Dear Members,
below is the mail i received from my hr department, i just want to know that, how can i reduce my pf deduction and increase in hand salary.
"As per the fresh notification received from the EPF authorities, effective 1st September 2014, wage ceiling for provident fund has been raised from Rs. 6500/- to Rs. 15000/-. With the advent of this new rule, special Allowance component of salary has also come under the purview of EPF deduction, but it is only restricted to the employees whose basic salary will be less than 15000/- per month.
The compliance of the this is a mandatory requirement. However, to ease out employees burden, instead of deducting EPF on the Special allowance which was directly impacting the in hand salary, organisation has made the following changes in the salary rules:
• The employees whose TCTC is less than 4 Lac Per Annum, their Special allowance component has been merged in the HRA, Conveyance Allowance & Basic. The HRA in such case shall be allowed upto 70% of basic and conveyance allowance upto 25% of their current monthly basic.
• In case of TCTC equal to 4 Lac or above, the minimum basic shall be restricted to 15 K and employees will be allowed to opt. for special allowance component as per previous salary rules."
From India, Bangalore
below is the mail i received from my hr department, i just want to know that, how can i reduce my pf deduction and increase in hand salary.
"As per the fresh notification received from the EPF authorities, effective 1st September 2014, wage ceiling for provident fund has been raised from Rs. 6500/- to Rs. 15000/-. With the advent of this new rule, special Allowance component of salary has also come under the purview of EPF deduction, but it is only restricted to the employees whose basic salary will be less than 15000/- per month.
The compliance of the this is a mandatory requirement. However, to ease out employees burden, instead of deducting EPF on the Special allowance which was directly impacting the in hand salary, organisation has made the following changes in the salary rules:
• The employees whose TCTC is less than 4 Lac Per Annum, their Special allowance component has been merged in the HRA, Conveyance Allowance & Basic. The HRA in such case shall be allowed upto 70% of basic and conveyance allowance upto 25% of their current monthly basic.
• In case of TCTC equal to 4 Lac or above, the minimum basic shall be restricted to 15 K and employees will be allowed to opt. for special allowance component as per previous salary rules."
From India, Bangalore
Dear friend,
I don't know why you are thinking about reducing PF? Employer will contribute equal contribution in compliance with employee contribution. It means your deposit is getting doubled instantly. Some Blade companies are giving advertisements like " Your money will be doubled in three years" etc. and a lot of peoples are becoming victims of such advertisements. In comparison with the this situation, EPF deposit is a grace to employees. Usually employers will ask this type of questions so that they will be able to reduce their burden. I don't know why are you appearing in the roll of an employer?
Abbas.P.S
From India, Bangalore
517I don't know why you are thinking about reducing PF? Employer will contribute equal contribution in compliance with employee contribution. It means your deposit is getting doubled instantly. Some Blade companies are giving advertisements like " Your money will be doubled in three years" etc. and a lot of peoples are becoming victims of such advertisements. In comparison with the this situation, EPF deposit is a grace to employees. Usually employers will ask this type of questions so that they will be able to reduce their burden. I don't know why are you appearing in the roll of an employer?
Abbas.P.S
From India, Bangalore
Dear Abbas,
I appreciate your suggestion, but currently I need in hand salary. So, please clarify first that the above statement ([QUOTE With the advent of this new rule, special Allowance component of salary has also come under the purview of EPF deduction, but it is only restricted to the employees whose basic salary will be less than 15000/- per month attribution https://www.citehr.com/507895-wage-c...#ixzz3EmRyYA9v
[/QUOTE]) is correct or not, and suggest me salary structure.
From India, Bangalore
I appreciate your suggestion, but currently I need in hand salary. So, please clarify first that the above statement ([QUOTE With the advent of this new rule, special Allowance component of salary has also come under the purview of EPF deduction, but it is only restricted to the employees whose basic salary will be less than 15000/- per month attribution https://www.citehr.com/507895-wage-c...#ixzz3EmRyYA9v
[/QUOTE]) is correct or not, and suggest me salary structure.
From India, Bangalore
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