As far as PF is concerned, one can contribute 12% of the salary accountable for PF, which includes Basic, D.P & D.A. Besides this, one can contribute an amount as Voluntary Provident Fund (VPF). For VPF, the employer's contribution will not be available, but all other benefits will be available as on PF subject to a maximum of 50% of the take-home salary.
Arun Kumar Walia
From India, Bhiwani
Arun Kumar Walia
From India, Bhiwani
EPF contribution from the employee is restricted to 12% on basic + DA for an employee whose salary + DA is Rs. 6500/- per month. The employer contribution is also 12%. If the employee wishes to contribute more than 12%, it is permitted, but there will not be an equivalent contribution for that increase from the employer as it is a voluntary contribution. According to the EPF scheme, no employer can deduct more than the permitted limit of 12%.
Regards,
Dr. K. K. Anirudhan
Email: kkanirudhan@gmail.com
From India, Kochi
5Regards,
Dr. K. K. Anirudhan
Email: kkanirudhan@gmail.com
From India, Kochi
Hi there,
There are three types of PF:
1. CPF is given by the employer, which is 12% of basic pay + special pay + DA deposited in the employee's PF account.
2. EPF (Employee Provident Fund) is deducted from the employee's salary and equals 12% of basic pay + DA.
3. VPF is an additional PF deduction that can be done if the employee requests it. There is no limit to VPF, but it cannot exceed (Basic pay + special pay + DA).
EPF + VPF is deducted from the employee's salary. There is a minimum limit for EPF, but there is no maximum limit for VPF, subject to the salary.
By Vikas Pandey
There are three types of PF:
1. CPF is given by the employer, which is 12% of basic pay + special pay + DA deposited in the employee's PF account.
2. EPF (Employee Provident Fund) is deducted from the employee's salary and equals 12% of basic pay + DA.
3. VPF is an additional PF deduction that can be done if the employee requests it. There is no limit to VPF, but it cannot exceed (Basic pay + special pay + DA).
EPF + VPF is deducted from the employee's salary. There is a minimum limit for EPF, but there is no maximum limit for VPF, subject to the salary.
By Vikas Pandey
Ok friends,
Can I remove someone from the PF list once they cross the 6500 (Basic + DA) mark? Meaning, I will neither deduct the company contribution nor the employee contribution and instead add that to their net pay starting from the current month onwards. I will then submit their name in Form 10.
RR
From India, Madras
Can I remove someone from the PF list once they cross the 6500 (Basic + DA) mark? Meaning, I will neither deduct the company contribution nor the employee contribution and instead add that to their net pay starting from the current month onwards. I will then submit their name in Form 10.
RR
From India, Madras
[QUOTE=sathish.hr1975;1031812]
Dear friend,
I am sorry to say that a deduction of more than Rs.6,500 per month does not depend on the management decision itself. If an employee does not accept and Form-11 is not submitted, it is not feasible to deduct.
Sathish
Thank you, Satish. I agree with you.
From India, Bangalore
Dear friend,
I am sorry to say that a deduction of more than Rs.6,500 per month does not depend on the management decision itself. If an employee does not accept and Form-11 is not submitted, it is not feasible to deduct.
Sathish
Thank you, Satish. I agree with you.
From India, Bangalore
Deduction of pf on salary Rs. 6500/- pm doesn’t depend upon management decision but its a compulsion that salary upto Rs. 6500/- (Basic+da) the pf deduction has to be done. sumit
From India, Ghaziabad
From India, Ghaziabad
from employer contribution is 12% in that, 8.33% will be contributed in pension & 3.67 % in PF. reyas
From India, Madras
From India, Madras
Hema & Reyas are correct. Statutorily, the maximum limit is fixed up to Rs 6500 per month, but the employee or employer may choose to contribute more as well. However, in Pension Account 8.33% of 6500, i.e., a maximum of Rs 541, can be deposited from the employer's contribution.
N N Tiwari
From India, New Delhi
N N Tiwari
From India, New Delhi
I, would like to correct here that maximum amount which an individual can deposit is subject to 541, i.e. 8.33% on 6500/- not 641/-
From India, Mumbai
From India, Mumbai
Sir,
Please clarify my doubt.
In any circumstances, is there a provision to contribute more than Rs. 541 to the Pension Fund in a month?
Suppose a person's basic was Rs. 3025 and was contributing Rs. 252 towards the Pension Fund. He gets an increment of Rs. 1250 in month A with arrear payment for the previous 4 months. So his salary in month A is Rs. 9275, and his revised salary is Rs. 4275.
My doubt is, what will be the contribution towards the Pension Fund in month A? Will it be limited to Rs. 541 only? Since the actual contribution for the previous 4 months had to be Rs. 356, how should the difference amount of Rs. 104 (104*4) be adjusted?
Sini
From India, Kochi
Please clarify my doubt.
In any circumstances, is there a provision to contribute more than Rs. 541 to the Pension Fund in a month?
Suppose a person's basic was Rs. 3025 and was contributing Rs. 252 towards the Pension Fund. He gets an increment of Rs. 1250 in month A with arrear payment for the previous 4 months. So his salary in month A is Rs. 9275, and his revised salary is Rs. 4275.
My doubt is, what will be the contribution towards the Pension Fund in month A? Will it be limited to Rs. 541 only? Since the actual contribution for the previous 4 months had to be Rs. 356, how should the difference amount of Rs. 104 (104*4) be adjusted?
Sini
From India, Kochi
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.
