The current rates of contribution for EPFO (Employees’ Provident Fund Organisation) in India are as follows:
- Employee’s Contribution – 12% of basic wages + Dearness Allowance (DA) + Retaining Allowance (if any). However, it is important to note that for new employees who are earning less than Rs. 15,000 per month, the employee’s contribution rate is 10% instead of 12%.
- Employer’s Contribution – 12% of basic wages + DA + Retaining Allowance (if any) + 1.85% towards EPF administrative charges + 0.5% towards EDLI (Employee Deposit Linked Insurance) scheme + 0.01% towards EDLI handling charges.
It’s important to note that these rates of contribution are subject to change from time to time based on government regulations and other factors. Also, employers are required to contribute to the Employees’ Pension Scheme (EPS) as well, which is calculated separately based on the pensionable salary and the number of years of service.