As per the new PF rule passed on by the SC, special allowance will be an additional component to the basic + DA for PA deduction. This will lead to a rise in PF deduction and CTC, but a drop in net salary (Take Home).
However, as per my knowledge (I can be wrong), this additional PF contribution is applicable to individuals with basic salary of Rs.15,000.
My basic is more than 15,000, but my company has implied this new rule and shared a new salary structure where my PF contribution has risen along with CTC, but my take home has taken a hit. Are they obligated to do so? Do I need to comply? Is there a way around it?
Proviso to Para 26A will restrict my PF contribution to Rs.15,000, but will also reduce my CTC. That's why I have not requested my company to do so.
From India, Mumbai
However, as per my knowledge (I can be wrong), this additional PF contribution is applicable to individuals with basic salary of Rs.15,000.
My basic is more than 15,000, but my company has implied this new rule and shared a new salary structure where my PF contribution has risen along with CTC, but my take home has taken a hit. Are they obligated to do so? Do I need to comply? Is there a way around it?
Proviso to Para 26A will restrict my PF contribution to Rs.15,000, but will also reduce my CTC. That's why I have not requested my company to do so.
From India, Mumbai
Hi
As per the recent Law of PF , pf calculation will include every component of Salary excluding HRA ..
suppose your Salary is 10 rs
basic -5
hra -2
medical-1
conveyance- 2
.
so your contribution of pf will be on (basic +medical+conveyance )..
Also PF is limited to 1800.. employer cannot deduct more than this.
From India, Bengaluru
4As per the recent Law of PF , pf calculation will include every component of Salary excluding HRA ..
suppose your Salary is 10 rs
basic -5
hra -2
medical-1
conveyance- 2
.
so your contribution of pf will be on (basic +medical+conveyance )..
Also PF is limited to 1800.. employer cannot deduct more than this.
From India, Bengaluru
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