India's Employees Provident Fund and Miscellaneous Provisions Act (EPF, 1952) stipulates that the government and employers must provide social security for corporate employees in accordance with regulations.

All employees of enterprises with 20 or more employees, monthly wages not exceeding 6,500 rupees, and other types of enterprises with more than 20 employees registered with the government are classified as members of the social security fund. Both employees and employers are required to pay social security in accordance with regulations, in 2014

The bill increases the monthly salary ceiling to Rs 15,000 and excludes foreign employees from this restriction.

Starting from October 1, 2008, the Indian government will expand provident fund and pension contributors to foreign employees.

If the employees employed adopt the labor dispatch system, the employer performing contract labor does not need to pay social security for them. This form is only applicable to ordinary employees, and is not applicable to employees in management or other positions.

Indian social security is paid based on the employee's total salary. The total salary here includes domestic and overseas basic salary and various subsidy income. Housing subsidies, overtime pay and bonuses are not included in the total salary.

Social security in India is more complicated than in China. There are three major items that require mandatory payment: provident fund (EPF), pension (EPS), and deposit insurance (EDLI).

India will adjust the payment ratios of these three funds from time to time. For the latest payment standards and details, please refer to the official website of the Indian Employees' Provident Fund Organization (EPFO) (https://www.epfindia.gov.in).

At present, the proportion of social security contributions paid by Indian employers is as follows: Provident Fund (EPF): The amount required by the employer = Provident Fund paid by the employee - Pension required by the employer.

In addition to this, the employer is required to pay an administrative fee of 0.85% or Rs 500, whichever is higher.

If there are no members in the item that month, a management fee of at least Rs 75 will be paid.

Pension (EPS): Employers are required to contribute 8.33% of employees’ wages as pension.

Deposit insurance (EDLI): The amount paid by the employer is 0.5% of the employee's salary.

In addition, there is a management fee of 0.01% or Rs. 200, whichever is higher.

If there are no members in the item that month, a management fee of at least 25 rupees will be paid.

This does not yet intuitively show the amount of social security that Indian employees should pay. Let us take an example. Now a company with more than 20 people has hired a foreigner to work as the local operations manager of the company in India. Regarding this foreign employee, we

Let’s calculate the employer’s labor costs: Assume that the operations manager’s annual salary is 900,000 rupees and the monthly salary is 75,000 rupees (approximately 7,224 yuan per person). Because this employee is a manager, the labor dispatch system cannot be applied to it. Although it is

The monthly salary has exceeded 15,000 rupees, but because his status as a foreign employee is not subject to the maximum salary regulations, the employer must pay social security funds for him in accordance with regulations.

First, let’s look at the pension (EPS) part: According to the current contribution ratio, the employer contributes 70,000*8.33%=62,47.5 rupees in pension.

The second is the provident fund (EPF) part: the employer's contribution to the provident fund in India = the employee's own contribution - the company's pension contribution for employees. The rate of the provident fund paid by the employee himself will vary according to the industry and the size of the company, generally 20

The personal contribution rate is 10% for enterprise employees with less than 20 employees; 12% for employees with more than 20 employees.

Based on this calculation, the personal provident fund contribution of this operations manager is 75,000*12%=9,000 rupees. Therefore, the employer’s provident fund payment for this operations manager is 9,000-62,47.5=2752.5 rupees. In addition, it is necessary to

Pay a management fee of 0.85%~500 rupees, which is 75,000*0.85%=637.5 rupees, a total of 2752.5+637.5=3,390 rupees.

Finally, there is the deposit insurance (EDLI) part: according to the current payment ratio, the deposit insurance that the employer needs to pay for this employee is 75,000*0.5%=375 rupees; plus a management fee of 0.001~200 rupees (here the maximum is 200 rupees)

Calculation) i.e. 375+200=575 rupees.