EPF – Rule – Minimum no of emplyees required

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EPF – Rule – Minimum no of emplyees required

Sorry for the slightly off topic. Whats the minimum no of employees a company should employ so that the owner can register them in EPF. Say, if a company owns 3 employees only, whether the owner can register them in EPF scheme?

Profile photo of sunil Asked By: sunil 1 replies 1 helpful answers Last Updated: 3 weeks, 6 days ago
  • Profile photo of sunilsunil
    Participant

    Sorry for the slightly off topic. Whats the minimum no of employees a company should employ so that the owner can register them in EPF. Say, if a company owns 3 employees only, whether the owner can register them in EPF scheme?

  • Profile photo of Nitesh BindNitesh Bind
    Participant

    Hi Sunil, First of all it was not Off the topic at all. Now coming to your question, As per the THE EMPLOYEES’ PROVIDENT FUNDS AND MISCELLANEOUS PROVISIONS ACT, 1952 any organisation which employes 20 or more employess during the year then it will covered under the EPF ACT and has to deduct EPF from employees. Furhter, it shall be liable to duduct EPF Only when the employee is getting BASIC PAY (which is mentioned in the form 16) of Rs. 15,000 or less. That means if any employee is getting more than 15,000 as their BASIC PAY then no EPF is required to be duducted on his salary. The EPF contribution % is 12% from the employers’ side and equal contribution needs to be made from employees. So if your organisation has upto 20 employess then your organisation would not be liable for EPF Scheme. THANKS.

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