Form 11 for Employee got 1st time job

[KUMAR Narasimhan]

Dear Sir, an employee got his 1st Job, and he is not member of PF earlier, and drawing a Gross salary of ₹ 16000/-, and he his saying to his employer not to deduct PF by giving Form 11.

Is this acceptable?

[YAGAY and SUN]

If you've never made any contributions towards EPF, ever, you can choose not to contribute towards EPF. If your basic monthly salary is over ₹ 15,000, you can opt out of your EPF contributions if you want to (although it isn't recommended that you do this).

[KUMAR Narasimhan]

Dear Sir,

Thank you for the Information, threshold limit of ₹ 15000/- for his basic salary or Salary?

Here in his 1st time employment he is earning total salary of ₹ 16,000/- and he would like to opt out from PF

[YAGAY and SUN]

It is the basic salary of ₹ 15000/-

If the employees is getting ₹ 16000/- as gross salary then he cannot opt out from the PF Scheme.

[KUMAR Narasimhan]

Dear Sir,

Could you please provide any notification with respect the above.

[DR.MARIAPPAN GOVINDARAJAN]

I endorse the views of Yagay.

AI Summary

Provident Fund exemption depends on basic salary threshold, not gross pay; first-time employees can't opt out if basic exceeds threshold.
Opt-out from Employees' Provident Fund for a first-time employee who has never contributed depends on the basic salary relative to the statutory threshold; gross salary does not determine eligibility, and Form 11 alone does not confer exemption when the basic salary exceeds the threshold.