PF Admin Charges reduced to 0.5% from 01/06/2018 and EDLI Admin Charges waived by EPFO

PF Admin charges have been further reduced from 0.65% to to 0.5% applicable w.e.f. 1 June 2018, subject to a minimum of Rs. 500/ Rs. 75 in the case of functional/ non-functional organisations. Besides, EDLI Admin charges have already been waived w.e.f. 01/04/2017.

It may be noted that Expenditure incurred by EPFO in administering the Provident Fund (EPF), EDLI, etc., are met from the Admin/ Inspection charges collected from the employers.

Revised Rates of Contribution to various PF Accounts w.e.f. 1 June 2018

In line with the recent amendment/ reduction in PF Admin charges notified by the EPFO, the revised rates of contribution to various PF accounts applicable w.e.f. 1 June 2018, are as under:

Contribution Rate (%) Employee’s Contribution Rate (%) Employer’s Contribution Rate (%)
A/c No. 1: PF Contribution Account*        12.00          3.67
A/c No. 2: PF Admin Charges Account              –          0.50
A/c No. 10: EPS Contribution Account              –          8.33
A/c No. 21: EDLIS Contribution Account              –          0.50
Total Contribution        12.00        13.00

* In certain cases, 10% PF rate is applicable, wherein Employee Share to A/c No. 1 will become 10% and Employer share will become 1.67%.

PF Admin Charges reduced from 0.65% to 0.5% w.e.f. 1 June 2018

PF Admin Charges Reduced to 0.5% w.e.f. 01/06/2018: MoL&E/ EPFO Notification dt. 21/05/2018

S.O. 2011(E).- In exercise of the powers conferred by the Explanation to paragraph 30 read with paragraph 39 of the Employees’ Provident Funds Scheme, 1952, and in supersession of the notification of the Government of India in the Ministry of Labour and Employment published in the Gazette of India, Extraordinary, Part II, section 3, sub-section (ii) vide number S.O. 827(E), dated 15/03/2017, except as respects things done or omitted to be done before such supersession, the Central Government, after consulting the Central Board and having regard to the resources of the Employees’ Provident Fund available for meeting its normal administrative expenses, hereby fixes the administrative charges payable by the employer for the purposes of paragraph 30 and sub-paragraph (1) of paragraph 38 of the said Scheme with effect from 01/06/2018 at 0.50 per cent (zero point five zero per cent.) of the pay as referred to in the said paragraphs subject to a minimum sum of seventy-five rupees per month for every non-functional establishment having no contributory member and five hundred rupees per month per establishment for other establishments.

2. For the removal of doubts, it is hereby notified that nothing contained in this notification shall affect the administrative charges payable in respect of the period up to and inclusive of 31/05/2018 in respect of which the notification referred to in paragraph 1 herein shall continue to apply as if the same had not been superseded.

PF Admin Charges reduced from 0.85% to 0.65% and EDLI Admin Charges waived by EPFO w.e.f. 01/04/2017

The expenditure incurred in administering the Employees’ Provident Fund (EPF), Employees’ Deposit Linked Insurance (EDLI), etc., are met from the administrative and inspection charges collected from the employers. Earlier, the PF Admin charges were reduced from 1.10% to 0.85% w.e.f. 01/01/2015, which has been reduced further to 0.65% by EPFO w.e.f. 01/04/2017 (applicable upto 31/05/2018). Besides, EDLI Admin charges are no longer payable (i.e. waived) w.e.f. 01/04/2017.

PF/ EDLI Admin Charges reduced to 0.65%/ Nil:  EPFO Circular dt. 22/03/2017

PF Admin Charges reduced to .65%: Govt. Notification dt. 15/03/2017

EDLI Admin Charges waived: Govt. Notification dt. 15/03/2017

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