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?

AI Summary

Employee with 16,000 gross salary cannot opt out of Provident Fund; basic salary must exceed 15,000. An employee, starting his first job with a gross salary of 16,000, inquired whether he could opt out of the Provident Fund (PF) deductions by submitting Form 11, as he was not previously a PF member. A respondent clarified that opting out is possible if the basic salary exceeds 15,000, but not recommended. However, since the employee's gross salary is 16,000, he cannot opt out of the PF scheme. Further clarification was sought on whether the threshold applies to basic or total salary, and it was confirmed to be the basic salary. Another participant supported this interpretation.