Dear All,
kindly inform is there any provision for physically handicapped employees in ESI/ EPF where the empolyer is relieved from contribution from their side and same is born by Govt.
This may be the case with quite manu organizations where the personnel manager ought to be clear of any provisions in case for physically handicapped staff.
Also which section the same refers?
Looking fwd to fruitful solution
Rgds
From India, Jalandhar
12kindly inform is there any provision for physically handicapped employees in ESI/ EPF where the empolyer is relieved from contribution from their side and same is born by Govt.
This may be the case with quite manu organizations where the personnel manager ought to be clear of any provisions in case for physically handicapped staff.
Also which section the same refers?
Looking fwd to fruitful solution
Rgds
From India, Jalandhar
Dear Friend,
As per the EPF & Misc Act-1952, the Wages are well defined. The Act further states that Provident Fund deductions are to be made by the employer on the wages up to Rs.6500.00 p.m. Thus, the employer shall/may deduct P.F. contributions up to Rs. 6500.00
However, if the employee wishes to contribute beyond Rs.6500.00 of the wages, he/she can do so but the employer is not liable to contribute beyond the wages of Rs.6500.00 as of today.
Trust this clarifies your query.
Best wishes
Yogesh Giri
From India, Hyderabad
As per the EPF & Misc Act-1952, the Wages are well defined. The Act further states that Provident Fund deductions are to be made by the employer on the wages up to Rs.6500.00 p.m. Thus, the employer shall/may deduct P.F. contributions up to Rs. 6500.00
However, if the employee wishes to contribute beyond Rs.6500.00 of the wages, he/she can do so but the employer is not liable to contribute beyond the wages of Rs.6500.00 as of today.
Trust this clarifies your query.
Best wishes
Yogesh Giri
From India, Hyderabad
hi;
From 2001-2006 back i had worked for three different organisations for approx. more than one year each having different pf. account no.After 2006 i have started my business. Can i get the refund of the amount deposited. I dont know the PF. account no.
From India, Chandigarh
From 2001-2006 back i had worked for three different organisations for approx. more than one year each having different pf. account no.After 2006 i have started my business. Can i get the refund of the amount deposited. I dont know the PF. account no.
From India, Chandigarh
Well PF is calculated on the standard of 6500/-(Basic+DA only) at 12% and the company pays the same. Now, an employee can choose contribute at higher contribution percentage which goes up to 20%(only from the employee's side). You can contribute at the same % even if your (Basic+DA) is higher eg. 7500/- or 10000/-.
But your employer or company is restricted to 6500 only and at 12 % only. They cannot contribute more than that even if your (Basic+DA) is higher than 6500/-.
From India, Bangalore
But your employer or company is restricted to 6500 only and at 12 % only. They cannot contribute more than that even if your (Basic+DA) is higher than 6500/-.
From India, Bangalore
Dear Friends,
Why confusion the Act clearly says about the calculation. Please see the following:
Clarification about Contribution
After revision in wage ceiling from Rs.5000 to Rs.6500 w.e.f. 1.6.2001 per month, the government will continue to contribute 1.16% upto the actual wage of maximum Rs.6500 per month towards Employees’ Pension Scheme. The employer’s share in the Pension Scheme will be Rs.541 w.e.f. 1.6.2001.
Under Employees’ Deposit-Linked Insurance Scheme the contribution @ 0.50% is required to be paid upto a maximum limit of Rs.6500.
The employer also will pay administrative charges @ 0.01% on maximum limit of Rs.6500 whereas an exempted establishment will pay inspection charges @ 0.005% on the total wages paid.
Notes:
The above clarification is given by taking wages upto a maximum of Rs.6500 towards wage (basic+DA).
Since an excluded employee i.e. drawing wages more than Rs.6500 can also become member of the Fund and the Schemes on joint request and if, for instance, such an employee is getting Rs.10,000 per month, his share towards provident fund contribution will be Rs.1200 e.g. 12% and employer’s share towards provident fund contribution will be Rs.659 and Rs.541 towards Employees’ Pension Fund.
Regards,
PBS KUMAR
From India, Kakinada
Why confusion the Act clearly says about the calculation. Please see the following:
Clarification about Contribution
After revision in wage ceiling from Rs.5000 to Rs.6500 w.e.f. 1.6.2001 per month, the government will continue to contribute 1.16% upto the actual wage of maximum Rs.6500 per month towards Employees’ Pension Scheme. The employer’s share in the Pension Scheme will be Rs.541 w.e.f. 1.6.2001.
Under Employees’ Deposit-Linked Insurance Scheme the contribution @ 0.50% is required to be paid upto a maximum limit of Rs.6500.
The employer also will pay administrative charges @ 0.01% on maximum limit of Rs.6500 whereas an exempted establishment will pay inspection charges @ 0.005% on the total wages paid.
Notes:
The above clarification is given by taking wages upto a maximum of Rs.6500 towards wage (basic+DA).
Since an excluded employee i.e. drawing wages more than Rs.6500 can also become member of the Fund and the Schemes on joint request and if, for instance, such an employee is getting Rs.10,000 per month, his share towards provident fund contribution will be Rs.1200 e.g. 12% and employer’s share towards provident fund contribution will be Rs.659 and Rs.541 towards Employees’ Pension Fund.
Regards,
PBS KUMAR
From India, Kakinada
The EPF Act is applicable only to those employees who are in receipt of salary up to Rs.6500 p.m. If an employee is hired on salary above Rs.6500, the EPF Act is not applicable to him or her. However, where the employees, who are already members of the EPF Act, and where their wages cross Rs.6500, either during their tenure with the organization, or where they are hired on salary above Rs.6500, but were members of the EPF scheme in their earlier organization, the current employer is bound to deduct PF on Rs.6500 only and not on the salary offered to them while hiring. This principle will not apply to employees who are hired for the first time on salary above Rs.6500 p.m.
K.S.Venkatachalam
Management Consultant
From India, Ahmadabad
K.S.Venkatachalam
Management Consultant
From India, Ahmadabad
Dear Seniors
Pls. thro more light on the following point :
An organisation is convered under Provident Fund. A new joined employee is not interest in joining PF scheme. Is it allowable ? If so, under what section? If not what to do under the situation.
Regards
Swami
From India, Madras
Pls. thro more light on the following point :
An organisation is convered under Provident Fund. A new joined employee is not interest in joining PF scheme. Is it allowable ? If so, under what section? If not what to do under the situation.
Regards
Swami
From India, Madras
I. According to Section 2 (f) of EPF Scheme, an employee whose pay (Basic +DA) exceeds Rs.6500/-, is an excluded employee. That means the employer is not liable to deduct and pay PF contribution. But if the said employee is already a member of the scheme and not withdrawn the entire amount accumulated in his PF account is not an excluded employee. The employer has to include him in the scheme. In such cases the employer should also arrange to have the accumulations in the Provident fund account of such employee with his previous employer transferred and credited into his account.
II. According to Para 26 (6), where the monthly pay of such a member exceeds Rs.6500/- the contribution payable by him, and in respect of him by the employer, shall be limited to the amounts payable on a monthly pay of Rs.6500/-(including DA and other allowances except HRA)
III. If an employee to whom the scheme applies, wishes his PF share to be deducted at higher rate (i.e more that 10% of 12%) can do so subject to the condition that the employer shall not be under an obligation to pay any contribution over and above his contribution payable under the act.
Best wishes
From India, Madras
II. According to Para 26 (6), where the monthly pay of such a member exceeds Rs.6500/- the contribution payable by him, and in respect of him by the employer, shall be limited to the amounts payable on a monthly pay of Rs.6500/-(including DA and other allowances except HRA)
III. If an employee to whom the scheme applies, wishes his PF share to be deducted at higher rate (i.e more that 10% of 12%) can do so subject to the condition that the employer shall not be under an obligation to pay any contribution over and above his contribution payable under the act.
Best wishes
From India, Madras
Subject - Re: EMPLOYEES PROVIDENT FUND- still a lot of confusion
There is no question of confusion, as per PF scheme employer whi is covered under the scheme should deduct contribution of employer and employee @ 12% upto Basic +D A, if any, upto Rs. 6500/- If you have policy to deduct PF contribution on whole amount of Basic + D A you can continue to do so.
Ravi
There is no question of confusion, as per PF scheme employer whi is covered under the scheme should deduct contribution of employer and employee @ 12% upto Basic +D A, if any, upto Rs. 6500/- If you have policy to deduct PF contribution on whole amount of Basic + D A you can continue to do so.
Ravi
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EMPLOYEES' PROVIDENT FUND & MISC PROVISIONS ACT '1952.ppt
EMPLOYEES' PROVIDENT FUND & MISC PROVISIONS ACT '1952 [Compatibility Mode].pdf