Hi All,
Currently, the mandatory monthly contribution by the employee stands at 12 percent of the monthly pay, which includes monthly basic pay, dearness allowance, and retaining allowance, if any. Finance Minister Nirmala Sitharaman, in her press conference, informed about the measures to be taken for the benefit of the members of the Employees' Provident Fund (EPF).
Those earning a basic salary of more than Rs 15,000 a month will now contribute 10 percent instead of the mandatory 12 percent contribution towards the PF for the next 3 months until August 2020. Also, the contribution of the employer will be reduced to 10 percent from 12 percent. However, for the Central government employees, the rate of contribution by the employer remains the same.
Regards
From India, Chandigarh
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16Currently, the mandatory monthly contribution by the employee stands at 12 percent of the monthly pay, which includes monthly basic pay, dearness allowance, and retaining allowance, if any. Finance Minister Nirmala Sitharaman, in her press conference, informed about the measures to be taken for the benefit of the members of the Employees' Provident Fund (EPF).
Those earning a basic salary of more than Rs 15,000 a month will now contribute 10 percent instead of the mandatory 12 percent contribution towards the PF for the next 3 months until August 2020. Also, the contribution of the employer will be reduced to 10 percent from 12 percent. However, for the Central government employees, the rate of contribution by the employer remains the same.
Regards
From India, Chandigarh
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Dear Rakeshji, Small correction in your Post:For the Months of May, June & July 2020 (Not till August 2020)
From India, New Delhi
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From India, New Delhi
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Yes, correct. As our honorable Finance Minister announced, due to COVID-19, the PF contribution will be reduced to 10% from both sides for the next three months for employees whose basic salary is more than 15,000. This step has been taken to increase the take-home salary of the employees.
From India, New Delhi
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From India, New Delhi
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PF Pension fund contribution beyond 58 years of age.pdf