During the COVID19 pandemic, as part of relief measures announced by the Government for both Employers and Employees, Employee's Provident Fund (EPF) contribution rate was reduced to 10% for May-20, Jun-20, and Jul-20. 

 

Since there is no further update from the EPFO regarding this, from Aug-20 onwards, the Employer need to revert to the earlier configuration of 12%; this will NOT automatically get reverted in the application.

 

Those Employers who had passed the benefits of the Notification to the Employees need to tweak back the PF formula accordingly; the steps for the same are as under:


Go to Homepage >> Payroll Settings



Then click “Salary Components”



And select “PF Employer” as well as “Provident Fund” one by one.




Click “View/Edit” against one of these and the below screen is displayed.



Just change the formula from 10% to 12% and “Save”; repeat the same with the other component as well.

 

Once done, please check whether “Special Allowance” component is mapped as shown below.



If mapped, then go to Homepage -> Employees -> More


And Click the “Bulk CTC Recalculate” tab to come to the below screen.