PF Deduction - Pf Deductions [Thread 292753]

sunilicia
Dear All,
pleas help me with the following:
IS PF manadatory for all the employees, whose gross is over 6,000 p/m?
is there any procedure, to avoid the deduction?
pls help.
suni.
abbasiti
Dear Suni,
For EPF deduction general salary components are Basic+DA. If it is equal to or below Rs. 6500, then PF is mandatory.
Abbas.P.S
TELIKEPALLI
according to P.F norms , it is mandatory to deduct from Employees and company has to contribute the same percentage that is 12%. If any employee Basic cross Rs. 6500/- and he do not want to continue as a P.F contribution member he can adopt the same voluntary .
sunilicia
Dear Abbas, one of my friend is getting Rs 7,000 / m. that is his take home. But he doent want to opt for PF. Therefore, is it possible for him to cancel the PF deductin? plz help.
Suni.
abbasiti
Dear Suni,
To my knowledge an employee once enrolled in EPF has to continue even if his salary cross the ceiling limit.
Collegues with different experiences or awareness of such provisions may share their knowledge.
Abbas.P.S
nara_kumarp
Dear Suni,
According to my knowladge the PF deduction will be made if His Basi+da is equal or less than 6500/-
ravi.k457
Hi Abbas
According to the book of PF act 1952 the definition of excluded member is- “ an employee whose pay at the time he is otherwise entitled to become a member of the fund exceeds Rs.6500/- per month”.On the basis of this we can exempt any amployee from the PF.Feel free to revert if any.
Regards
Ravi
HI Suni
Your friend is taking7000/- per month .is this his basic or gross salary?If it is his basic then he will be exempted from PF with feeling Form1.Feel free to revert if any.
Regards
Ravi
abbasiti
Dear Ravi,
This I already clarified with my friends in our RPFC Office. They say that an excluded employee means he never contributed to EPF. But here the query is regarding exemption of an enrolled employee.
E.g : If there are 25 numbers of employees in an Organisation, out of which 5 numbers are only within the ceiling limit. Here as per Act, normally EPF is not applicalbe. For total number, all employees are considered. But deduction can be done on the 5 numbers treating the others as excluded employees.
Abbas.P.S
prasiddhnarayan
dear all
for the purpose of coverabiliy under the EPF and MP Act, 1952, the total no. of employees are considered irrespective of their wages and limits....
however, the payability of contribution shall be limited to the 6,500 norms or otherwise.
A Company may be covered on the basis of strength of 20 employees, but it may pay only 5+2=7 Rs. monthly scheme administrative charges in event there is no included employee
pls feel clarified on the subject matter
thanks and regards
prasiddh , goa 9765667745
sumi033
Dear All,
If an employer is enrolled in EPF & one of it's employee don't want to deduct his/her pf. is it possible. what he/she need to do????
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