ramchanderdjhs81In a establishment more than 20 people working PF is applicable.The company should deduct 12% on basic & DA.The company also is liable to pay 12% on your basic & DA.It is very beneficial for you when you left the job you will get full amount with 9.5% interest.
From India , Hyderabad
bipin.p01pf is provide benefit in terms of monetary stability in future course of action. PF is 12% of basic + DA(dearness allow.) should be deduct from employee ctc and 12 % additional PF should be contributed by employer. PF will get at a time of retirement. Also parents of employee will get benefit of pension in case of any unnecessary circumstances happens with employee.
From India , Ahmadabad
debora-sumopayrollEmployees’ Provident Fund is a small saving scheme that is offered to Indian workers as well as international workers through the EPFO of India. The scheme allows accumulation of funds as well as accrual of interest on the accumulated funds. The funds thus collected are made of contributions partly from employees and partly from their employers.
Contributions from employees as well as employers add to the EPF. However, unlike what is commonly thought to be, the entire portion of contribution from an employer doesn’t go exclusively towards the Employees Provident Fund.
Division of funds
1. 12% of Basic Salary and standard allowance of Employee goes directly towards Employees’ Provident Fund.
2. 13% of Basic Salary and standard allowance of Employer is divided as follows –
o 3.67% of contribution towards Employees’ Provident Fund
o 0.5% of contribution towards EPF Administration Charges
o 0.5% of contribution towards EDLI Administration Charges
o 8.33% of contribution towards Employees’ Pension Scheme
Minimum salary limits: Employees with monthly salaries less than or equal to INR 15,000 now have to contribute mandatorily towards EPF. PF amount is calculated for the basic amount. PF will be calculated as 12% of the basic.
Benefits of having a PF account:
1. Tax benefits
2. Lifelong pension
3. Insurance benefit
4. Premature withdrawal option
5. Higher returns