Salary for pf

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Querist : Anonymous

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Querist : Anonymous (Querist)
02 May 2016 Dear Expert,

Plz confirm the salary on which PF (@12%) shall be contributed towards salary. My client pays only basic & adhoc allowance
Will it include Basis only or Basic + Adhoc Allowance.
Plz clarify with the case ,if any...nd also focus on adhoc allowance...
Plz confirm on urgent basis.

02 May 2016 Your client is right.
Salary within the meaning of PF Act is Basic Salary + Dearness Allowance.

02 May 2016 PF salary is considered BASIC and DA As applicable 12% ceiling limit Rs.15000 /-


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