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Nidhi Bajaj (Officer)     20 April 2013

Pf contribution rule for employer

Hi, I need advice in my case. My pf deduction from salary is 2500 pm, but my employers is contributing Rs 780 . Is it right? As per my knowledge employer contribution should be same as employee contribution (if it is 12% of salary). Pls clarify


 1 Replies

Kumar Doab (FIN)     21 April 2013

 

Your employer has chosen to limit employer’s contribution to ceiling on PF wages i.e. Rs.6500/.

 

 

Once you are a member even if your salary increases further you can continue to remain member and even opt for higher contribution by employee.

However your employer has curtailed his cost by keeping his contribution to ceiling of Rs.6500/ right from beginning.

If you wish to increase your savings thru PF you can opt for VPF, however your employer would retain his contribution to the ceiling of Rs.6500/

You may go thru PF Act at:

www.epfindia.gov.in

and may even meet PF officials in your city e.g. PRO/APFC/RPFC. Their contact details are available at website.


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