Dear All
PF contribution is 12% on Basic+DA.
We pay lot of allowances also e.g. HRA,Medical,Attendance ,Telephone ,conveyance etc & while doing so ,take compliance of Minimum Wages in account.
Is there any provision or law that binds an employer that the allowances can not be more than a %age of total salary?? else employer may pay maximum allowances & small Basic +DA to escape liabilities under PF,BONUS,GRATUITY Acts etc.
Regards
Suresh
From India, Nagpur
10PF contribution is 12% on Basic+DA.
We pay lot of allowances also e.g. HRA,Medical,Attendance ,Telephone ,conveyance etc & while doing so ,take compliance of Minimum Wages in account.
Is there any provision or law that binds an employer that the allowances can not be more than a %age of total salary?? else employer may pay maximum allowances & small Basic +DA to escape liabilities under PF,BONUS,GRATUITY Acts etc.
Regards
Suresh
From India, Nagpur
Yes Suresh, Their is a law that 40 %of total ctc should be basic+merged da Thnaks and regards Jayendra Chaturvedi
From India, Gurgaon
From India, Gurgaon
Dear Suresh,
There is no any law as such, however I understand that some inspecting staff insisting that Basic +DA should be at 50% of the Gross salary.
To my knowledge PF authorities only should clarify this.
Regards,
Srinivas
From Germany
There is no any law as such, however I understand that some inspecting staff insisting that Basic +DA should be at 50% of the Gross salary.
To my knowledge PF authorities only should clarify this.
Regards,
Srinivas
From Germany
Dear Vishwa/Suresh,
You cannot cross the lower ceiling limit (40 % Basic ) ,in any salary structure it is a guideline,which is a parameter base for pf proceedings.
Thnaks an dregards
Jayendra Chaturvedi
From India, Gurgaon
You cannot cross the lower ceiling limit (40 % Basic ) ,in any salary structure it is a guideline,which is a parameter base for pf proceedings.
Thnaks an dregards
Jayendra Chaturvedi
From India, Gurgaon
Dear All
This query needs a specific answer.We all experience the same type of difficulty & PF dept just directs its way
Neither the employee nor the employer is benefited as per the Social Security guide lines & money keeps lying with the dept.
Request Seniors to Guide
Regards
Suresh
From India, Nagpur
This query needs a specific answer.We all experience the same type of difficulty & PF dept just directs its way
Neither the employee nor the employer is benefited as per the Social Security guide lines & money keeps lying with the dept.
Request Seniors to Guide
Regards
Suresh
From India, Nagpur
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PF Contribution on Leave Encashment - Clarification by EPFO.pdf