how do calculate PF?

how do calculate PF?

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  • 1 decade ago
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    I presume that PF means Provident Fund.

    The PF differes from service to service.

    In General, every schems is based on the folowing principles.

    It is mandatory for your empoyer to deduct 8.33% of your pay as PF, every month.

    Suppose you get 12,000 as basic pay, then your company will deduct Rs.1000 every month. But compnay also will contribute 1000 every month on your account. So effectively, it will be 2,000 per month.

    After six months it will be 12,000 and after one year, it is 24,000.

    Interest on PF will be payable as fixed by the Govt.

    A portion of the PF can be withdrawn by the employee, subject to the rules, only for specified purpose like buying a house, expenses for marriage, education, medical treatment, etc.

    For more details browse the THE ALL INDIA SERVICES (PROVIDENT FUND) RULES, 1955.

    !!!

  • Anonymous
    1 decade ago

    Beats me! What's PF?

  • Anonymous
    1 decade ago

    you better let us know what PF means.

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