About Employees Provident Fund

Hello Everyone, I am running a small call center with 30 employees and average CTC is Rs. 11000. My company is registered as Pvt. Ltd. , I want to register in Provident fund scheme however CA is discouraging me and he want me to show max 7 employees. He even told me that it cost about 50k to get Employer registration code. I am really confuse as I want to provide benefits to employees of company but it should not cost much like this amount. Please help me on whats the minimum employees required for PF registration and also how much it actually cost to register? Is pf calculated on Gross salary or net salary or only on basic? Looking forward for helpful reply from the members. Thank you in advance..

Hi
The minimum number for PF Registration is 20 employees. The PF is calculated on the Basic+DA. The employer registration code is not a huge amount as you said. There is no registration fee and only some documentation work to be completed. Where is your location? Me from Cochin, Kerala.
Regards
REJI

It is better to Pay PF contributions as soon as possible. Any further delay in compliance will attract huge Interest and you need to pay old contributions from very since your employee strength crossed 19. Even the both shares of contribution (employers and Employees) you may have to be paid since you cannot recover it from your employees who are left.
I would advice you to start paying PF contributions, since you're legal obliged to. Always remember: "Give back to Caesar what is Caesar's and to God what is God's"

Dear Sir, If you get delay you need to pay of both employee and employer contributions with penalty as the EPF act, more over the EPF department officers could not leave you untill you pay the contributions from the date of establishment. So it is better to get the EPF code as early as possible.
To get EPF code there would not be a huge amount you need to spent. Now you can generate the code online at your desk top only .
Thanking you
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