As per the PF Act, the principal employer is liable to pay his share of contribution up to Rs. 6500/- basic + DA. He need not pay for above Rs 6500/-. This doesn't mean that he will not pay at all. He has to remit his contribution of Rs. 6500/-, i.e., Rs. 780/-
Regards,
Srujana
From India, Hyderabad
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Regards,
Srujana
From India, Hyderabad
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Hi, Dear Sivasuil,
1. Please check if more than 20 employees are working in his company.
2. If yes, please ask for the registration certificate.
3. Even if he shows Basic+DA as 6500, he still has to deduct 780/-, i.e., the ceiling.
Thanks,
Manjula
From India, Bangalore
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11. Please check if more than 20 employees are working in his company.
2. If yes, please ask for the registration certificate.
3. Even if he shows Basic+DA as 6500, he still has to deduct 780/-, i.e., the ceiling.
Thanks,
Manjula
From India, Bangalore
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Hello Everyone,
Sub: Regarding P.F. ceiling
If an employee's basic + d.a. is more than 6500, then the maximum deduction from the employee's end is 780.00. It depends on the employee whether he/she wants P.F. deduction or not. However, it is compulsory for Form-11 to be filled by the employee voluntarily and submitted to the concerned P.F. department.
Condition:
1. Employee newly joined and basic + d.a. is more than 6500.00.
2. Employee should not have been a member of PF at any time during his previous employment.
3. Employee should have withdrawn all his previous PF accumulations, if any.
Regards,
Bunti
Just check again with the PF department if you are unsure about the above.
From India, Velluru
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Sub: Regarding P.F. ceiling
If an employee's basic + d.a. is more than 6500, then the maximum deduction from the employee's end is 780.00. It depends on the employee whether he/she wants P.F. deduction or not. However, it is compulsory for Form-11 to be filled by the employee voluntarily and submitted to the concerned P.F. department.
Condition:
1. Employee newly joined and basic + d.a. is more than 6500.00.
2. Employee should not have been a member of PF at any time during his previous employment.
3. Employee should have withdrawn all his previous PF accumulations, if any.
Regards,
Bunti
Just check again with the PF department if you are unsure about the above.
From India, Velluru
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If contractor employees Basic+DA more than Rs.6,500/- need not pay PF, but please check their salary register and Salary lessthan 15,000 /- they should pay ESI. K Subramanian
From India, Madras
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From India, Madras
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Dear, Kindly find the attachment for the ciling limit of P.F for becoming the member ship in P.F Fund. thank Mayank 9868720068
From India, Delhi
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From India, Delhi
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Dear Siva,
As per the PF Act, wages mean Basic + DA. So, it is compulsory to deduct and pay the PF for Basic + DA (i.e., Basic - 3500 + DA - 3000, total PF Rs. 780 + Rs. 780 = Rs. 1560/-). As per the EPS Act, the ceiling for wages is Rs. 6500/-; above that amount, wages need not be paid. Only follow the up to ceiling wages.
Regards,
E. Sivasakthivel.
From India, Coimbatore
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As per the PF Act, wages mean Basic + DA. So, it is compulsory to deduct and pay the PF for Basic + DA (i.e., Basic - 3500 + DA - 3000, total PF Rs. 780 + Rs. 780 = Rs. 1560/-). As per the EPS Act, the ceiling for wages is Rs. 6500/-; above that amount, wages need not be paid. Only follow the up to ceiling wages.
Regards,
E. Sivasakthivel.
From India, Coimbatore
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The cardinal principle is that an employee (otherwise fulfilling the criteria of >20 persons engaged), whether by the Principal Employer or the Immediate Employer (Contractor), enters first time in employment and draws a basic salary (not + D.A) > 6500/- per month, then he can apply for exemption from P.F. to be declared as an exempted employee. Other than this, all are to be covered under P.F. Act, up to Basic Pay <= Rs. 6500/-
Even if the contractor disobeys this, the Principal Employer is supposed to pay the P.F. contribution on behalf of the contractor and adjust the amount from his bill.
D.K. Moitra
From India, Calcutta
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Even if the contractor disobeys this, the Principal Employer is supposed to pay the P.F. contribution on behalf of the contractor and adjust the amount from his bill.
D.K. Moitra
From India, Calcutta
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Dear Siva,
There is no rule for compulsory payment of P.F. if the salary goes above 6500/- basic + D.A. It can be possible with the mutual understanding of the contractor and contract worker in writing. You can also demand the P.T. challan.
Thank you.
From India, Bharuch
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There is no rule for compulsory payment of P.F. if the salary goes above 6500/- basic + D.A. It can be possible with the mutual understanding of the contractor and contract worker in writing. You can also demand the P.T. challan.
Thank you.
From India, Bharuch
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Dear Shiva,
Payment of PF is a must by the Contractor, whether the salary is more than 6500/- or not. This 6500/- clause is particularly applicable to have a sealing in PF. If the employee's basic + DA salary is more than 6500/-, then up to 6500/- only you can recover the PF amount from any pay. If the management wants to pay on the total Basic + DA amount, that is applicable also. Therefore, you should insist that the Contractor also pays the PF.
Hope this is clear to you.
Regards,
Murthy
From India, Hyderabad
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Payment of PF is a must by the Contractor, whether the salary is more than 6500/- or not. This 6500/- clause is particularly applicable to have a sealing in PF. If the employee's basic + DA salary is more than 6500/-, then up to 6500/- only you can recover the PF amount from any pay. If the management wants to pay on the total Basic + DA amount, that is applicable also. Therefore, you should insist that the Contractor also pays the PF.
Hope this is clear to you.
Regards,
Murthy
From India, Hyderabad
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Hi,
My question is if an establishment has a PF number but some of its employees are drawing wages (basic + DA) more than 6500, do we need to fill out Form 11? Some say to submit Form 11 to the PF department, while others say it's not compulsory; just maintain Form 11 in your company's PF records.
From India, Delhi
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My question is if an establishment has a PF number but some of its employees are drawing wages (basic + DA) more than 6500, do we need to fill out Form 11? Some say to submit Form 11 to the PF department, while others say it's not compulsory; just maintain Form 11 in your company's PF records.
From India, Delhi
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