Haryana Revises LWF Contribution Rates (Effective 1st Jan 2025)

[Official document available for download below]

The Labour Welfare Fund (LWF) contribution rates for Haryana have been revised, with the new rates taking effect from January 2025. This change will impact both employees and employers, requiring necessary payroll adjustments to ensure compliance with the updated contribution structure.

Revised LWF Contribution Rates in Haryana

Effective from January 2025, the revised LWF contribution rates in Haryana are as follows:

Contribution Type	Old Rate (Rs.)	New Rate (Rs.)
Employee Rate	31	34
Employer Rate	62	68
Total LWF Contribution	93	102

Key Payroll Adjustments and Compliance Measures

To ensure a smooth transition to the revised LWF contribution rates, payroll teams must take the following actions:

1. Adjustment of January 2025 Arrears: Since the revised rates are applicable from January 2025, the arrear amount for January must be included in the February 2025 LWF online challan.
2. Payroll Processing for March 2025: The arrear adjustment should be incorporated into the March 2025 payroll to maintain accurate deductions.
3. Client Communication & Confirmation: Employers must inform clients about the revised LWF contribution, provide arrear calculations, and obtain confirmation before generating the online challan.
4. Monthly Deposit Compliance: The LWF contribution must now be deposited on a monthly basis starting from January 2025 to ensure compliance with the updated regulations.

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Ensuring Compliance and Avoiding Penalties

Employers must strictly adhere to the revised LWF contribution rates and ensure timely deposits to avoid any penalties or legal repercussions. The payroll team should double-check calculations, verify adjustments, and maintain proper documentation for future reference.

For further clarifications, refer to the official notification issued by the Haryana Labour Department or consult with a compliance expert to ensure seamless implementation.

Final Thoughts

The revision in Haryana’s LWF contribution underscores the need for businesses to stay updated with regulatory changes and proactively adjust their payroll processes. By ensuring timely compliance and keeping employees informed, organizations can avoid any disruptions and maintain a smooth payroll system.

For any assistance related to LWF compliance and payroll adjustments, reach out to your payroll team or regulatory advisors.