Sirs,
I have a doubt.. if an employee is drawing salary more than Rs.6500/- and he wants the pf is to be deducted at the normal rate, is it necessary the employer has to contribute equal amount of the employee's share?
Thanks
Reny
From India, Madras
I have a doubt.. if an employee is drawing salary more than Rs.6500/- and he wants the pf is to be deducted at the normal rate, is it necessary the employer has to contribute equal amount of the employee's share?
Thanks
Reny
From India, Madras
7
No. Once the basic salary of an employee is exceed 6500/=, he will be exempted from compnay contribution .Hence it is not necessary for the management to make equal contribution.However empoyee can opt to continue .
sundaram
From India, Madras
sundaram
From India, Madras
Dear Reny,
The act has the ceiling on Basic Salary of 6500/- per month for contribition of PF which comes to Rs. 780/- per month (max.).
However, once the employee crossed this ceiling of basic salary over the number of years, the employers liability for PF is to the extent of Rs. 780/- per month. (12% of 6500). Over and above this amount the employer may contribute by virtue of internal policy decision.
However, statute limits the contribution upto Rs. 780/- p.m.
Regards
From India, Mumbai
The act has the ceiling on Basic Salary of 6500/- per month for contribition of PF which comes to Rs. 780/- per month (max.).
However, once the employee crossed this ceiling of basic salary over the number of years, the employers liability for PF is to the extent of Rs. 780/- per month. (12% of 6500). Over and above this amount the employer may contribute by virtue of internal policy decision.
However, statute limits the contribution upto Rs. 780/- p.m.
Regards
From India, Mumbai
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From India, Madras
From India, Madras
dear
if a employee is drawing more then 6500/- then there is three options for employer for his own contribution.
1. employer do not deduct the epf of the workers who si drawing more then 6500/-
2. employer pay equal share as the employee (ex. on 7200 salaryemploee share 864/ and the employeer share 864/ )
3. employer will pay his own contribution on 6500/ ( ex on 7200/- employee share will be 864 and the employes share will be 780/-)
thanks
PAWAN BHATIA
09812585353
From India, Bahadurgarh
if a employee is drawing more then 6500/- then there is three options for employer for his own contribution.
1. employer do not deduct the epf of the workers who si drawing more then 6500/-
2. employer pay equal share as the employee (ex. on 7200 salaryemploee share 864/ and the employeer share 864/ )
3. employer will pay his own contribution on 6500/ ( ex on 7200/- employee share will be 864 and the employes share will be 780/-)
thanks
PAWAN BHATIA
09812585353
From India, Bahadurgarh
To all concerned.
1) Once employee crossed the limit of Rs.6500/- (basic + DA),he is out of preview of EPF act.Hence the management need pay ant contribution for him.
2) If employee whish, he can opt for PF deduction and submit declaration.Management can deduct his contribution and remit to GOVT.But no need for management contribution.
3) Management's cost comes to end once he crossed the limit of 6500/=
4) In most of companies, mamagement continues to contribute their contribution restricted to 6500/=.In fact this is addl cost to company
From India, Madras
1) Once employee crossed the limit of Rs.6500/- (basic + DA),he is out of preview of EPF act.Hence the management need pay ant contribution for him.
2) If employee whish, he can opt for PF deduction and submit declaration.Management can deduct his contribution and remit to GOVT.But no need for management contribution.
3) Management's cost comes to end once he crossed the limit of 6500/=
4) In most of companies, mamagement continues to contribute their contribution restricted to 6500/=.In fact this is addl cost to company
From India, Madras
If an employees' sal is more than 6500 (basic+da) if he wishes to contribute less.. Then u can restrict his pf wages to minimum wages for that class of employment! Raj 9945698496
To all concerned.
Pls.once again I am pointing out the following.
1) Once employee crossed Rs.6500/-,he is out of PF preview for the management contribution.He is considered as exempted employee. Company need not even up to 6500/- contribution of 780.
2) If employee whishes, he can continue in PF and submit declaration to management that he whishes to continue in PF.But management need not pay any contribution.
3) In returns, we have declare these employee as exempted from management contribution and for balance employee only, company has to contribute equally.
From India, Madras
Pls.once again I am pointing out the following.
1) Once employee crossed Rs.6500/-,he is out of PF preview for the management contribution.He is considered as exempted employee. Company need not even up to 6500/- contribution of 780.
2) If employee whishes, he can continue in PF and submit declaration to management that he whishes to continue in PF.But management need not pay any contribution.
3) In returns, we have declare these employee as exempted from management contribution and for balance employee only, company has to contribute equally.
From India, Madras
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