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Dear Mr. keshav,
Sorry to differ with you. I agree with you as far as employee's choice is concerned.
I am sure that management is also having the option to contribute or not contribute PF to an employee drawing more than 6500 PM, on the day of his joining, in case he is not already a member of PF (in his previous assignments).
To ensure that he is not an existing member in PF employer need to collect a declaration in Form-11 before excluding him from PF.
I agree with you in one aspect that an employee contributing PF can not be excluded from PF on the pretext that his salary exceeds 6500. Once a member in PF can continue to be a member even his salary exceeds 6500 and employer will not have choice.
We are following the above in many organizations and never had a problem during periodical inspections.
Hope you may be convinced.
Regards
PRATAP
From India, Chennai
Sorry to differ with you. I agree with you as far as employee's choice is concerned.
I am sure that management is also having the option to contribute or not contribute PF to an employee drawing more than 6500 PM, on the day of his joining, in case he is not already a member of PF (in his previous assignments).
To ensure that he is not an existing member in PF employer need to collect a declaration in Form-11 before excluding him from PF.
I agree with you in one aspect that an employee contributing PF can not be excluded from PF on the pretext that his salary exceeds 6500. Once a member in PF can continue to be a member even his salary exceeds 6500 and employer will not have choice.
We are following the above in many organizations and never had a problem during periodical inspections.
Hope you may be convinced.
Regards
PRATAP
From India, Chennai
Dear Pratap ji,
Thanks again for your response.
We differe each other on one point, i.e. management choice when salary of employee above Rs. 6500/- and he is not a member of PF previously.
May I request intervention / opinion by experts in this regards?
We have Shri. AK Chandok ji, RPFC (Retired) as our member. I request our Moderators to draw the kind attention of him to this thread and enlighten us in this regards.
From India, Mumbai
Thanks again for your response.
We differe each other on one point, i.e. management choice when salary of employee above Rs. 6500/- and he is not a member of PF previously.
May I request intervention / opinion by experts in this regards?
We have Shri. AK Chandok ji, RPFC (Retired) as our member. I request our Moderators to draw the kind attention of him to this thread and enlighten us in this regards.
From India, Mumbai
Dear All,
First of all i will appreciate the above people who referred the law,as clearly written in EPF act about excluded employees,but if somebody once become the member of EPF & have not withdrawn the EPF from previous employer he could not be exempted from epf in that case but employer's liability is fixed upto 6500 (For example if new employees joint the organization & his basic+d.a is 20000 p.m but he is member of EPF in his previous company,in that case he is entitled for epf in our company also,but the employer liability will be fixed upto 13.61 % of 6500.But if company wants to deposit more than that its all about mutual understanding in that case.
Ved Bawa
Sr. Executive
9255293992
Neolite ZKW
From India, Delhi
First of all i will appreciate the above people who referred the law,as clearly written in EPF act about excluded employees,but if somebody once become the member of EPF & have not withdrawn the EPF from previous employer he could not be exempted from epf in that case but employer's liability is fixed upto 6500 (For example if new employees joint the organization & his basic+d.a is 20000 p.m but he is member of EPF in his previous company,in that case he is entitled for epf in our company also,but the employer liability will be fixed upto 13.61 % of 6500.But if company wants to deposit more than that its all about mutual understanding in that case.
Ved Bawa
Sr. Executive
9255293992
Neolite ZKW
From India, Delhi
Dear Super Moderators, There is no response by any of the experts so far. I request you to kindly refer this thread to the experts for their comments.
From India, Mumbai
From India, Mumbai
In this case PF deduction is not mandatory because Total Annual salary is more than 3.5 lacs. Its means your (basic salary+ DA) is greater than 6500 Rs. per month. In this case PF deduction on your choice, if your interested then you contribute otherwise not.
PF deduction is compulsory for those employees who draw (basic salary+DA) less than or equal to 6500 Rs. per month.
Thanks & Regards,
KPS Consultants,
PF Registration
From India, Delhi
PF deduction is compulsory for those employees who draw (basic salary+DA) less than or equal to 6500 Rs. per month.
Thanks & Regards,
KPS Consultants,
PF Registration
From India, Delhi
KPS Consultants
Dear Sir,
I am totally confused on your post. Could you please elaborate on your above comments?
Or can any other learned member of this forum solve my long outstanding queries in this thread?
From India, Mumbai
Dear Sir,
I am totally confused on your post. Could you please elaborate on your above comments?
Or can any other learned member of this forum solve my long outstanding queries in this thread?
From India, Mumbai
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