Pf limit extension

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Querist : Anonymous

Querist : Anonymous (Querist)

06 October 2014 Hi As the PF limit has been increased to Rs 15000/-. what are the implications of the same.

CS Mitesh Mehta

CS Mitesh Mehta (Expert)
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07 October 2014 Overall effect on you will be lesser take home salary. Because earlier whoever earning more than Rs.6,500 might contributed 12% of Rs.6,500. But now onward it will be 12% of your salary if you fall under Rs.15,000 and if more than Rs.15,000 then too 12% of Rs.15,000. So more outgo towards EPF and less take home. But do remember that you are indirectly investing rather than spending.

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