How to Stop Provident Fund /3F1 if retro happens for seperated employees but there arreras to be provide of last two years

[Former Member]

Dear Friends

I have an issue of Public Sector Company, The company has declared there wage revision of last two w.e.f 01.01.2012 and maintaining it in Basic Pay IT0008 from 01.01.2012, Some employees are separated in the period for E.g Employee Separated on 01.01.2013, Now want to calculate the arrears, all wage types are generated but Linotype IT 0587 Provident fund carrying the carry forward amount /AF5, we stopped the amount for it but /3F1 Employee provident fund is also getting increases due to arrears, Client doesn’t want the /3F1  to be increases it should remain the same as like of earlier period what it was. In payroll Posting for Eg. 01.12.2012 the Actual /3F1 was Rs.1000 but due to increase in salary and retro effects now its become /3F1 Rs.1100, Client want it should see Rs. 1000 in Payroll posting even if the retro happens, No increase to be found in /3F1 – Employee Provident fund

How can I control on /3F1 Employee Provident fund to be remain the same as like of earlier periods.

Please help me

[Former Member]

Hi Vishal,

Please correct me if my understanding is wrong.

Employee salary was 10000 in 2012 , PF Contribution is 1200 , now the employee left on 01.04.2013.

Now as per your company rule Employee salary was increased from 10000 to 20000 , so the extra 10000 should be given to the employee as an arrears but on that extra 10000 no PF should be deducted as a result of which /3F1 should be Zero.

So what you do is create a PCR and in that PCR take the value of /AF5 and make it Zero and again pass to /AF5.

Hope this will help you.

Thanks & Regards

Saroj Hial

[Former Member]

I can do anything there in Configuration part, if i changed it or delimited with new date than also the retro will fall from January 2012.

[Former Member]

Go through the tables : V_T7INF*

[Former Member]

Dear Vishal,

/3F1 Employee PF contribution : Computed by the Function INEPF, Percentage taken from view V_T7INF3 is multiplied to /111. If Infotype 0587 does not exist, the value is Zero.

All the best.

Regards,

Naresh.KM