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The Employees' Provident Fund came into existence with the promulgation of Employees’ Provident Fund Ordinance on the 15th of November, 1951. This Scheme is regulated under the Employees’ Provident Fund Organization (EPFO) and Miscellaneous Provision Act, 1952. APPLICABILITY Registration for PF is compulsory for the companies / Organizations who employ 20 or more individuals. Also, a small organization that does not have the maximum Strength can register them voluntarily. The organization which grows to strength of 20 members is expected to register them within one month of attaining the minimum strength, subject to certain conditions and exemptions. All employees become eligible for a PF right from the commencement of employment and the onus of deduction & payment of PF is with the employer. The 12% rate of PF contribution should be equally divided between the employee and employer. If the establishment houses less than 20 employees, the rate for PF deduction is 10%. Eligibility Criteria Eligibility: EPF registration is compulsory for all establishments- A factory engaged in any industry with 20 or more persons, and For any other establishment employing 20 or more persons or class of such establishments as may be defined by the Central Government by notification in that name. Central Government can notify any establishment employing less than 20 employees after giving no less than two months 'notice of compulsory registration Where the employer and majority of employees have agreed that the provisions of this act will submit to the establishment, they can apply to the Central PF Commissioner themselves. Rates of Contribution: a. Employee contribute-12% b. The employer contributes- 12%, the employer part consists of 12% of basic wages + dearness allowance + retaining allowance. Number of employees less than 20 in an organization then the PF rate is 10%

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