Creating PF Admin Charges Pay Head

PF Admin Charges are paid towards maintaining the PF Account.

To create PF Admin Charges Pay Head,

Go to Gateway of Tally > Payroll Info. > Pay Heads > Create

  1. Enter the name of the Pay Head in the Name field

  2. Select Employer’s Other Charges as the Pay Head Type from the list of Pay Head Types

  3. Select Admin Charges (A/c No. 2) in the Statutory Pay Type field

  4. Select Current Liabilities from the List of Groups in the Under field

  5. By default, Affect Net Salary is set to No

  6. The Calculation Type field is pre-filled with As Computed Value and Calculation Period is pre-filled with Months by default

  7. By Default Rounding Method is set to Normal Rounding and Rounding Limit as 1.

  8. The Compute field is pre-filled with On PF Gross

Note: PF Gross is refers to the value of Pay Heads used for A/c. No. 1 (Employee PF) Pay Head.

  1. In the Effective Date field, enter the desired date from which the PF Admin Charges will be charged

  2. Enter the values in the From Amount and Amount Upto fields if required

  3. Slab Type is pre-filled as Percentage

  4. Enter the admin charges percentage in the Value Basis field

  1. Press Enter to accept.

Note: This Pay Head will not be included in the Salary Details for the Employees as this is an employer related expense and needs to be handled separately.