Respected Experts
Employee A is PF deducted @ 12% on basic salary Rs 20,000 = 2,400 per month. Now Mr. A wants his PF deduction @ 12% on Rs 15,000 = 1,800 per month as he says he is an 'excluded employee'. Is this possible ? What is the legal position under EPF Act.
Regards,
Under the current EPF Scheme, 2026, Employee A is not strictly "excluded" just because their salary is above Rs 15,000. However, they now have the legal flexibility to choose to contribute only on the statutory wage ceiling of Rs 15,000 (a monthly contribution of Rs 1,800), treating any amount above that as voluntary. Employers are only obligated to match the mandatory portion.
CCI
Pro
CAclubindia
