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Not able to get Correct PF deduction amount of Rs1800

Hi Experts,

PF decution for employee is reflection Rs960 extra at Rs 2760-18%, which should be Rs1800, 12% of PF basis.

What could be the possible reason for the same.

Please guide.

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9 Answers

  • Nov 03, 2015 at 12:04 PM

    Sorry for the inconvenience Praneeth Sir & other experts.

    Getting the issue means- there is a mismatch of the total PF deduction amount.

    Screen shot is not possible that's why could not upload..

    I figured it out that system is taking the Basic salary of the employee into consideration & calculating the PF.

    But this should not be the case as i had selected PF basis( guess this takes into consideration Rs15000 as a base)

    Hope it makes my issues bit understandable.

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    • Former Member

      There are two calculation methods,

      PF Basis means, PF Basis Amount (Basic + DA) * 12% for both Ee & Er

      Which ever is less means PF Basis Amount * 12% and check the condition 15000 ceiling. if PF Basis amount is less than ceiling then it multiply the same * 12% if it is more then 15000 * 12%

  • Nov 04, 2015 at 06:40 AM

    Hi Praneeth & Shankarsan,

    Client has a flat rate of Rs1800 deducted across all level.

    That means the base of Rs 15000-Standar.

    Employee basic is at 22800, PF getting deducted is Rs2736 which should have been simply Rs1800 irrespective of his Basic of Rs 22800.

    Nothing to do with the Basic here flat rate of 12% on 15000.

    But system somehow is not taking this into consideration in IT587.

    Please guide.

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    • Ok.

      If basic is 10000 then what would be the PF. It will still 1800 deduction????

      Select the IT587 radio  PF Basis or Eligibility pay which ever is less in the Employee's section (Better the share IT587 details for this employee). After done this changes once you will execute the payroll expand the INEPF function. Share the Input table details of that Function and also Output details.

      Also share the screenshot details for INN1 subschema details ( could be Z version is there).

      Regards,

      Sankarsan

  • avatar image
    Former Member
    Nov 03, 2015 at 11:05 AM

    1) Check that the PF basis has been calculated correctly(check the wage type /3fa in the output of INEPF).

    2) Check if the employee has any VPF in IT 587.

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    Former Member
    Nov 03, 2015 at 11:17 AM

    Hi,

    Check the IT 0587 radio button for PF Basis or Eligible pay or PF basis wichever is less ? and what is Employer share is coming ? is it same amount ?

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  • Nov 03, 2015 at 11:24 AM

    Hi Experts,

    I have changed the It587 settings to Eligible pay or PF basis whichever is less

    /3FA is at the basic amount- so i think that is calculating correctly.

    But still i am getting the issue.

    Please guide.

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    Former Member
    Nov 03, 2015 at 11:42 AM

    Mr/Mrs/Miss......

    I think you are not new to SCN, without elaborating and giving your issue or screen shot asking for suggestion is not make sense.  still i am getting issue means what we can do ? we can'e assume you configuration right.

    while asking or posting any issue you have to state that i done this configuration and this is the issue i'm facing like this you has to elaborate.

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    Former Member
    Nov 03, 2015 at 12:02 PM

    Can you provide few more details what exactly the PF basis amount and what is the out put.

    Simply what you can do is provide INEPF input, processing and output details for better understanding.

    Mean while you can check is there any PCR or Enhancement implemented in the system.

    Regards

    Venkatesh

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  • Nov 03, 2015 at 12:51 PM

    Hi Praneeth,

    Thanks for the detailed calculation.

    In my client place there is only Basic no DA, Basic is-22000 there is no DA.

    Now there is a flat amount of Rs1800 for PF deduction considering 15000 as the base for all level of employees.

    But after marking it for Which ever is less means-still system is considering Basic is-22000 not ceiling Rs15000.

    How to get the desired result in that case.

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    • Hi,

      Share the IT587 details and INEPF input and output table details.

      What you want????

      If PF basis is more than 15K then system should calculate on 15K and less than 15K then it should be calculated on actual PF basis. Is it your requirement???

      Regards,

      Sankarsan

  • Nov 04, 2015 at 07:38 AM

    Thanks,

    Solved, the VPF redio button also needs to be on-"PF Basis or Eligibility pay which ever is less" Mode, which actually was missing.

    sorry for causing so much confusion.

    Thanks.

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