Hi Sir/ Madam , Please suggest how to deduct EPF. Our employees salary is more than 25000 per month, Need to calculate on Basic + all Allowances - HRA or Only on Basic 12%.
From India, Hyderabad
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From India, Hyderabad
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Dear Friend,
Keep your basic capped at 15,000 (including all allowances except HRA) and calculate it at 12%. If your employee's basic is more than 25,000, then your calculation will cap at 15,000 * 12% = 1,800.
From India, Mumbai
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454Keep your basic capped at 15,000 (including all allowances except HRA) and calculate it at 12%. If your employee's basic is more than 25,000, then your calculation will cap at 15,000 * 12% = 1,800.
From India, Mumbai
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Hi Ravi,
We are deducting 12% on basic (unrestricted), so there is no capping of 15000. The effective new rule of judgment on EPF is whether we should deduct on Basic + All Allowances - HRA or only on Basic 12%.
Thanks
From India, Hyderabad
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We are deducting 12% on basic (unrestricted), so there is no capping of 15000. The effective new rule of judgment on EPF is whether we should deduct on Basic + All Allowances - HRA or only on Basic 12%.
Thanks
From India, Hyderabad
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Dear Freind, Basic+all allowances( except HRA) will consider for PF deduction of 12%.
From India, Mumbai
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From India, Mumbai
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If the basic salary is less than ₹15,000 per month, then the PF deduction will be based on (monthly gross - HRA). However, if the basic salary is ₹15,000 or more per month, there is no need to add all allowances except HRA as the PF authority controls contributions up to ₹15,000 of the basic salary per month.
If the organization decides to contribute on the higher side for PF, they may follow the same formula for all employees (monthly gross - HRA).
Thanks & Regards,
S K Bandyopadhyay (Howrah, WB)
From India, New Delhi
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If the organization decides to contribute on the higher side for PF, they may follow the same formula for all employees (monthly gross - HRA).
Thanks & Regards,
S K Bandyopadhyay (Howrah, WB)
From India, New Delhi
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