Statutory
Provident FundEPF
The Employees' Provident Fund is a retirement savings scheme where employee and employer each contribute 12 percent of basic wages every month, managed by the EPFO.
The employee contributes 12 percent of basic plus DA. The employer matches 12 percent, of which 8.33 percent goes to the pension scheme (on wages up to ₹15,000) and the rest to the provident fund, plus 0.5 percent EDLI and 0.5 percent administrative charges.
Establishments with 20 or more employees must register. The balance earns interest declared yearly and is withdrawable at retirement or, partially, for specified needs.
In Indian payroll
Contributions are due by the 15th of the following month through the ECR. Late payment attracts damages and interest, and the company officers are personally liable.
What is Provident Fund?
The Employees' Provident Fund is a retirement savings scheme where employee and employer each contribute 12 percent of basic wages every month, managed by the EPFO.
Why does Provident Fund matter in Indian payroll?
Contributions are due by the 15th of the following month through the ECR. Late payment attracts damages and interest, and the company officers are personally liable.
In Kuzhu
The Payroll module in Kuzhu is where Provident Fund is handled, on the same employee record as everything else.
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