Hi Sir, Could someone please clarify why some companies deduct EPF from basic salary + DA, while others deduct it from all salary components excluding HRA? My question is regarding the correct process as per the government gazette notification.
Regards,
P Loganathan - HR
From India, Chennai
Regards,
P Loganathan - HR
From India, Chennai
Hi
If Basic+DA is equal to or above PF wage ceiling of Rs.15000/- then no need to consider other components of Gross excluding HRA for PF deduction. Hence for such cases only Basic+DA is considered for PF deduction.
Also Employee and Employer on mutual consent can contribute to PF on actual Basic+DA even if the total exceeds Rs.15000/-.
From India, Madras
941If Basic+DA is equal to or above PF wage ceiling of Rs.15000/- then no need to consider other components of Gross excluding HRA for PF deduction. Hence for such cases only Basic+DA is considered for PF deduction.
Also Employee and Employer on mutual consent can contribute to PF on actual Basic+DA even if the total exceeds Rs.15000/-.
From India, Madras
Community Support and Knowledge-base on business, career and organisational prospects and issues - Register and Log In to CiteHR and post your query, download formats and be part of a fostered community of professionals.
Human Resources Guide for Information Technology Companies.pdf
Companies employing recognition policy.doc