1. #1
    Unregistered

    What is the minimum salary for which PF will be deducted?

    I am final year student of MBA. I have to do project in this final year. I have chosen the topic of Provident fund and their rules regulations procedure and where all this PF facilities is provided. I want to know minimum salary from which PF amount is calculated. Can anybody give me some idea on this?

  2. #2
    Labournet Law Consultancy Array
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    Re: What is the minimum salary for which PF will be deducted?

    As per the latest notification of the Employment Fund organisation an employer has to pay the PF contribution of the employee on the minimum wages applicable according to the minimum wage Act. At least the contribution has to be paid on the minimum wages. It does not means that if an employee is earning more than the minimum wages he cannot be paid PF contribution based on the actual wages. Minimum the PF contribution it has to be paid according to the minimum wages.
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  3. #3
    Ashok Array
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    Re: What is the minimum salary for which PF will be deducted?

    Quote Originally Posted by Unregistered View Post
    I am final year student of MBA. I have to do project in this final year. I have chosen the topic of Provident fund and their rules regulations procedure and where all this PF facilities is provided. I want to know minimum salary from which PF amount is calculated. Can anybody give me some idea on this?
    Dear Aspirant,

    The PF amount is deducted from the salary of the regular employees.It is to be deducted from the minimum wages of a paricular employee as per minimum wages act.The employees whose basic salary is up to Rs 6500/ are mandatory to get deducted PF amount @12% of the basic +DA amount.THe employees whose basic salary is Rs 6500/ or above have option to get the PF amount deducted.If they want,they can choose not to be incorporated in PF.For details you may contact the Regional Provident Funds Employees'organisation available in your region.You can also visit www.epfindia.com

    Thanks.

    Ashok

  4. #4
    ealp Array
    Join Date
    Oct 2012
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    250

    Re: What is the minimum salary for which PF will be deducted?

    Hello pf deduction does not relate to minimum or maximum salary.it is a compulsory deduction done by the employer by virtue of rules/custom of the company who serves as a permanent/budgeted employee to that company.

    In govt.or psu concern deduct's pf when an employee successfully pass their probation period as a mandatory basis till his/her retirement.

    Thank you,

  5. #5
    manas.career Array
    Join Date
    Oct 2012
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    Re: What is the minimum salary for which PF will be deducted?

    Hello,

    As per PF Act, PF has to recover from basic + DA salary which shall not be less than the minimum wages prescribed under various states for different employment.

    Hence a employee whether a contract employee or casual employee or a permanent employee PF Contn has to recover for a minimum wages which is precribed for scheduled employment.

  6. #6
    avikiit Array
    Join Date
    Nov 2012
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    142

    Re: What is the minimum salary for which PF will be deducted?

    PF deduction doesnot depend upon salary.. It depends upon the terms and conditions...
    So, read term and aggrements before joining...

  7. #7
    Dark Knight Array
    Join Date
    Dec 2012
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    73

    Re: What is the minimum salary for which PF will be deducted?

    As per the latest the latest notification , The Employee has to pay the PF contribution.

    At least the contribution has to be payed with the minimum wages . it doesn't mean that if a employee is earning more than the minimum wages

    he cannot to be payed payed PF contributions Based on the Actual Wages .




    the Persons who's salary is of 6500 are mandatory to get the deducted PF amount with 12% +Da Amount ,


    For details you may visit the Regional Organization near to your region or
    visit
    www.epfindia.com

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