Dear All, Our Factory is located in Maharashtra. Please let me know that PF will be calculated on Basic+DA or on Minimum wages. As their is lot of confusion about its implementation. Thanks Girish
From India, Mumbai
From India, Mumbai
Dear Girish ji,
PF is calculated on Basic plus DA & retaining allowance, if any.
You are liable to pay Basic & DA at least the rate as prescribed under Minimum wages. Therefore, PF deduction is attracted on Basic plus DA or the minimum wage amount whichever is higher.
This is applicable all over India. In Maharashtra, special allowance denotes as DA.
From India, Mumbai
PF is calculated on Basic plus DA & retaining allowance, if any.
You are liable to pay Basic & DA at least the rate as prescribed under Minimum wages. Therefore, PF deduction is attracted on Basic plus DA or the minimum wage amount whichever is higher.
This is applicable all over India. In Maharashtra, special allowance denotes as DA.
From India, Mumbai
Hi Senior,
This is a big confusion with PF contribution in Maharashtra State, the current minimum wages is Basic 5800 and Special Allowance-2511=8311.00 The PF deduction will be made from 8311.00 or 5800.00. In our salary breakup if Basic is 10000 and Special Allowance is 6000, then still the PF will be deducted from 10,000 OR 16000. Technically it would be 16000, but still can we deduct the PF from Basic-10000. We have shown the special allowance separate and not incorporated in calculating the PF.
Please suggest.
From India, Bangalore
This is a big confusion with PF contribution in Maharashtra State, the current minimum wages is Basic 5800 and Special Allowance-2511=8311.00 The PF deduction will be made from 8311.00 or 5800.00. In our salary breakup if Basic is 10000 and Special Allowance is 6000, then still the PF will be deducted from 10,000 OR 16000. Technically it would be 16000, but still can we deduct the PF from Basic-10000. We have shown the special allowance separate and not incorporated in calculating the PF.
Please suggest.
From India, Bangalore
Dear sir,
Greetings for the day,
Agreed with Mr. Keshav , but EPF authorities are also in confusing state what to do what not to do go with the enclosed circular you will also get confused.We all know that minimum wages is the component of basic+da but circular conflict the same address.
Thanks & Regards,
From,
Sumit Kumar Saxena
From India, Ghaziabad
Greetings for the day,
Agreed with Mr. Keshav , but EPF authorities are also in confusing state what to do what not to do go with the enclosed circular you will also get confused.We all know that minimum wages is the component of basic+da but circular conflict the same address.
Thanks & Regards,
From,
Sumit Kumar Saxena
From India, Ghaziabad
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