How PF calculation works

Provident Fund (PF) is mandatory for organizations with 20+ employees, but many smaller companies also opt in.

Contribution rates

Employee contribution: 12% of PF wages (Basic + DA) Employer contribution: 12% of PF wages, split as: - EPF: 3.67% to employee PF account - EPS: 8.33% to Employee Pension Scheme (capped at ₹15,000 wages) - EDLI: 0.50% (capped at ₹15,000 wages)

PF wage ceiling

The ₹15,000 ceiling applies only to EPS and EDLI calculations. EPF contribution is calculated on actual PF wages (Basic + DA), not capped.

How payora handles it

payora auto-calculates all PF components during payroll processing. The statutory rates are stored in the database and updated annually — no code deployment needed when government rates change.

PF ECR report

Generate the PF ECR (Electronic Challan cum Return) from the Reports section for direct upload to the EPFO portal.