Dear all,
I have recently joined as a HR Executive in a small company. The earlier hr did not hand over the things properly due to which I am unable to find the exact calculation basis of the salary. However I tried to make a format of salary structure and shared it with my seniors.
The salary range in my company goes from 10k to 70k per month. depending on the role and designation of the employee. With my format I tried to minimize the basic salary as the gross income increases. but then there was another argument that if the basic salary is more than 6500 for employees whose salary is upto 35k then the company would have to contribute more in their pf and they don't want to contribute higher amounts. Kindly guide me.
From India, Mumbai
I have recently joined as a HR Executive in a small company. The earlier hr did not hand over the things properly due to which I am unable to find the exact calculation basis of the salary. However I tried to make a format of salary structure and shared it with my seniors.
The salary range in my company goes from 10k to 70k per month. depending on the role and designation of the employee. With my format I tried to minimize the basic salary as the gross income increases. but then there was another argument that if the basic salary is more than 6500 for employees whose salary is upto 35k then the company would have to contribute more in their pf and they don't want to contribute higher amounts. Kindly guide me.
From India, Mumbai
Dear Mr. Wagh,
As per the EPF & MP Act, the monthly employee contribution is to be deducted from the salary @ 12% on a maximum wage ceiling of Rs.6500 till August 2014 and deposited with matching employer contribution. After 1.9.2014, the wage ceiling has been raised to Rs.15,000. Hence, the contributions are now restricted to 12% of Rs.15,000 only. Please read the Act and go through the website of EPFO for more information.
With best wishes
From India, Mumbai
94As per the EPF & MP Act, the monthly employee contribution is to be deducted from the salary @ 12% on a maximum wage ceiling of Rs.6500 till August 2014 and deposited with matching employer contribution. After 1.9.2014, the wage ceiling has been raised to Rs.15,000. Hence, the contributions are now restricted to 12% of Rs.15,000 only. Please read the Act and go through the website of EPFO for more information.
With best wishes
From India, Mumbai
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Salary Sheet & PF PT Calculation & Challan Nov 2010.xls