Provident Fund

This query is : Resolved

CA Deepali Jain (Querist)
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30 April 2010 As per P.F. Act, Maximum Basic Salary is RS.6500/-.
My query is if my basis is Rs. 10000/- in that case can i request my employer to deduct p.f. on rs. 6500/- instead of rs. 10000/-. If yes, what is the procedure for that.

If it is specificaly mentioned in P.F. Act kindly send me.
Thanks

CMA Ramesh Krishnan

CMA Ramesh Krishnan (Expert)
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30 April 2010 you can opt for deducting on Rs.6500, but before getting registration need to be intimate the same

Link may be useful to you

https://www.epfindia.com/payments.htm

CA Ashok Kumar Sahu

CA Ashok Kumar Sahu (Expert)
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30 April 2010 UP TO SALARY OF RS. 6500/- EMPLOYER IS BOUND TO DEDUCT PF, AND IN THE CASE OF SALARY ABOVE RS. 6500/- THEN ITS FULLY DEPENDS TO YOUR EMPLOYER,

SO YOU CAN PERSONALLY MEET AND REQUEST TO YOUR EMPLOYER.

CMA Chandan Singh

CMA Chandan Singh (Expert)
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30 April 2010 Nothing is mentioned like lower deduction of PF if your basic slary exeeds Rs 6500/- in the act.

As per the Act, the member has to contribute at the rate of 10% or 12% of his basic pay, D.A. & retaining allowance if any. In case the member wants to contribute more than this, voluntarily he can do so at any rate he desires. i.e. upto 100% of basic and D.A. But the employer is not bound to contribute at the enhanced rate.

CMA Ramesh Krishnan

CMA Ramesh Krishnan (Expert)
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30 April 2010 Dear Chandan, Author wants to know if the basic salary exceeds Rs.6500/- whether the employee can opt the minimum contribution of PF on Rs.6500 instead of the Actual basic

CA Sanjay Jha

CA Sanjay Jha (Expert)
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30 April 2010 Dear CA Deepali
I fully agree with CA Ashok.
Employer have duty upto basic 6500 pm if exceed basic 6500 pm then it depends company policy and employees

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