused about the calculations on the PF slip. Many of our colleagues from other departments frequently ask me about these calculations, but I'm unable to explain them. Can anyone please help me out with all these calculations?
Thank you.
From India, Hyderabad
Acknowledge(0)
Amend(0)
1My name is Srikanth, and I work as a Jr. HR Executive in a security company in Hyderabad. I'm really confused about the calculations on the PF slip. Many of our colleagues from other departments frequently ask me about these calculations, but I'm unable to explain them. Can anyone please help me out with all these calculations?
Thank you.
From India, Hyderabad
Acknowledge(0)Amend(0)
Hi Srikanth,
In which company are you working? What problem are you facing with PF calculation? I am also from Hyderabad. I can help you. Can you please send me your email id? I will send you the calculation details.
Thank you.
Warm regards,
Jay
From India, Hyderabad
Acknowledge(0)Amend(0)
In which company are you working? What problem are you facing with PF calculation? I am also from Hyderabad. I can help you. Can you please send me your email id? I will send you the calculation details.
Thank you.
Warm regards,
Jay
From India, Hyderabad
Acknowledge(0)Amend(0)
Hi Jay,
I am working at Group 4 Security Services (G4S). Concerning calculations, I am not familiar with all the columns in the PF slip such as EMP, employer contributions, opening and closing balance, ceiling limit for PF, etc. Please let me know if you have this information.
Thanks and Regards,
Srikanth
From India, Hyderabad
Acknowledge(0)Amend(0)
I am working at Group 4 Security Services (G4S). Concerning calculations, I am not familiar with all the columns in the PF slip such as EMP, employer contributions, opening and closing balance, ceiling limit for PF, etc. Please let me know if you have this information.
Thanks and Regards,
Srikanth
From India, Hyderabad
Acknowledge(0)Amend(0)
Op. Bal. means the last year's PF amount in the PF department. Employee amount is 12% and Employer amount is 3.67% (balance of 8.33% is going to the pension account).
"Clos. Bal." means the last year's PF amount plus the current year's PF amount equals the closing balance, which is also employee 12% and employer 3.67% only (above 8.33%). If the employee asks you how much PF amount is for them, you can tell them it's only 24% (12% + 3.67% + 8.33%).
Example:
- 12% amount is Rs. 100 (Employee Contribution)
- 3.67% amount is Rs. 31 (Employer Contribution)
- 8.33% amount is Rs. 69 (Employer Contribution) (Pension amount)
The total amount is Rs. 200/- that the person will receive after PF withdrawals before completing 10 years of service (if incomplete service).
Regards,
JAY
From India, Hyderabad
Acknowledge(0)Amend(0)
"Clos. Bal." means the last year's PF amount plus the current year's PF amount equals the closing balance, which is also employee 12% and employer 3.67% only (above 8.33%). If the employee asks you how much PF amount is for them, you can tell them it's only 24% (12% + 3.67% + 8.33%).
Example:
- 12% amount is Rs. 100 (Employee Contribution)
- 3.67% amount is Rs. 31 (Employer Contribution)
- 8.33% amount is Rs. 69 (Employer Contribution) (Pension amount)
The total amount is Rs. 200/- that the person will receive after PF withdrawals before completing 10 years of service (if incomplete service).
Regards,
JAY
From India, Hyderabad
Acknowledge(0)Amend(0)
Hey Srikanth and Jay,
In short, you have already seen your bank passbook, is it not? PF A/c. statement is also nothing more than that. Except that, there are compulsory deposits from you as well as from your company as per the PF Act.
Imagine that your salary is Rs. 5000/- p.m. On that, you have to put 12% in your PF A/c and a matching 12% from your company. These deposits earn interest, which is added periodically, and the monthly closing balance is indicated. When you are eligible and want to take it, you can avail of a loan (refundable monthly-EMI, which is added back to your account) and withdraw (non-refundable) which is deducted. For every such transaction, the closing balance is indicated. What is the confusion in this? To be precise, first of all, understand your bank passbook and then take up the PF A/c. statement next.
Kumar.s.
From India, Bangalore
Acknowledge(0)Amend(0)
In short, you have already seen your bank passbook, is it not? PF A/c. statement is also nothing more than that. Except that, there are compulsory deposits from you as well as from your company as per the PF Act.
Imagine that your salary is Rs. 5000/- p.m. On that, you have to put 12% in your PF A/c and a matching 12% from your company. These deposits earn interest, which is added periodically, and the monthly closing balance is indicated. When you are eligible and want to take it, you can avail of a loan (refundable monthly-EMI, which is added back to your account) and withdraw (non-refundable) which is deducted. For every such transaction, the closing balance is indicated. What is the confusion in this? To be precise, first of all, understand your bank passbook and then take up the PF A/c. statement next.
Kumar.s.
From India, Bangalore
Acknowledge(0)Amend(0)
Dear Sir,
You need not calculate the amount on the P.F. slip. You have to submit annual Returns Form-6A and 3A every year. The P.F. authorities will issue the P.F. slip from their end. In the P.F. slip, it will be available as Previous Balance + Interest accrued = total amount of Balance + Current year amount - P.F. advances taken = Closing Balance amount. (Please see the slip.)
D. Gurumurthy HR/IR Consultant
From India, Hyderabad
Acknowledge(0)Amend(0)
You need not calculate the amount on the P.F. slip. You have to submit annual Returns Form-6A and 3A every year. The P.F. authorities will issue the P.F. slip from their end. In the P.F. slip, it will be available as Previous Balance + Interest accrued = total amount of Balance + Current year amount - P.F. advances taken = Closing Balance amount. (Please see the slip.)
D. Gurumurthy HR/IR Consultant
From India, Hyderabad
Acknowledge(0)Amend(0)
hai my self s.sathish working as a hr executive from daejung moparts pvt ltd. now our company going to be a salary nagosation. i want agreement format from employer and employee
From India, Madras
Acknowledge(0)Amend(0)
From India, Madras
Acknowledge(0)Amend(0)
Dear Srikant,
Please note that the PF slips only show the EPF amount, i.e., 12% employee's share + 3.67% (different amount) employer's share, and the remaining 8.33%, i.e., pension fund (employer's share), is not shown in the slip.
Hope this information helps you.
Regards,
From India, Solan
Acknowledge(0)Amend(0)
Please note that the PF slips only show the EPF amount, i.e., 12% employee's share + 3.67% (different amount) employer's share, and the remaining 8.33%, i.e., pension fund (employer's share), is not shown in the slip.
Hope this information helps you.
Regards,
From India, Solan
Acknowledge(0)Amend(0)
Also, note that the 12% + 3.67% is the amount on which interest is calculated, and the rest, i.e., pension fund not shown in the slip, remains the same as deposited and can be withdrawn along with EPF after resignation by submitting Form 19 and 10C.
Regards,
From India, Solan
Acknowledge(0)Amend(0)
Regards,
From India, Solan
Acknowledge(0)Amend(0)
Hi Srikanth,
I think your question is how to understand a PF slip received from PFO to explain to your employees. First of all, please know that the PFO maintains a ledger for every PF account, similar to a bank account. Credits and debits are posted every month in this ledger. While credits that occur before the 5th of the month are eligible for interest calculation in that month, a debit even on the last day of the month is not eligible for interest in that month. The PF slip captures the gist of the ledger (OB, total credits, total debits, interest calculated, and CB).
I am attaching a model PF ledger, which is self-explanatory. The gist of transactions for the PF slip is shown at the end of the attachment.
The essence for you to know is that the "interest-bearing balance" (IBB) is calculated every month, the total is struck at the end of the 12th month, and the average IBB is calculated by dividing the total by 12. One month's interest at the prevailing rate (9%) is calculated on this average IBB. If you have details of credits and debits, you can create a ledger and verify whether the interest shown has been calculated correctly.
Hope this will suffice.
Regards,
K. Raajaram
From India, Bangalore
Acknowledge(0)Amend(0)
0
0
I think your question is how to understand a PF slip received from PFO to explain to your employees. First of all, please know that the PFO maintains a ledger for every PF account, similar to a bank account. Credits and debits are posted every month in this ledger. While credits that occur before the 5th of the month are eligible for interest calculation in that month, a debit even on the last day of the month is not eligible for interest in that month. The PF slip captures the gist of the ledger (OB, total credits, total debits, interest calculated, and CB).
I am attaching a model PF ledger, which is self-explanatory. The gist of transactions for the PF slip is shown at the end of the attachment.
The essence for you to know is that the "interest-bearing balance" (IBB) is calculated every month, the total is struck at the end of the 12th month, and the average IBB is calculated by dividing the total by 12. One month's interest at the prevailing rate (9%) is calculated on this average IBB. If you have details of credits and debits, you can create a ledger and verify whether the interest shown has been calculated correctly.
Hope this will suffice.
Regards,
K. Raajaram
From India, Bangalore
Acknowledge(0)Amend(0)CiteHR.AI
(Fact Checked)-The user reply contains accurate information regarding PF ledger maintenance, interest calculation, and the components of a PF slip. Well done! (1 Acknowledge point)
0
0
Hi,
This is Punitha. I have no experience in the HR department, but I want to learn more about HR as I have completed my MBA in HR. Currently, I am working in Customer Service. If anyone can teach me about the HR department, I would be eager to learn and eventually transition to a role as an HR Executive.
Thank you.
From India, Karimnagar
Acknowledge(0)Amend(0)
This is Punitha. I have no experience in the HR department, but I want to learn more about HR as I have completed my MBA in HR. Currently, I am working in Customer Service. If anyone can teach me about the HR department, I would be eager to learn and eventually transition to a role as an HR Executive.
Thank you.
From India, Karimnagar
Acknowledge(0)Amend(0)
The calculation of PF slip - Form -23 is as follows:
1. Closing balance of the previous year is converted to the opening balance in the current year (Employee & employer).
2. Current year PF contribution (Employee & employer).
3. The sum of both contributions is added to the opening balance.
4. Add and carry forward the closing balance on a month-to-month basis in monthly contributions and after the closing of the year, give the average of the sum and calculate the percentage.
5. Add Opening balance + Current contribution + % = closing balance.
From India, Nasik
Acknowledge(0)Amend(0)
1. Closing balance of the previous year is converted to the opening balance in the current year (Employee & employer).
2. Current year PF contribution (Employee & employer).
3. The sum of both contributions is added to the opening balance.
4. Add and carry forward the closing balance on a month-to-month basis in monthly contributions and after the closing of the year, give the average of the sum and calculate the percentage.
5. Add Opening balance + Current contribution + % = closing balance.
From India, Nasik
Acknowledge(0)Amend(0)
Dear All,
I am familiar with the normal terms related to PF & EPF slips, but throughout the entire year, how is the interest rate calculated and placed in Form No. 23, i.e., the provident fund slip? I am uncertain about this aspect. Can anybody explain with an example?
I hope for a prompt reply.
Regards,
Amit Trada
From India, Ahmadabad
Acknowledge(0)Amend(0)
I am familiar with the normal terms related to PF & EPF slips, but throughout the entire year, how is the interest rate calculated and placed in Form No. 23, i.e., the provident fund slip? I am uncertain about this aspect. Can anybody explain with an example?
I hope for a prompt reply.
Regards,
Amit Trada
From India, Ahmadabad
Acknowledge(0)Amend(0)
Hi, Pls Checkout this.May Help you to some extent. Bijay
From India, Vadodara
Acknowledge(0)Amend(0)
From India, Vadodara
Acknowledge(0)Amend(0)
Dear Seniors,
Can anyone explain what the eligibility requirements are to receive a pension in the following scenarios?
1. After completing 10 years of service in a company.
2. After reaching the age of 58 while in service.
3. If an employee becomes a PF member at the age of 55, would they be eligible to receive a pension after turning 58?
I am looking forward to your responses.
Regards,
Hitesh
From India, Delhi
Acknowledge(0)Amend(0)
0
0
Can anyone explain what the eligibility requirements are to receive a pension in the following scenarios?
1. After completing 10 years of service in a company.
2. After reaching the age of 58 while in service.
3. If an employee becomes a PF member at the age of 55, would they be eligible to receive a pension after turning 58?
I am looking forward to your responses.
Regards,
Hitesh
From India, Delhi
Acknowledge(0)Amend(0)CiteHR.AI
(Fact Checked)-The eligibility criteria for pension under the EPF scheme are as follows: 1. After completing 10 years of service. 2. After attaining the age of 58 years. 3. If an employee joins the PF scheme at 55, they can get a pension after reaching 58 if they fulfill the service requirement. For detailed calculation and eligibility, refer to the Employees' Provident Funds and Miscellaneous Provisions Act, 1952. (1 Acknowledge point)
0
0
Dear All,
Thank you for all the responses you have sent to me. It did help me a lot. Once again, thank you all very much to those who have posted their valuable responses. Hope I'll be back with another thread and get in touch with you all ;-)
Thank you.
From India, Hyderabad
Acknowledge(0)Amend(0)
Thank you for all the responses you have sent to me. It did help me a lot. Once again, thank you all very much to those who have posted their valuable responses. Hope I'll be back with another thread and get in touch with you all ;-)
Thank you.
From India, Hyderabad
Acknowledge(0)Amend(0)
Dear Hites,
The point-wise reply is as follows:
1. After completing 10 years of service in a company
Ans: After attaining the age of 52 years, you can apply for the reduced-rate pension scheme, and at this time, you have only applied for the Scheme Certificate.
2. After completing 58 years of age during service
Ans: You should apply for the pension with the prescribed form 10 D and necessary documents.
3. If any employee becomes a PF member at the age of 55 years, would he be eligible to receive a pension after turning 58 years old?
Ans: To be eligible for a pension, your service length needs to be 10 years or more.
I hope this answers your queries. If you have any further questions, please feel free to email me at amit_trada@yahoo.co.in.
Regards,
Amit Trada
9712343947
Surat, Gujarat
From India, Ahmadabad
Acknowledge(0)Amend(0)
The point-wise reply is as follows:
1. After completing 10 years of service in a company
Ans: After attaining the age of 52 years, you can apply for the reduced-rate pension scheme, and at this time, you have only applied for the Scheme Certificate.
2. After completing 58 years of age during service
Ans: You should apply for the pension with the prescribed form 10 D and necessary documents.
3. If any employee becomes a PF member at the age of 55 years, would he be eligible to receive a pension after turning 58 years old?
Ans: To be eligible for a pension, your service length needs to be 10 years or more.
I hope this answers your queries. If you have any further questions, please feel free to email me at amit_trada@yahoo.co.in.
Regards,
Amit Trada
9712343947
Surat, Gujarat
From India, Ahmadabad
Acknowledge(0)Amend(0)
Dear All, Very simple formula of PF slip calculation. please update your details of monthly wages, in attached excel sheet and calculate your pf %. Regards,
From India, Nasik
Acknowledge(0)Amend(0)
From India, Nasik
Acknowledge(0)Amend(0)
Dear All,
Can anyone tell me the exact Basic Pay and H.R.A. percentage over Gross Pay as per Government Rules (Himachal Pradesh or the rest of India) or tell me the favorite Salary Structure accepted mostly in the private sector.
Thanks and Regards,
Amar
+91 9467754890
From India, Delhi
Acknowledge(0)Amend(0)
Can anyone tell me the exact Basic Pay and H.R.A. percentage over Gross Pay as per Government Rules (Himachal Pradesh or the rest of India) or tell me the favorite Salary Structure accepted mostly in the private sector.
Thanks and Regards,
Amar
+91 9467754890
From India, Delhi
Acknowledge(0)Amend(0)
Conventionally PF records should be with the Finance/Acs or Pay Roll section. Same for the Advance Register also. kumar.s.
From India, Bangalore
Acknowledge(0)Amend(0)
0
0
From India, Bangalore
Acknowledge(0)Amend(0)CiteHR.AI
(Fact Checked)-[The department that conventionally maintains PF records is typically the Finance/Accounts or Payroll section. The same applies to the Advance Register.] (1 Acknowledge point)
0
0
Dear JVR2K,
Do not worry, you just need to draft a simple letter because this is a typing mistake or a computerized mistake at the time of enrollment. Please state the original PF Code number for both employees and submit Form 5 (New joined employee list).
With Best Regards,
Amit
From India, Ahmadabad
Acknowledge(0)Amend(0)
Do not worry, you just need to draft a simple letter because this is a typing mistake or a computerized mistake at the time of enrollment. Please state the original PF Code number for both employees and submit Form 5 (New joined employee list).
With Best Regards,
Amit
From India, Ahmadabad
Acknowledge(0)Amend(0)Looking for something specific? - Join & Be Part Of Our Community and get connected with the right people who can help. Our AI-powered platform provides real-time fact-checking, peer-reviewed insights, and a vast historical knowledge base to support your search.
PF guidleines for Pension fund.pdf
EPF PENSION CALCULATION.zip
CiteHR.AI
(Fact Checked)-[response] (1 Acknowledge point)