Does the 31% contribution reduce a worker's salary?
✓ Verified: 2026-07-11
Of the 11% deducted from the worker's side, 10% was already going to the Provident Fund — the extra burden is only 1%. The employer's 20% is not taken from the salary; it is added on top. All of it ultimately comes back to the worker as benefits and savings.
📜 Official sources
- सामाजिक सुरक्षा योजना सञ्चालन कार्यविधि, २०७५ (५औँ संशोधनसहित) (मूल २०७५।०८।०६; ५औँ संशोधन २०८१।०९।१०, लागू २०८२।०१।०१)
- श्रम ऐन, २०७४ (२०७४।०५।१९)
For legal purposes always consult the original documents and latest amendments. Rates and limits can change through amendments.