dear seniors,
pl. educate me in the area of PF contribution amount distribution between EPF and pension scheme.
member 1 : Contribution is 1500/-
member 2 : Contribution is 900/-
in the employer share what part go to EPF and what part go to pension fund scheme.
AAkhya
From India, Hyderabad
pl. educate me in the area of PF contribution amount distribution between EPF and pension scheme.
member 1 : Contribution is 1500/-
member 2 : Contribution is 900/-
in the employer share what part go to EPF and what part go to pension fund scheme.
AAkhya
From India, Hyderabad
Entire contribution of employee should be paid in to Provident Fund but it is only the employer's share which is to be divided in to two and contributed separately in to Provident Fund and Pension Fund.
Assuming PF qualifying salary of Rs 12500 and the company does not restrict contribution to Rs 6500 and the employees share of contribution is Rs 1500, and the employer is also willing to contribute 12% on Rs 12500, ie, Rs 1500 then the payment will be made as follows:
To Pension Fund Rs 541 (ie, 8.33% of Rs 6500 ONLY)
To Provident Fund Rs 959 (1500 minus 541)
If the employer's contribution is limited to the mandatory contribution of 12% on Rs 6500 only then his contribution to Provident Fund will be Rs 239 in the place of Rs 959.
Regards,
Madhu.T.K
From India, Kannur
4249Assuming PF qualifying salary of Rs 12500 and the company does not restrict contribution to Rs 6500 and the employees share of contribution is Rs 1500, and the employer is also willing to contribute 12% on Rs 12500, ie, Rs 1500 then the payment will be made as follows:
To Pension Fund Rs 541 (ie, 8.33% of Rs 6500 ONLY)
To Provident Fund Rs 959 (1500 minus 541)
If the employer's contribution is limited to the mandatory contribution of 12% on Rs 6500 only then his contribution to Provident Fund will be Rs 239 in the place of Rs 959.
Regards,
Madhu.T.K
From India, Kannur
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