I recently joined an organisation. In the CTC offered, The annual basic is Rs 272600 and the employer contribution is Rs 9260 annually. As far as I have heard and read, employee and employer contribution is 12% of the basic but should be exceeding 6500 monthly (as per new rules it seems this limit is 15000 but the current case was before this ruling).
So that makes employer PF contribution to
12% of 272600 = 32712 but as mentioned it is 9260.
Like my last employer I was not asked anything related to the PF split nor I initiated any variation in the contribution.
Where the maths has gone wrong ? Or Do I need more enlightenment!
From India, Delhi
So that makes employer PF contribution to
12% of 272600 = 32712 but as mentioned it is 9260.
Like my last employer I was not asked anything related to the PF split nor I initiated any variation in the contribution.
Where the maths has gone wrong ? Or Do I need more enlightenment!
From India, Delhi
Dear Dineshk1389,
It seems to me as under:
1. The company is deducting PF on salary Rs. 6500/-. That is the ceiling as on 31st Aug 14;
2. Contribution on Rs. 6500/- is Rs. 780/- pm. Annually it comes to Rs. 9360/-;
3. You say that the company has ddeducted Rs. 9260/- which is less than Rs. 9360/ i.e. by Rs. 100/-;
4. You must be mistaken here. Please confirm whether it is Rs. 9360/- or Rs. 9260/-.
5. If it is Rs. 9260/- then there may be a deduction towards loss of basic in any of the months. Please ask the employer about it.
From India, Mumbai
2556It seems to me as under:
1. The company is deducting PF on salary Rs. 6500/-. That is the ceiling as on 31st Aug 14;
2. Contribution on Rs. 6500/- is Rs. 780/- pm. Annually it comes to Rs. 9360/-;
3. You say that the company has ddeducted Rs. 9260/- which is less than Rs. 9360/ i.e. by Rs. 100/-;
4. You must be mistaken here. Please confirm whether it is Rs. 9360/- or Rs. 9260/-.
5. If it is Rs. 9260/- then there may be a deduction towards loss of basic in any of the months. Please ask the employer about it.
From India, Mumbai
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Employer-PF-res trict to wages of Rs 6500.pdf