Skip to Content
avatar image
Former Member

PF calculation based on Gross Salary

Dear Experts,

Following is our requirement for PF.

PF CALCULATION

1) Anybody whose Gross salary <6000 PM, only employee contribution to be deduct I,e 12% of Basic Salary.

2) Gross Salary >6000 PM, both contribution to be deducted from the employee, I,e 24 % of Basic Salary

3) Above basic salary Rs. 6500, PF is optional.

4) The Maximum basic salary ceiling for plant is Rs. 6500 I,e – 780 PM (12% of Basic)

Let me explain the requirement more clearly, our 1st requirement came reg. PF was to deduct both EE + ER's contribution i.e. 12+12=24% from employees' gross, which has been achieved so far by making /3F1 deductible from gross. Now the requirement has been little modified as stated above, like for emps whose gross<6500, for them only 12% needs to be deducted not 24%, i.e. for them normal PF configuration will be applicable. Now there I'm facing the issue since I already made /3F1 deductible from gross. Now how-come I differentiate ER PF contribution based on gross and personnel area.

Please someone helps me in this regard.

Do I need any enhancement or user-exit.

Please anyone help me resolve.

Regards

Tan

Add comment
10|10000 characters needed characters exceeded

  • Follow
  • Get RSS Feed

3 Answers

  • avatar image
    Former Member
    Apr 12, 2012 at 08:56 AM

    Please use SAP enhancement HRINCEPF to achieve your requirement.

    Regards

    Ravikumar

    Add comment
    10|10000 characters needed characters exceeded

    • Former Member Former Member

      Dear Experts,

      We tried with the enhancement HRINCEPF, but its only updating Pension basis, not PF.

      Please help someone, its little urgent.

      Regards

      Tan

  • Apr 16, 2012 at 05:20 AM

    You can try like this also

    First compare the gross salary in a PCR

    IF gross Less than < 6000 pass the Basic pay value in to a dummy wage type for this wage type do settings for PF , make sure it is not a payment wage type. Remove PF related configuration for other wage types.

    IF > 6000 and < 6500 pass it to two wage types

    Like wise you do for the rest.

    But my question .. what the requirement about the reports and employer contribution in both cases

    Add comment
    10|10000 characters needed characters exceeded

  • avatar image
    Former Member
    Apr 16, 2012 at 12:44 PM

    When i am calling above PCR through ACTIO, its throwing dump in payroll log.

    Please help

    Add comment
    10|10000 characters needed characters exceeded

    • Former Member Sikindar T

      I added the !st rule through PIT before INEPF and 2nd rule through PIT after INEPF, but now issue is the deduction from gross is not happening in case of /3F3.

      Please help