For the Employers contribution for EPF the maximum Salary is Rs.6500/- i.e. even if the actual salary paid is Rs.15000/- per month, the Employer has to make his contribution on Rs.6500/-
My question is
If the employee (as in above case) has remained absent (without pay) for fifteen days in a particular month. Hence he would receive Rs.7500/- as his salary for that month. For calculating the employers contribution whether Rs.6500 is to be taken or 50% of Rs.6500 i.e Rs. 3260/- is to be taken. Which also means that the employers contribution would also reduce proportionately.
Kindly specify the amount to be taken for calculating Employers contribution. Whether it is Rs.6500 or Rs.3250/- , in your answer.
Thnks & Regards
Dileep Kulkarni
CAclubindia
