Is EPF applicable for probation period?

31 July 2015 Yes it is mandatory to deduct PF during probation period.

Is it compulsory to deduct provident fund?

Contribution towards Employee Provident Fund is optional if the basic salary is more than Rs. 6500/- per month and the employee can choose between deduction and non-deduction of provident fund. On the other hand, contribution to provident fund is mandatory if the basic salary of an employee is less than Rs 6500.

What happens if I don’t deduct my PF?

If an employee wants to opt out of PF, he can fill out Form 11 at the time of joining his first job. He will also have to present a letter addressing the employer stating that he wishes to opt out of the Provident Fund Scheme.

What is new PF rules?

The Provident Fund (PF) rule is going to change from 1st September 2021. According to the Employees’ Provident Fund Organisation (EPFO), it is mandatory for Employees Provident Fund (EPF) account holders to link their Aadhaar number and PF account by 31st August 2021.

Is PF mandatory for salary above 25000?

Under section 26 A of the employee provident fund act 1952, if your monthly basic wage is above 15,000 Rs then the employer can calculate PF on 15000 Rs only.

What is the new PF rules?

The Central Board of Direct Taxes (CBDT) has notified new rules that specify how the interest on the provident fund contribution of an employee over a certain threshold will be taxed. As per the notification, issued on August 31, contributions above ₹2.5 lakh in the Employee Provident Fund (EPF) per year will be taxed.

Does PF contribution come under 80C?

An employee’s contribution to the Employee Provident Fund (EPF) account also earns a tax break under Section 80C of up to Rs 1.5 lakh. This amounts to 12\% of salary that is deducted by an employer and deposited in the EPF or other recognised provident funds.

Does an employer have to deduct PF during probationary period?

Not only the employer has to deduct the PF (if applicable), but he has to contribute an equal amount from his own. Probationary period has nothing to do with Statutory Obligations of the Employer. However an Industrial Tranee / other trainees not employed on the Rolls of the company are not covered under PF rules / Act.

What is the relation between Pf and probation period of employee?

There is no relation of PF and Probation period of an employee. PF is a social right of each and every employee. Also, PF is optional for an employee not a mandatory. SR. HR It’s very true.

Is PF & ESI facility provided to probation period employee?

So the facility of PF & ESI will be provide to probation period employee also. It is mandatory that employees of all categories are to be covered by ESI and PF, depending upon the strength of manpower in your establishment i.e. if 20 or more.

Is it true that an employer has to deduct PF?

It’s very true. PF is actually a Statutory obligation of the employer (Provided the Factory / company is covered under the PF Act, which I believe is ” any factory or undertaking employing more than 20 employees”) Not only the employer has to deduct the PF (if applicable), but he has to contribute an equal amount from his own.