Dear Sir
VPF deduction percentage is on Fixed basic or earned basic. (i.e. if fixed 4000 basic on this some percentage if less basic because of absentisum 3500) plse replay me and also send any notifications on this.
Regards
Manjunath
From India, Bangalore
VPF deduction percentage is on Fixed basic or earned basic. (i.e. if fixed 4000 basic on this some percentage if less basic because of absentisum 3500) plse replay me and also send any notifications on this.
Regards
Manjunath
From India, Bangalore
Dear Manjunath,
Please note that you can go for VPF upto 50% of your basic salary.
I hope you know standard % of MPF.
For further detail kindly refer to PF & Misc Provisions 1952 Act.
Rgds
Abhay Raj
Group HR Head
RH Group
Mumbai
From India, Mumbai
19Please note that you can go for VPF upto 50% of your basic salary.
I hope you know standard % of MPF.
For further detail kindly refer to PF & Misc Provisions 1952 Act.
Rgds
Abhay Raj
Group HR Head
RH Group
Mumbai
From India, Mumbai
Dear Manjunath,
One can contribute towards VPF from 2% to 90% of your basic salary as per the PF Act, 1952.Basic pay as per the Act is basic salary, Dearness allowance and retaining allowance, if applicable.
Savithri
From India, Delhi
One can contribute towards VPF from 2% to 90% of your basic salary as per the PF Act, 1952.Basic pay as per the Act is basic salary, Dearness allowance and retaining allowance, if applicable.
Savithri
From India, Delhi
Hi
Every employee has the option to pay his pf contribution at such higher rate as he may wish. There is no ceiling of voluntary higher rate.
Employee’s higher contribution does not affect his employer’s contribution, which remains limited to his statutory liability. For instance, as against the compulsory rate of 12%, if a member opts to pay his contribution @ 20% - while his contribution will be deducted at 20% rate, employer will pay his contribution at the 12% rate only.
Scheme simply says that if any employee so desires, his contribution be above the applicable rate; it is silent on the procedure of doing so. As per the earlier rule, employee was required to obtain pf authority’s pre-approval in this regard in Form 4A, but that requirement has been given up. Now since no formal procedure stands prescribed in this behalf, if implies that, as and when – an employee will intitmate his employer, in writing, that from the given month, his pf contribution be deducted at the indicated higher rate, the employer will start deducting and paying his contribution at that rate.
In similar way, one can revise his option (to increase or decrease his voluntary contribution) any time also. However, from the accounting point of view, it will be proper that the employee change rate of his optional contribution from the beginning of the coming financial year – that is, from the pay of March (in any year) to be remitted to the pf office in April.
Rgds
Murthy
contact no - 9849709546
Email:
From India, Hyderabad
Every employee has the option to pay his pf contribution at such higher rate as he may wish. There is no ceiling of voluntary higher rate.
Employee’s higher contribution does not affect his employer’s contribution, which remains limited to his statutory liability. For instance, as against the compulsory rate of 12%, if a member opts to pay his contribution @ 20% - while his contribution will be deducted at 20% rate, employer will pay his contribution at the 12% rate only.
Scheme simply says that if any employee so desires, his contribution be above the applicable rate; it is silent on the procedure of doing so. As per the earlier rule, employee was required to obtain pf authority’s pre-approval in this regard in Form 4A, but that requirement has been given up. Now since no formal procedure stands prescribed in this behalf, if implies that, as and when – an employee will intitmate his employer, in writing, that from the given month, his pf contribution be deducted at the indicated higher rate, the employer will start deducting and paying his contribution at that rate.
In similar way, one can revise his option (to increase or decrease his voluntary contribution) any time also. However, from the accounting point of view, it will be proper that the employee change rate of his optional contribution from the beginning of the coming financial year – that is, from the pay of March (in any year) to be remitted to the pf office in April.
Rgds
Murthy
contact no - 9849709546
Email:
From India, Hyderabad
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VPF and PF Loans .doc
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