Dear Seniors It is said about 20% EDLI relief. Can any one explain this matter with the exact calculation please. Regards Pijush
From India, Bagnan
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9From India, Bagnan
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Dear Members,
Is it fine if an employer keeps the same PF deduction for all the members (except trainees) e.g. 15,000*12% = 1800? Or should it be based on the basic salary, which varies from employee to employee?
Please advise on an urgent basis.
Thanks, Nikita
From India, Jamnagar
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Is it fine if an employer keeps the same PF deduction for all the members (except trainees) e.g. 15,000*12% = 1800? Or should it be based on the basic salary, which varies from employee to employee?
Please advise on an urgent basis.
Thanks, Nikita
From India, Jamnagar
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Hi Nikita, You can calculate it on the ceiling rate of 15000. that will do. or can also deduct on actual wage (Basic+DA) if it is more than the ceiling that is 15000. Regards Pijush
From India, Bagnan
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From India, Bagnan
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Dear Mr. Pijush,
Many thanks for your answer. I understood that the employer can maintain the same PF deduction for all employees (Rs. 1800) irrespective of the Basic+DA salary. As we are new to PF, I have another query regarding the same.
If the employer deducts PF as a part of CTC, then the contribution should be 13.61% of 15,000, which equals 2042 (8.33% - Pension, 3.67% - PF, admin charges - 1.10, EDLI - 0.5%, Admin charges - 0.01%). Is this correct?
Please assist.
Thanks,
Nikita
From India, Jamnagar
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Many thanks for your answer. I understood that the employer can maintain the same PF deduction for all employees (Rs. 1800) irrespective of the Basic+DA salary. As we are new to PF, I have another query regarding the same.
If the employer deducts PF as a part of CTC, then the contribution should be 13.61% of 15,000, which equals 2042 (8.33% - Pension, 3.67% - PF, admin charges - 1.10, EDLI - 0.5%, Admin charges - 0.01%). Is this correct?
Please assist.
Thanks,
Nikita
From India, Jamnagar
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To, deal all please give me some ideas about calculation of pf if any body given salary of rs. 12000/-
From India, Kolhapur
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From India, Kolhapur
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Hi Nikita,
That's right. Things are the same; only the ceiling wage is increased by this new amendment. The employer's contribution would be 13.61% of the wage, but you need to deduct only 12% from any employee's wage.
For instance:
- Basic + DA = 12000
- Employee contribution = 1440 (12%)
- Employer contribution = 1633 (13.61%)
Hope this information helps. For more clarification, please post your query.
Regards,
Pijush
From India, Bagnan
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That's right. Things are the same; only the ceiling wage is increased by this new amendment. The employer's contribution would be 13.61% of the wage, but you need to deduct only 12% from any employee's wage.
For instance:
- Basic + DA = 12000
- Employee contribution = 1440 (12%)
- Employer contribution = 1633 (13.61%)
Hope this information helps. For more clarification, please post your query.
Regards,
Pijush
From India, Bagnan
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Dear Patil, PF is always calculated on the wage that includes only Basic and DA. Please see my previous post it may give you some idea.
From India, Bagnan
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From India, Bagnan
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Hi All, Is it mandatory that employer and employee has to pay 1800 per mnth? even though their gross salary is less than 15000 per month? please advise.
From India, Madras
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From India, Madras
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Dear Sir,
I am very thankful for such important information. Now, I wish to clear my doubt about employees who are drawing a salary less than Rs. 15,000. For example, if an employee's salary is Rs. 10,000, what will be their basic pay in that case?
From India, Dhule
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I am very thankful for such important information. Now, I wish to clear my doubt about employees who are drawing a salary less than Rs. 15,000. For example, if an employee's salary is Rs. 10,000, what will be their basic pay in that case?
From India, Dhule
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Hello, can anyone help me as I am new to all these amendments? The employees whose PF was deducted earlier at 780 as a minimum, now their PF would be deducted as 1800 on 15000 at 12%. Please help. I am not clear with the amendment. Additionally, I read that 12 months have been replaced with 60 months in the new law. What does that mean??
From India, Delhi
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From India, Delhi
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Wage-ceiling-ep f-6500-15000-ci rcular-circular .pdf
HIKE OF EPF CEILING LIMIT.jpg