| Sl. No | Areas | Provisions |
| 1 | EPF Applicability | The Employees’ Provident Funds & Miscellaneous Provisions Act, 1952 extends to whole of India. It applies on every establishment employing 20 or more persons & engaged in industry specified in Schedule I of the Act or any other activity notified by the Central Government. It applies to all departments / branches of an establishment wherever situated. Any establishment employing even less than 20 persons can be covered voluntarily under section 1(4) of the Act. |
| 2 | Manner of Contribution | For EPF, both the employee and the employer contribute equal amount, which is 12% of the salary of the employee. However, the employee contributions may differ. Employees can contribute more than 12% of their salary voluntarily. However, in such a case, the employer is not bound to match the extra contribution of the employee. For PF contribution, the salary comprises of components such as: basic wages, DA, conveyance allowance and special allowance. For the PF deduction, the maximum limit of salary of the employee is Rs 15,000 per month. This means that even if the employee’s salary is above Rs 15,000, the employer is liable to contribute only on Rs 15,000 that is Rs 1,800. The statutory compliance for PF contribution has some less known facts associated with it. The PF is divided into EPF and EPS (Employee pension Scheme) contributions. The employees’ contribution goes straight to EPF whereas from employer’s contribution, the 8.33% goes to EPS subject to Rs 1,250 a month and the rest goes to EPF. The payroll software providers take care about your ESI and PF deductions automatically. |
| 3 | Collection of Contribution | An employer is liable to pay his contribution in respect of every employee and deduct employee’s contribution from wages bill and shall pay these contributions at the above specified rates to the Corporation within 15 days of the last day of the Calendar month in which the contributions fall due. |
DOCUMENTS REQUIRED FOR PF REGISTRATION
1. List of Directors/ Partners and Address
2. MoA, AoA, CoI (If It A Company)
3. Shops and Establishment Act -Registration Certificate
4. Pan Card Copy – Company’s / Firm’s/Entities
5. Pan Card Copy, Aadhaar Card Copy and Photo of – All Directors/ Partners/ Proprietor
6. Rental Agreement and office electricity Bill for the Establishment
7. Salary register from day one-when employee crossed 20 or more
8. Bank Statement (Recent Month) and Cancelled Cheque
9. Contact Details E-Mail & Phone Number
10. Date of Coverage in (DD/MM/YYYY) format -i.e. Date from when PF becomes applicable to your establishment
11. Number of existing Employees in the format below; —
a)Number of Male Employees: _______
b)Number of Female Employees: _______
12. Number of Employees to whom PF is applicable in the format below; —
a)Number of Male Employees: _______
b)Number of Female Employees: _______
13. Digital Signature of the Authorized signatory of the entity
14. Specimen Signature card format will be given
15. Attachment Pertaining of PF
a)PF -SPECIMEN_SIGNATURE_CARD