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Is PF compulsory?

dushyant (Manager) (23 Points)

13 January 2008

Is Contribution to EPF compulsary if salary(Basic+DA) is more than 6500.

My salary is 15000. I dont want to Join EPF scheme, but my employer insists that it is compulsary.

Kindly advise......

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8 Replies

CA AYYAPPA (Chartered Accountant) (272 Points)
Replied 13 January 2008

As per my view if an employee is getting more than 6500 salary, the option is on the employee whether to go PF or not If u r having any doubts just go to the below link https://epfindia.nic.in/for_employees.htm [EXTRACTS FROM THE SITE - If the employee’s emoluments exceed Rs. 6,500/- per month, he has the option to join the Scheme(s) with the consent of employer.]

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(Guest)

in my view , there is no need to deduct PF from salary of employee if they are drawn (Basic+DA) Rs 6500/- and more in case employee registerd in PF department previously and employee was liable to deduct PF because his salary was under Rs 6500/-& he has got NSSN NO. then its compulsury for employee to deduct PF Subject to limit of Rs 6500/-t. if Some one was enrolled & Taken NSSN No. so it is compulsury for employer to deduct & contribut there share . SHare of Employer is 13.61%in which 12% for contribution towards emplyoee account& 1.61% for Administration charges of PF Department.

(Guest)

1)I have got NSSN no. But now i want to withdraw from EPF scheme. IS is possible? 2) Further as my salary 15000 is more than 6500 is PF contribution limit. IS PF 12 % of 15000 or 12% of 6500.?

(Guest)

1) i think its not possiable 2) you have to deduct pf @ 12% of 6500/-,even your salary more than 6500/-its your choice if you want to deposit more PF then employer responsiability not raise (after 6500/-)

Narinder kumar (Accountant) (22 Points)
Replied 07 April 2011

Pl. tell me about the maximum limit of Basic salary for the deduction of PF And ESI

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Narinder kumar (Accountant) (22 Points)
Replied 07 April 2011

Pl. tell me about the maximum limit of Basic salary for the deduction of PF And ESI

SANTOSH SHAH (Company Secretary) (754 Points)
Replied 07 April 2011

Originally posted by : dushyant
	Is Contribution to EPF compulsary if salary(Basic+DA) is more than 6500. My salary is 15000. I dont want to Join EPF scheme, but my employer insists that it is compulsary. Kindly advise......