Provident fund

Sriram (CMA Final) (178 Points)

19 December 2014  

Dear All,

An existing Provident Fund Employee has got an Job Offer, where his Basic Salary is Rs.20,000/- p.m. Is deduction of Provident Fund mandatory in both cases i.e. Employer Contribution and Employee Contribution. As per my knowledge if basic salary is more than Rs.15,000/- Provident Fund deduction is optional.

Kindly correct me if I am wrong

Thanks in advance