There’s a debate going on in my office regarding PF. Is PF cut on basic salary or salary drawn?? Please guide. Keya
From India, Dehra Dun
From India, Dehra Dun
Dear Friend,
P.F should deduct on Basic + DA @ 12%, not on Salary Drawn. Generally Pvt. Companies will not give DA, Government employees either State or Central gets DA.
Employer has to pay the same contribution @ 12% on employee contribution.
I think you may clear now.
Regards,
Sravan
From India, Hyderabad
85P.F should deduct on Basic + DA @ 12%, not on Salary Drawn. Generally Pvt. Companies will not give DA, Government employees either State or Central gets DA.
Employer has to pay the same contribution @ 12% on employee contribution.
I think you may clear now.
Regards,
Sravan
From India, Hyderabad
Hi, The rate of contribution is 12% of emoluments ie.basic wages, dearness allowance, cash value of food concession and retaining allowances if any, regards Ashish
From India, Dehra Dun
From India, Dehra Dun
Dear All,
Please let me know one thing that recently a fresher had joined our company , he says that he doesn't want his deduction of PF from his salary .
he says that he will give the self attested declaration in regards to that .
Please let me know that can he will have the right to do this .
how long jhe will continue with non deduction of PF from his salary .
From India, Gurgaon
Please let me know one thing that recently a fresher had joined our company , he says that he doesn't want his deduction of PF from his salary .
he says that he will give the self attested declaration in regards to that .
Please let me know that can he will have the right to do this .
how long jhe will continue with non deduction of PF from his salary .
From India, Gurgaon
Dear Keya,
PF is deducted neither on Basic salary nor on Gross Salary drawn.
For PF deduction purpose salary means Basic + DA.
PF is deducted on (Basic + DA) * 12%
Basic + DA do not mean your Basic + DA salary fixed by the company.
Basic + DA Mean what Basic + DA you have earned during the month.
For Example your Basic salary is Rs. 5000 and DA is Rs. 2000
You have received salary for 25 days.
In this case
your Baisc salary received / earned is Rs. 4167.00 and DA received / earned is Rs. 1667.00 and PF will be deducted @12% on Rs. (4167+1667=5834)
PF deduction amount will be Rs. 5834 * 12% = Rs. 700
I hope it will clear your doubt.
Regards
Modi Ashok Kumar
9986452168
From India, Bangalore
PF is deducted neither on Basic salary nor on Gross Salary drawn.
For PF deduction purpose salary means Basic + DA.
PF is deducted on (Basic + DA) * 12%
Basic + DA do not mean your Basic + DA salary fixed by the company.
Basic + DA Mean what Basic + DA you have earned during the month.
For Example your Basic salary is Rs. 5000 and DA is Rs. 2000
You have received salary for 25 days.
In this case
your Baisc salary received / earned is Rs. 4167.00 and DA received / earned is Rs. 1667.00 and PF will be deducted @12% on Rs. (4167+1667=5834)
PF deduction amount will be Rs. 5834 * 12% = Rs. 700
I hope it will clear your doubt.
Regards
Modi Ashok Kumar
9986452168
From India, Bangalore
The deduction of PF is depend upon company's policy. If according to policy a freasher is designated as a trainee then no PF deduction will be made unless his training period is completed.
Regards,
Ramesh Pandey
From India, Patiala
Regards,
Ramesh Pandey
From India, Patiala
hiiiiiiiiiiiiiii keya, Epf is deducted from basic salary not from withdrawn salary, siddharth 9711560811
From India, Delhi
From India, Delhi
pf is deducting on basic + da as per definition of wages. It is is social security benefit. If da is not there, consider only basic salary. Please note that all statutory deduction are applicable on basic and da under provision of wages.
Vdpatel
From India, Vadodara
Vdpatel
From India, Vadodara
Dear all
in simple terms the contribution are below as
if ur salary is 7000
basic 4200
hra 800
conveyance 1000
other benefit 1000
gross salary 7000
p.f @12% on basic 504 employee contribution
e.s.i @1.75%on gross 122
ctc 7626
p.f @13.61% on basic 571 employer contribution
e.s.i @4.75%on gross 332
take home 6723
From India, Madras
in simple terms the contribution are below as
if ur salary is 7000
basic 4200
hra 800
conveyance 1000
other benefit 1000
gross salary 7000
p.f @12% on basic 504 employee contribution
e.s.i @1.75%on gross 122
ctc 7626
p.f @13.61% on basic 571 employer contribution
e.s.i @4.75%on gross 332
take home 6723
From India, Madras
But the Candidate is not recruited as a trainee, He told that if he will giving the declaration then he is not wanted PF deduction alongwith FORM - 11 than he opt for non- deduction of PF amount .
Can company will consider his request or not ? And if Yes than how long he will continue with Non Deduction.
:)
From India, Gurgaon
Can company will consider his request or not ? And if Yes than how long he will continue with Non Deduction.
:)
From India, Gurgaon
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.
HC All - Trainees not covered for PF -2010.pdf
PF Ledger.xls