Hi all, Please someone help out me, How are calculate the PF, Gratuity and ESI? In this process of calculations, which basis they calculate contribution? Someone help me on these calculations
From India, Gurgaon
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14From India, Gurgaon
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Dear Prasad, Huge Discussions are there regarding this topic. You can use research tab. Even then if you can’t clarify your query, then we can have a discuss.
From India, Madras
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From India, Madras
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Bharathi mam, i want procedure caluculation of salary of individual person..............take some amount explain me ,,,,,,,i want to know procedure. pleaseeeeeeeeeeee
From India, Gurgaon
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From India, Gurgaon
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Salary breakup is:
Basic: 1000
DA: 500
HRA: 400
Others: 1000
Gross Salary: 2900
For PF:
**
(Basic + DA) * 12% means: (1000 + 500) / 100 * 12 (same from the company) and other administrative charges 1.61%
Max up to 6500/-
For ESI:
**
Gross salary * 1.75%
From employee salary deduction means: 2900 / 100 * 1.75
From Employer: 2900 / 100 * 4.25
Max up to 15000/-
For more details, see the............
Regards
From India, Vijayawada
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Basic: 1000
DA: 500
HRA: 400
Others: 1000
Gross Salary: 2900
For PF:
**
(Basic + DA) * 12% means: (1000 + 500) / 100 * 12 (same from the company) and other administrative charges 1.61%
Max up to 6500/-
For ESI:
**
Gross salary * 1.75%
From employee salary deduction means: 2900 / 100 * 1.75
From Employer: 2900 / 100 * 4.25
Max up to 15000/-
For more details, see the............
Regards
From India, Vijayawada
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Dear Prasad Subject - How calculate PF, Gratuity and ESI........... Please see the formula of sheet attachment for some .... more you need to discuss. Regards Vinod Chauhan Consultant New Delhi
From India, Delhi
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From India, Delhi
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Hi sir,
What are the contribution periods and what are the benefit periods in the ESI act? In the Provident Fund, how do we calculate PF, pension fund, and DIL? If you have any materials on ESI, PF, Gratuity, and Superannuation acts, please share them.
Thank you.
From India, Gurgaon
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What are the contribution periods and what are the benefit periods in the ESI act? In the Provident Fund, how do we calculate PF, pension fund, and DIL? If you have any materials on ESI, PF, Gratuity, and Superannuation acts, please share them.
Thank you.
From India, Gurgaon
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Hi all, what is the difference between gratuity fund and superannuation fund?pls someone give information............
From India, Gurgaon
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From India, Gurgaon
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Dear Prasad,
Difference between Gratuity and Superannuation fund:
Superannuation is 15% of basic, and gratuity is 4.81% of the basic.
Superannuation can be optional (you can opt in your hand salary as a special allowance which will be taxable) while gratuity is not.
Superannuation can be claimed whenever you leave the company while Gratuity can only be claimed if you have completed 5 years.
Both terms have different meanings and are used differently, and therefore should not be confused with each other.
In India, Superannuation is a perquisite extended to employees in various companies as a part of employment conditions generally to the management staff more for retention purpose. It had more significance some years ago as it entailed retirement benefit on attaining the age of superannuation - say 58 years, as companies in the private sectors do not have pension schemes unlike Government Sector companies.
The superannuation started getting significance as many multinational companies offered this perquisite which even allows a deduction of up to 15% of basic and in combination with PF should not go beyond 27% as per existing rules under the Income Tax provisions.
The superannuation can be prescribed through LIC or many other private insurance companies, and a number of options may be chosen from the scheme by employees who are members at the time of leaving the company.
Whereas Gratuity is compulsory under the provisions of The Payment of Gratuity Act after an employee completes 5 years of service with the company. Gratuity becomes payable only on completion of 5 years only.
1. Superannuation is a defined contribution plan.
2. Gratuity is a defined benefit plan.
1. Superannuation is an employee's contribution.
2. Gratuity is an employer's contribution.
1. The employee can withdraw 1/3 of the Superannuation Fund as tax-free income and with the rest of 2/3, he has to buy an annuity plan (pension plan).
2. 100% of the Gratuity amount is Income Tax-Free and can be received in one go.
1. Superannuation is not a statute.
2. Gratuity is a statute.
1. Superannuation can be withdrawn at any time (leaving the company or retiring).
2. Gratuity can be received only when you complete 5 years of continuous service.
From India, Madras
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Difference between Gratuity and Superannuation fund:
Superannuation is 15% of basic, and gratuity is 4.81% of the basic.
Superannuation can be optional (you can opt in your hand salary as a special allowance which will be taxable) while gratuity is not.
Superannuation can be claimed whenever you leave the company while Gratuity can only be claimed if you have completed 5 years.
Both terms have different meanings and are used differently, and therefore should not be confused with each other.
In India, Superannuation is a perquisite extended to employees in various companies as a part of employment conditions generally to the management staff more for retention purpose. It had more significance some years ago as it entailed retirement benefit on attaining the age of superannuation - say 58 years, as companies in the private sectors do not have pension schemes unlike Government Sector companies.
The superannuation started getting significance as many multinational companies offered this perquisite which even allows a deduction of up to 15% of basic and in combination with PF should not go beyond 27% as per existing rules under the Income Tax provisions.
The superannuation can be prescribed through LIC or many other private insurance companies, and a number of options may be chosen from the scheme by employees who are members at the time of leaving the company.
Whereas Gratuity is compulsory under the provisions of The Payment of Gratuity Act after an employee completes 5 years of service with the company. Gratuity becomes payable only on completion of 5 years only.
1. Superannuation is a defined contribution plan.
2. Gratuity is a defined benefit plan.
1. Superannuation is an employee's contribution.
2. Gratuity is an employer's contribution.
1. The employee can withdraw 1/3 of the Superannuation Fund as tax-free income and with the rest of 2/3, he has to buy an annuity plan (pension plan).
2. 100% of the Gratuity amount is Income Tax-Free and can be received in one go.
1. Superannuation is not a statute.
2. Gratuity is a statute.
1. Superannuation can be withdrawn at any time (leaving the company or retiring).
2. Gratuity can be received only when you complete 5 years of continuous service.
From India, Madras
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Hi all, someone give information , what are the contribution period and Benefit period in the ESI act?
From India, Gurgaon
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From India, Gurgaon
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Dear Mr. Prasadu,
The ESI CONTRIBUTION PERIODS ARE -
1. 1st April to 30th Sept
2. 1st October to 31st March
If any employee falls within the ESI Limit (i.e., Rs. 15,000/- gross) during the contribution period, ESI will be deducted until the end of the contribution period, even if his/her salary is increased to above Rs. 15,000/-. The benefit period is the next contribution period.
Regards,
VGKVKM
From India, Bangalore
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The ESI CONTRIBUTION PERIODS ARE -
1. 1st April to 30th Sept
2. 1st October to 31st March
If any employee falls within the ESI Limit (i.e., Rs. 15,000/- gross) during the contribution period, ESI will be deducted until the end of the contribution period, even if his/her salary is increased to above Rs. 15,000/-. The benefit period is the next contribution period.
Regards,
VGKVKM
From India, Bangalore
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