Hi all,
My Gross Salary is 20,000 and my basic salary on 9,000 which was there on my payslip. As per discussion with my HR, both Employee and Employer contribution is deducted from Gross salary.
So as per above conditions, they are deducting around 3850 Rs from my Salary. Employee Contribution is 12% of basic Salary and Employer Contribution also 12% of basic Salary.
so now my question,
Employee contribution = 12% of 9000 = 1080
Employer contribution = 12% of 9000 = 1080
Total = 2160 PF
But they are deducting 3850 from our salary.
Please let me know which is correct 2160 Rs or 3850 Rs
thanks & Regards,
Praveen
From India, Hyderabad
3My Gross Salary is 20,000 and my basic salary on 9,000 which was there on my payslip. As per discussion with my HR, both Employee and Employer contribution is deducted from Gross salary.
So as per above conditions, they are deducting around 3850 Rs from my Salary. Employee Contribution is 12% of basic Salary and Employer Contribution also 12% of basic Salary.
so now my question,
Employee contribution = 12% of 9000 = 1080
Employer contribution = 12% of 9000 = 1080
Total = 2160 PF
But they are deducting 3850 from our salary.
Please let me know which is correct 2160 Rs or 3850 Rs
thanks & Regards,
Praveen
From India, Hyderabad
Hi,
1.If your basic is 9000 then your deductions should be 1080.
2. If both contribution deducting from gross salary then that's wrong practice.
3.If both contribution deduction is shown in CTC then that's correct.
From India, Mumbai
1.If your basic is 9000 then your deductions should be 1080.
2. If both contribution deducting from gross salary then that's wrong practice.
3.If both contribution deduction is shown in CTC then that's correct.
From India, Mumbai
Praveen,
What Aditya said is correct.. The deduction should be basic*12% from both end but many companies follow CTC so; they deduct both part from employee.
In your case it should be either 1080 or 2160 but under any circumstances company may not deduct around 3850. PL contact Payroll department and ask for clarification. Also check other deductions,it may possible they have shown total deductions of 3850(including any other).
From India, Ahmadabad
What Aditya said is correct.. The deduction should be basic*12% from both end but many companies follow CTC so; they deduct both part from employee.
In your case it should be either 1080 or 2160 but under any circumstances company may not deduct around 3850. PL contact Payroll department and ask for clarification. Also check other deductions,it may possible they have shown total deductions of 3850(including any other).
From India, Ahmadabad
Hi Mrugen vyas, They Clearly Mentioned in pay slip as (Employee)PF Contribution - 1,900.00 They are not showing up Employer PF contribution in the Pay slip.
From India, Hyderabad
From India, Hyderabad
Praveen,
Pl contact your Payroll department and ask for clarification, because in no case more than 1800 rs. a company may deduct from employee part. EPF department has clarified that on max. ceiling limit a company may deduct PF (15000*12%=1800) so 1900 Rs. is not correct practice. You may also ask for your PF account number and check you balance online on EPFO website.
From India, Ahmadabad
Pl contact your Payroll department and ask for clarification, because in no case more than 1800 rs. a company may deduct from employee part. EPF department has clarified that on max. ceiling limit a company may deduct PF (15000*12%=1800) so 1900 Rs. is not correct practice. You may also ask for your PF account number and check you balance online on EPFO website.
From India, Ahmadabad
It''s been 10months i have joined the Company. They haven’t given us the Account Number. They only showing PF Account Number: AP/HYD/73578/196 in the pay slip
From India, Hyderabad
From India, Hyderabad
Dear Praveen,
Aditya said is correct.. The deduction should be basic*12% from both end but many companies follow CTC so; they deduct both part from employee.
In your case it should be either 1080 or 2160 but under any circumstances company may not deduct around 3850. Also check other deductions,it may possible they have shown total deductions of 3850, and also pls check once again your appointment letter.and check your last month payslip.
From India, Vijayawada
Aditya said is correct.. The deduction should be basic*12% from both end but many companies follow CTC so; they deduct both part from employee.
In your case it should be either 1080 or 2160 but under any circumstances company may not deduct around 3850. Also check other deductions,it may possible they have shown total deductions of 3850, and also pls check once again your appointment letter.and check your last month payslip.
From India, Vijayawada
Dear Members,
This has the reference to the recent amendments on EPF & EPS.
I have a query on the same: Does this new ceiling limit of Rs.15000 is applicable for all or it is only mandatory for those who are drawing up to Rs. 15000.
Since there is a grey area, my Finance team is making PF mandatory for all.
Any help in this regard would be appreciated.
Thanks,
Aby
From India, New Delhi
This has the reference to the recent amendments on EPF & EPS.
I have a query on the same: Does this new ceiling limit of Rs.15000 is applicable for all or it is only mandatory for those who are drawing up to Rs. 15000.
Since there is a grey area, my Finance team is making PF mandatory for all.
Any help in this regard would be appreciated.
Thanks,
Aby
From India, New Delhi
Dear Mr. Praveen,
There is no any circumstances to deduct PF Contribution Rs.3850 either on your Basic Pay which is 9000 or Gross Pay i.e. 20000. If you provide the CTC Detail (Component wise) then the deduction can be clarified. You may contact to your Payroll Section.
Regards,
M.K.Chaubey
Sr. Officer - Personnel
From India, Delhi
There is no any circumstances to deduct PF Contribution Rs.3850 either on your Basic Pay which is 9000 or Gross Pay i.e. 20000. If you provide the CTC Detail (Component wise) then the deduction can be clarified. You may contact to your Payroll Section.
Regards,
M.K.Chaubey
Sr. Officer - Personnel
From India, Delhi
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HC All - Trainees not covered for PF -2010.pdf
PF Ledger.xls