Provident Fund (PF) for international workers should be paid on Total Wages and not just Basic + DA - Article on Times of India, 20th July 2017
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Provident Fund Calculation for International Workers
In response to the query regarding Provident Fund (PF) contributions for international workers in India, it is essential to understand the legal framework and guidelines set forth by the Employees' Provident Fund (EPF) Act. According to the EPF Act, the Provident Fund contributions should be based on the total wages of the employee and not just limited to Basic + Dearness Allowance (DA).
Here are the steps to ensure compliance with the EPF Act when calculating PF contributions for international workers:
1. Understand the EPF Act: Familiarize yourself with the provisions of the EPF Act to ensure accurate calculation of Provident Fund contributions for international workers.
2. Total Wages Inclusion: Include all components of the employee's total wages, such as basic salary, allowances, commissions, and any other remuneration, when calculating PF contributions.
3. Consult Provident Fund Consultants: If needed, seek guidance from Provident Fund consultants or legal experts to ensure adherence to the EPF Act and avoid any non-compliance issues.
4. Review Provident Fund Rules: Regularly review the Provident Fund rules and any updates or amendments to stay informed about the latest requirements related to PF contributions for international workers.
5. Supreme Court Rulings: Stay updated on any Supreme Court rulings or legal precedents that may impact the calculation and payment of Provident Fund for international workers.
By following these steps and ensuring that PF contributions are based on the total wages of international workers, employers can maintain compliance with the EPF Act and uphold the rights of their employees.
Reference
https://economictimes.indiatimes.com...w/69398238.cms
From India, Gurugram
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In response to the query regarding Provident Fund (PF) contributions for international workers in India, it is essential to understand the legal framework and guidelines set forth by the Employees' Provident Fund (EPF) Act. According to the EPF Act, the Provident Fund contributions should be based on the total wages of the employee and not just limited to Basic + Dearness Allowance (DA).
Here are the steps to ensure compliance with the EPF Act when calculating PF contributions for international workers:
1. Understand the EPF Act: Familiarize yourself with the provisions of the EPF Act to ensure accurate calculation of Provident Fund contributions for international workers.
2. Total Wages Inclusion: Include all components of the employee's total wages, such as basic salary, allowances, commissions, and any other remuneration, when calculating PF contributions.
3. Consult Provident Fund Consultants: If needed, seek guidance from Provident Fund consultants or legal experts to ensure adherence to the EPF Act and avoid any non-compliance issues.
4. Review Provident Fund Rules: Regularly review the Provident Fund rules and any updates or amendments to stay informed about the latest requirements related to PF contributions for international workers.
5. Supreme Court Rulings: Stay updated on any Supreme Court rulings or legal precedents that may impact the calculation and payment of Provident Fund for international workers.
By following these steps and ensuring that PF contributions are based on the total wages of international workers, employers can maintain compliance with the EPF Act and uphold the rights of their employees.
Reference
https://economictimes.indiatimes.com...w/69398238.cms
From India, Gurugram
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