PF rule to restrict the Ceiling Limit

Ceiling Limit to make it applicable to all employees

Restrict Ceiling Limit to selected employees


PF rule to restrict the Ceiling Limit


Go to Payroll Settings >> click on PF Rules


Enter the Effective Date.

Check the box "Restrict Employee Wages", if PF wages to be restricted on the PF Wages.

Enter the amount of Maximum Wages.

Enter EDLI Charges and EDLI Admin Charges (only if it is different based on your industry type, anyway system has pre-configured the percentages) and click on “Save”.


Apply restriction of PF contribution for all employees


Go to Payroll Settings >> click on Company Profile >> Select PF Info tab >> Select PF Rules are same for all employees and Save


Restrict PF contribution for Selected Employees


Go to Employees >> Master tab >> select employee and edit


Select PF and ESI tab

Select Employee PF Restricted “Yes” and Save.

 

Note: System will calculate flat 12% if Employee PF Restricted is not selected.


Unselect Employee has PF check box if PF contribution need not be done for Employees.