Provident fund looks simple until payday. Which salary counts? Why does the employer pay 12% but only part of it goes to the PF account? What happens when basic pay is above the ₹15,000 ceiling?
This free PF calculator answers all three. Enter the monthly PF wages, and it returns the employee deduction, the employer EPF and EPS split, the admin and EDLI charges and the total monthly deposit.
Below the calculator you will find the PF calculator formula, worked examples, a ready reckoner table, the wage ceiling rules and the monthly process for employers.
A PF calculator is a tool that works out the monthly Employees’ Provident Fund contribution from PF wages. In India, the employee pays 12% of basic pay plus dearness allowance, and the employer pays another 12%, of which 8.33% (on wages up to ₹15,000) goes to the pension scheme and the rest to the EPF account.
Quick answer: PF calculator formula for India (November 2026)
- Employee PF = 12% of PF wages, where PF wages mean basic pay + dearness allowance + retaining allowance.
- Employer PF = 12% of PF wages, split into EPS at 8.33% (on wages capped at ₹15,000, so ₹1,250 a month at most) and EPF at the balance of 3.67%.
- The employer also pays about 0.5% as EPF admin charges and 0.5% as EDLI contribution on wages up to ₹15,000.
- The statutory wage ceiling for mandatory contribution is ₹15,000 a month; contributing on higher wages needs the employer’s agreement.
- Always confirm the latest rates and ceilings in the current EPFO notification.
PF Calculator for India
Enter the monthly PF wages (basic pay plus dearness allowance and retaining allowance, not the gross salary). Choose whether contributions are made on actual wages or limited to the ₹15,000 ceiling, and the calculator splits the amounts for you.
Try the PF calculator
Estimate only. Rates follow the EPF Scheme, 1952, and the Employees’ Pension Scheme, 1995. Admin charges are shown without the establishment-level minimum. Confirm current rates with the EPFO or your CA.
PF Calculation Formula
Employee PF = 12% × PF wages. Employer PF = 12% × PF wages, split into EPS (8.33% of wages up to ₹15,000) and EPF (the remaining amount). The employee’s whole 12% goes to the EPF account.
| Component | Who pays | Rate and base | Goes to |
|---|---|---|---|
| Employee share | Employee | 12% of PF wages | EPF account |
| Employer EPF | Employer | 12% of PF wages minus EPS | EPF account |
| Employer EPS | Employer | 8.33% of PF wages, wages capped at ₹15,000 | Pension scheme |
| EPF admin charges | Employer | About 0.5% of PF wages | EPFO administration |
| EDLI contribution | Employer | About 0.5% of wages up to ₹15,000 | Insurance cover |
PF wages mean basic pay, dearness allowance and retaining allowance. Allowances such as HRA and conveyance are normally left out, but under the Code on Social Security, 2020, if the excluded allowances exceed 50% of total remuneration, the excess is added back to wages.
PF Calculation Examples
Example 1: PF wages of ₹12,000. Employee PF is 12% = ₹1,440. Employer EPS is 8.33% = ₹1,000, and employer EPF is ₹440. The employer’s total share equals the employee’s ₹1,440.
Example 2: PF wages of ₹15,000 (exactly at the ceiling). Employee PF is ₹1,800. Employer EPS is ₹1,250, which is the maximum, and employer EPF is ₹550.
Example 3: PF wages of ₹40,000, contribution on actual wages. Employee PF is ₹4,800. Employer EPS stays capped at ₹1,250, so employer EPF is ₹3,550. Because EPS is capped, a larger share of the employer’s 12% goes to the EPF account as wages rise.
Example 4: same ₹40,000, limited to the ceiling. Employee PF is ₹1,800 (12% of ₹15,000), employer EPS is ₹1,250 and employer EPF is ₹550.
PF Ready Reckoner Table
Use this table to read PF directly from monthly PF wages. All figures assume contribution on actual wages, rounded to the nearest rupee, and the last column adds admin and EDLI charges.
| Monthly PF wages | Employee 12% | Employer EPS | Employer EPF | Admin + EDLI | Total deposit |
|---|---|---|---|---|---|
| ₹10,000 | ₹1,200 | ₹833 | ₹367 | ₹100 | ₹2,500 |
| ₹15,000 | ₹1,800 | ₹1,250 | ₹550 | ₹150 | ₹3,750 |
| ₹20,000 | ₹2,400 | ₹1,250 | ₹1,150 | ₹175 | ₹4,975 |
| ₹30,000 | ₹3,600 | ₹1,250 | ₹2,350 | ₹225 | ₹7,425 |
| ₹50,000 | ₹6,000 | ₹1,250 | ₹4,750 | ₹325 | ₹12,325 |
| ₹75,000 | ₹9,000 | ₹1,250 | ₹7,750 | ₹450 | ₹18,450 |
A handy shortcut: every ₹10,000 of PF wages adds ₹1,200 to the employee deduction and ₹1,200 to the employer’s share.
Wage Ceiling, EPS and EPF Split
The ₹15,000 ceiling does two jobs. For mandatory coverage, it is the wage level up to which contribution is compulsory. For the pension scheme, it caps the wages on which the employer’s 8.33% EPS share is worked out, which is why EPS never exceeds ₹1,250 a month.
If the employee earns more than ₹15,000 and the employer agrees to contribute on actual wages, the extra goes to the EPF account. That is why the employer EPF share keeps growing while the EPS share stays flat.
Wage ceilings are reviewed from time to time, so check the latest EPFO circular before you finalise a salary structure.
Who Must Register for PF
Under the Employees’ Provident Funds and Miscellaneous Provisions Act, 1952, establishments with 20 or more employees must register with the EPFO. Smaller employers can register voluntarily. Once registered, every eligible employee earning up to the ceiling must be enrolled.
Each employee gets a Universal Account Number (UAN), which stays the same when they change jobs, so the PF balance moves with them.
PF for Employers: The Monthly Process
For employers, PF is a monthly cycle, not a one-off calculation. The steps are the same every month:
- Close attendance and approve leave and overtime, so the month’s wages are final.
- Work out PF wages for each employee from basic pay and dearness allowance.
- Calculate the employee and employer shares, plus admin and EDLI charges.
- Deduct the employee share in payroll and show it on the payslip.
- Deposit the total contribution and file the monthly return through the EPFO portal by the due date.
This is where payroll software helps. Mera Udyog connects shift attendance, overtime, PF, ESI, Professional Tax and TDS to payroll, so the deduction is worked out from attendance data without retyping. See our guide to payroll software in India and the attendance and payroll software page for how it fits together.
For the payslip layout, use our free salary slip format. For exits, the gratuity calculator covers the settlement side.
Common PF Calculation Mistakes
- Using gross salary. PF is on basic plus dearness allowance, not CTC or gross pay.
- Forgetting the EPS cap. EPS is 8.33% of wages up to ₹15,000, never more than ₹1,250.
- Missing the 50% allowance test. A low basic with high allowances can push extra wages into PF under the new labour codes.
- Ignoring admin and EDLI charges. They are paid by the employer on top of the 12%.
- Paying late. Late deposits attract interest and damages, so keep the due date in your payroll calendar.
- Mixing up loss of pay days. PF wages are reduced for unpaid days, so attendance must be final before PF is run.
Rates, ceilings and rules change. Treat this page as a guide, and verify the latest EPFO notification or consult a CA or labour consultant before filing returns.
FAQ: PF Calculator Questions
How is PF calculated in India?
Employee PF is 12% of PF wages, which means basic pay plus dearness allowance and retaining allowance. The employer also pays 12%, split into 8.33% to the Employees’ Pension Scheme (on wages up to ₹15,000, so at most ₹1,250 a month) and the balance of 3.67% to the EPF account. For example, on ₹20,000 of PF wages the employee pays ₹2,400, and the employer pays ₹2,400 in total.
What is the PF calculator formula?
Employee share = 12% × PF wages. Employer EPS = 8.33% × PF wages, capped at ₹15,000 of wages. Employer EPF = 12% × PF wages − employer EPS. Employers also pay about 0.5% of PF wages as EPF admin charges and 0.5% on wages up to ₹15,000 as EDLI contribution.
What is the PF wage ceiling in 2026?
The statutory wage ceiling for mandatory contribution has been ₹15,000 a month. Employees earning more can still contribute on actual wages if the employer agrees. Check the latest EPFO notification, because the ceiling is periodically reviewed.
Is PF calculated on basic salary or gross salary?
On PF wages: basic pay, dearness allowance and retaining allowance, not gross pay. Under the new labour codes, if other allowances exceed 50% of total remuneration, the excess is added back to wages, which can raise PF.
Who must register for PF?
Establishments with 20 or more employees must register with the EPFO, and smaller employers can register voluntarily. Check your own coverage with a CA or labour consultant.
Can I use this PF calculator for employer contribution too?
Yes. The calculator shows the employee share, the employer EPF and EPS split, the admin and EDLI charges, and the total monthly deposit.
About the Author
This guide is written by the Mera Udyog Team, which builds attendance, payroll and HR software for Indian manufacturers and retail chains. Questions about this PF calculator? Write to hello@meraudyog.com.