provident fund

mahesh (Querist) 09 December 2009 This query is : Resolved
is it necessary for an employer to pay pf for an employee whose basic exceeds Rs.6500. In fact does he need to be covered under pf

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Raj Kumar Makkad (Expert) 09 December 2009
If at the time of entry, the basic wages plus Dearness allowance plus food concession, if any exceeds Rs. 6500/- then the employer is not liable for the deduction of PF and contribution accordingly rather such employee shall be an exempted employee as per prevailing provisions.

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