22 October 2011
hello experts, can nybody xplain me with supportings, if an employee is earning10,000 as basic and wants the employer to deduct pf, then on what amt will the employers cont. to PF shall be calculated. On6,500 or 10,000. n why. please help..
22 October 2011
Dear sir, PF act applicable on those employees who get salary less than Rs. 6500/-.. employer can voluntorly contribute to pf irrespective of salary limit...so in above case pf calculate on 10000/- basic salary,......wait for suggestion for other experts
22 October 2011
As per sec 6 ,the contribution of employer shall be 10%,of the basic wages,DA and retaining allowances.....in above case basic salary Rs. 10000...hence employers contribution will be on basic salry....Rs. 6500/- limit of applicability of act.....The act applicable only to the empoyees drawing pay not exceeding Rs.6500/-
22 October 2011
According to the Act,The PF contribution is 12% of Basic salary from both employee and employer. For the calculation the maximum limit of Basic is Rs 6500/-. It means even if the employee's basic salary is above Rs 6500/- the employer is liable to contribute only on Rs 6500/-
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