An employees completes 58 yrs in the month of Jan'14. While depositing his pf in the month of Feb'14 for Jan'14, the entire 12% of employer's share goes into PF as the contribution towards pension fund becomes ZERO.
But what about the EDLI (0.5% of PF salary) and EDLI Admin. charges (0.01% of PF salary). Will the EDLI continue or like pension it will also become zero after attainment of 58 yrs. i.e. whether the total contribution towards pf becomes 25.1% (12% employees pf share, 12% employer's pf share and 1.1% pf admin. charges) or it remains as 25.61% (12% employees pf share, 12% employer's pf share, 1.1% pf admin. charges, 0.5% edli and 0.01% edli admin.charges).
pl. revert with your inputs....
From India, Burdwan
But what about the EDLI (0.5% of PF salary) and EDLI Admin. charges (0.01% of PF salary). Will the EDLI continue or like pension it will also become zero after attainment of 58 yrs. i.e. whether the total contribution towards pf becomes 25.1% (12% employees pf share, 12% employer's pf share and 1.1% pf admin. charges) or it remains as 25.61% (12% employees pf share, 12% employer's pf share, 1.1% pf admin. charges, 0.5% edli and 0.01% edli admin.charges).
pl. revert with your inputs....
From India, Burdwan
Dear Varsha,
Whenever PF amopunt is deducted from salary it will deduct 12% of Basic +1.1% of Basic+EDL 0.5% on Rs 6500, if your basic is more than Rs. 6500, then Rs 6500 or if it is less than Rs 6500 then the actual. +0.01% Inspection charges if your basic is more than Rs. 6500, then Rs 6500 or if it is less than Rs 6500 then the actual+12% of Basic - Employer Contribution the total will be deducted from Employee Salary that is why it is known as CTC.
In this case the total amount as mentioned will be deducted and to be depostied in PF Account till the last day of his service.
Please let me know if you need any further information in this regard.
Regards,
Pranab Chakraborty
From India, Mumbai
35Whenever PF amopunt is deducted from salary it will deduct 12% of Basic +1.1% of Basic+EDL 0.5% on Rs 6500, if your basic is more than Rs. 6500, then Rs 6500 or if it is less than Rs 6500 then the actual. +0.01% Inspection charges if your basic is more than Rs. 6500, then Rs 6500 or if it is less than Rs 6500 then the actual+12% of Basic - Employer Contribution the total will be deducted from Employee Salary that is why it is known as CTC.
In this case the total amount as mentioned will be deducted and to be depostied in PF Account till the last day of his service.
Please let me know if you need any further information in this regard.
Regards,
Pranab Chakraborty
From India, Mumbai
Dear Mr. Pranab,
Thanks for your valuable inputs!!
So you mean to say that the EDLI and EDLI inspection charges will continue to be deposited by the employer even after an employee attains the age of 58 years. Are you aware of the sec/subsec under 'Employees Provident Fund and Miscellaneous Provisions Act, 1952' which supports this statement. Pl. revert as I have to justify with a proper backup..
From India, Burdwan
Thanks for your valuable inputs!!
So you mean to say that the EDLI and EDLI inspection charges will continue to be deposited by the employer even after an employee attains the age of 58 years. Are you aware of the sec/subsec under 'Employees Provident Fund and Miscellaneous Provisions Act, 1952' which supports this statement. Pl. revert as I have to justify with a proper backup..
From India, Burdwan
No amount other than employee’s share to provident fund can be deducted from salary. Varghese Mathew
From India, Thiruvananthapuram
From India, Thiruvananthapuram
Dear Varsha & Mohan,
As and when an employee attends the age of 58 years, (s)he becomes exempt from EPS & EDLI and then the employer need not to submit his / her contribution towards EPS A/c 10, EDLI A/c 21 & 22. And, the contribution in Pension A/c also stop and it is clubbed with the ER Contribution in A/c 1.
After this, the contribution rates in A/c 1EE, A/c 1ER & A/c 10ER becomes EE- 12%, ER- 12% & 1.10% respectively.
And Varhsa, A/c 21 & A/c 22 are not EDLI Contribution & EDLI Inspection Charges..!! Although, it is EDLI Contribution & EDLI Admin Charges.
Hope your doubt clear now. Cheers.
From India, Delhi
As and when an employee attends the age of 58 years, (s)he becomes exempt from EPS & EDLI and then the employer need not to submit his / her contribution towards EPS A/c 10, EDLI A/c 21 & 22. And, the contribution in Pension A/c also stop and it is clubbed with the ER Contribution in A/c 1.
After this, the contribution rates in A/c 1EE, A/c 1ER & A/c 10ER becomes EE- 12%, ER- 12% & 1.10% respectively.
And Varhsa, A/c 21 & A/c 22 are not EDLI Contribution & EDLI Inspection Charges..!! Although, it is EDLI Contribution & EDLI Admin Charges.
Hope your doubt clear now. Cheers.
From India, Delhi
Mr Arya Can you please tell which para of EDLI scheme says that after 58 yrs an employee is exempted from it ?. Varghese Mathew
From India, Thiruvananthapuram
From India, Thiruvananthapuram
Yes.. Even I would like to know as I have to back up my action with a suitable quote from the act... Regards, Varsha
From India, Burdwan
From India, Burdwan
Dear All,
I beg your pardon for the mistake by me in my last comment.
EDLI Contribution in A/c 21 & 22 cannot be stopped on the superannuation of a member.
EDLI contribution to be paid even if member has crossed 58 years age and pension contribution is not payable. This is to be paid as long as the member is in service and PF is being paid.
From India, Delhi
I beg your pardon for the mistake by me in my last comment.
EDLI Contribution in A/c 21 & 22 cannot be stopped on the superannuation of a member.
EDLI contribution to be paid even if member has crossed 58 years age and pension contribution is not payable. This is to be paid as long as the member is in service and PF is being paid.
From India, Delhi
Find answers from people who have previously dealt with business and work issues similar to yours - Please Register and Log In to CiteHR and post your query.
EPF,EPS,EDLI.pp t
EDLI 18 June 2010 amendment.pdf