My basis salary is Rs.34000/- but my compary is deductinfg PF amount Rs.780/- insted of 12%. I want to understand the things.
From India, Bangalore
From India, Bangalore
The policy is either deduct 12% on basic of 6500 or basic of 34000, whichever the company follows.
From India, New Delhi
5From India, New Delhi
As per pf law maximum sealing liability of pf deduction is on Rs6500/- so employer deducting on that.
From India, Delhi
From India, Delhi
dear santanu
The basic wage ceiling for deducting pf is Rs. 6500/- p m. (as per the Employees Provident Fund & Misc. Provisions Act 1952), if the basic is less than or equals to Rs. 6500/- then PF will be calculated @12% on actual basic if basic is more than Rs. 6500/- then company may deduct the pf @12% on Rs. 6500/-. It is optional on the part of company to deduct it on actual basic.
hope its clear.
From India, Hyderabad
The basic wage ceiling for deducting pf is Rs. 6500/- p m. (as per the Employees Provident Fund & Misc. Provisions Act 1952), if the basic is less than or equals to Rs. 6500/- then PF will be calculated @12% on actual basic if basic is more than Rs. 6500/- then company may deduct the pf @12% on Rs. 6500/-. It is optional on the part of company to deduct it on actual basic.
hope its clear.
From India, Hyderabad
Dear Santanu,
I would like to inform you that as per PF Act 1952 the maximum ceiling of basic wages Rs. 6500/-, So your PF is calculating on Rs. 6500/-.
It will be completely depend upon employer if they want to calculate your pf deduction on Rs. 34000/- then they can but in this case the pension amount will be calculated on Rs. 6500/-that is Rs. 541/-and balance amount will be included in EPF...because in EPS nobody can contribute more then Rs. 541/-.
Hope your doubt will clear now, if anything remain just drop me a mail on
Thanks & Regards
Sunil Sharma
From India, New Delhi
I would like to inform you that as per PF Act 1952 the maximum ceiling of basic wages Rs. 6500/-, So your PF is calculating on Rs. 6500/-.
It will be completely depend upon employer if they want to calculate your pf deduction on Rs. 34000/- then they can but in this case the pension amount will be calculated on Rs. 6500/-that is Rs. 541/-and balance amount will be included in EPF...because in EPS nobody can contribute more then Rs. 541/-.
Hope your doubt will clear now, if anything remain just drop me a mail on
Thanks & Regards
Sunil Sharma
From India, New Delhi
Dear Mr. Santanu,
According to PF act 1952, PF is mandatory for the employees whose basic salary is upto rupees 6,500. Your basic salary is rupees 34000 but your FP is calculaded on rupees 6500.
Kushal PS Mahur
Asst. Manager HR
9717482231
From India, Delhi
According to PF act 1952, PF is mandatory for the employees whose basic salary is upto rupees 6,500. Your basic salary is rupees 34000 but your FP is calculaded on rupees 6500.
Kushal PS Mahur
Asst. Manager HR
9717482231
From India, Delhi
It is depend on company i.e. they will deduct on full basic + DA. Otherwise As per the PF & Mis. Prov. Act Rs. 6500.00 is the cieling limit, so they are deducting 12% of your side on Rs. 6500.00.
From India, Delhi
From India, Delhi
Dear Mr. Nandy,
As per the provisions of Employees Provident Fund Act 1952, the deduction is made correctly on the ceiling limit i.e. considering the ceiling basic of Rs. 6,500/-, which seems to be ok. You (Employee) can, however, contribute at any higher % if you so wish, but for that you first have to apply to respective Regional Provident Fund Commissioner.
It is recommended, that investment in ones' Employees PF account is not only a safest investment but also can be thought of as a moderately yeilding one and subject to inclusion in Stadard deductions u/s 80 (C) of Income Tax Act as amended from time to time.
Thanks and regards,
arun dixit
As per the provisions of Employees Provident Fund Act 1952, the deduction is made correctly on the ceiling limit i.e. considering the ceiling basic of Rs. 6,500/-, which seems to be ok. You (Employee) can, however, contribute at any higher % if you so wish, but for that you first have to apply to respective Regional Provident Fund Commissioner.
It is recommended, that investment in ones' Employees PF account is not only a safest investment but also can be thought of as a moderately yeilding one and subject to inclusion in Stadard deductions u/s 80 (C) of Income Tax Act as amended from time to time.
Thanks and regards,
arun dixit
Hi Santanu,
As per PF law if your basic salary is above Rs.6,500/- than you are not eligible for PF deduction.
But since your company still wants to give you the benefit of PF, they have freezed your basic to Rs.6,500/- & deducted 12% on that Rs.780 which is absolutely correct.
Thanks
Francis
From India, Mumbai
As per PF law if your basic salary is above Rs.6,500/- than you are not eligible for PF deduction.
But since your company still wants to give you the benefit of PF, they have freezed your basic to Rs.6,500/- & deducted 12% on that Rs.780 which is absolutely correct.
Thanks
Francis
From India, Mumbai
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