The government can give a big shock to crores of members of EPFO ​​(Employee Provident Fund Organisation). The government can make a big announcement on Friday regarding the interest rate on EPFO. It is believed that the Central Board of Trustees of EPFO ​​can cut the interest on the money deposited in PF (Provident Fund). This can happen because the stock markets and bond yields have fallen, as well as EPFO ​​is facing more claim settlement.

Considering these reasons, the Central Board of Trustees of EPFO ​​may consider reducing the interest rate for the financial year 2024-25, which will affect the retirement savings of about 300 million (30 crore) EPFO ​​members.

The decision on interest rate will be taken tomorrow (28 February)

The board of EPFO ​​will meet on 28 February 2025 to decide on the interest rate on EPF (Employee Provident Fund). In this meeting, a big decision can be taken on the interest rate on the money deposited in EPF this year, which will directly affect the savings of crores of EPFO ​​members. Last year, the government increased the interest rate on EPF from 8.15 percent to 8.25 percent, but now it is believed that this time the interest rate may be reduced.

Why might interest rates be reduced?

According to a Business Standard report, the EPFO’s investment committee held a meeting last week to discuss the status of EPFO’s income and expenditure. Its purpose was to recommend the interest rate. According to the report, this time the interest rate may be lower than last year. The main reason for this is that bond yields have fallen in recent months. If the government announces a higher interest rate, the EPFO ​​will not have much money left for the retirement fund, as the retirement fund will not have excessive surplus.

Increasing demand for claim settlement

Apart from this, the demand for claim settlement has also increased significantly. The number of claim settlements done by EPFO ​​is increasing, leaving less pool (resources) for the interest to be received on the money deposited for EPF this year. As of January 2024, EPFO ​​has processed more than 5.08 million (50 lakh) claims worth ₹ 2.05 trillion (Rs 2.05 lakh crore). At the same time, more than 44.5 million (45 lakh) claims worth ₹ 1.82 trillion (Rs 1.82 lakh crore) were settled in 2023-24. Due to this increasing demand for claim settlement, EPFO ​​is facing a lot of pressure, which may affect the interest rate.

Related Articles:-

• Vande Bharat: Good news! Vande Bharat is going to start on this new route; Know the details
• How to complain if wrong challan is issued for car or bike? Know the step-by-step process
• High Security Registration Plate: Get HSRP installed in your vehicle before 31st March; otherwise you will be fined Rs 5000
• Rent Agreement Rule: Why is the rent agreement made for only 11 months? Know here
• Bank FD Rates Cut: This bank cuts fixed deposit interest rates, Check Details

The post EPF Interest Rate: Big news…! Government may announce a cut in PF interest rates, Know the reason here first appeared on Rightsofemployees.com.

EPF Interest rate: 8.25% interest is being given on the money deposited in the Employees Provident Fund (EPF) account. This was decided by the Central Board of Trustees (CBT) of the Employees Provident Fund Organization (EPFO). Approval has also been received from the government. Now just waiting for it to be credited to the Provident fund account. This interest rate will be for 2023-24. This will benefit more than 7 crore employees of the country.

How much interest will you get?

If you have Rs 1 lakh deposited in your EPF account after getting interest at the new rate, then you will get interest of Rs 8,250 on it in a year. If you deposit Rs 3 lakh then you will get interest of Rs 24500. At the same time, in case of Rs 5 lakh, interest of Rs 41250 will come. According to EPFO, interest will be credited in all provident fund accounts by July-August. But, if you want to know how much interest will come in your account, then the method is quite easy. You can know with a small formula.

Benefit of higher interest on EPF

The Board CBT of the Employees Provident Fund Organization (EPFO) had fixed 8.25% interest on EPF Account in February 2024 for the financial year 2023-24. After this it was approved by the Finance Ministry. The interest on Provident Fund was increased as compared to earlier. The interest on EPF account for the financial year 2022-23 was 8.15 percent.

How is EPF deducted from your salary?

If we look at the EPFO Act, 12% of the basic pay and DA of any employee is deposited in the PF account. The company also deposits 12% contribution in the employee’s PF account. Of the company’s contribution, 3.67 percent is credited to the EPF account. At the same time, 8.33 percent money is deposited in the Pension Scheme.

Understand how much benefit there is from higher interest?

Now let’s talk about the calculation of EPF interest. Understand this with an example. Suppose you have a total of Rs 10 lakh in your account, then in the last financial year you used to get Rs 81,500 at the rate of 8.15% interest. At the same time, due to increase in EPF interest rate to 8.25%, interest of Rs 82,500 will be available on this Rs 10 lakh. By increasing interest by 0.10%, you will get the benefit of interest of Rs 1000. If you have deposited Rs 5 lakh then you will get interest of Rs 41,250 this year.

How to check your EPF balance and interest received or not?

EPF balance can be checked sitting at home. Many options are given in this. You can find out through Umang App, EPFO portal or SMS from mobile phone.

•  Go to EPFO portal (www.epfindia.gov.in).
•  Click on E-PassBook option.
•  Log in on the new page by entering UAN, password and captcha code.
•  After logging in, select the Member ID option for Passbook.
•  Passbook will be available in PDF format, which can be downloaded.
•  You can access the passbook directly at https://passbook.epfindia.gov.in/.

Started with 3% interest in 1952

In 1952, the interest rate on EPF was only 3%. However, later it was increased. In 1972 it reached 6% and in 1984 it reached above 10% for the first time. The best time for PF holders was from 1989 to 1999. During this period, 12% interest was available on PF. After this the interest rate started falling. After 1999 the interest rate never came close to 10%. Since 2001 it has remained below 9.50%. For the last seven years it has been 8.5% or less.

The post EPF Interest rate : How much interest will be given on the money deposited in PF account? Find out like this first appeared on Rightsofemployees.com.

If you do not know, then let us tell you that Rs 8150 will come into the accounts of these PF account holders. After this news came out, people would have started calculating it. Let us know in detail in the news below-

The government has given great news to those employed people whose PF is deducted from their salary every month. Yes, the government has increased the interest rates of EPF (EPFO interest rate) for the second consecutive year. Earlier, the government had increased it by 0.05 percent for the financial year 2022-23 and now it has increased it by 0.10 percent for the financial year 2023-24.

This means that in two years, the government has increased the interest on EPF by 0.15 percent, taking the total interest rate to 8.25 percent. Which is 3 years high.

Now the biggest question is that after this decision, how much money will come to your account as interest. After the news came, many people would have started calculating it. There is a formula to calculate it. Only after applying this, you will be able to know how much money will come to your account in the form of interest. Also, how much benefit have you received from this decision?

How is your EPF deducted?

According to the EPFO Act, 12 percent of the employee’s basic salary and inflation is deposited in the provident fund account. On the other hand, the company contributes 12 percent to the employee’s EPF account. But there is a little change in this also. 3.67 percent of the employer contribution goes to EPF and the remaining 8.33 percent is deposited in the pension scheme. In this way the provident fund of any employee is created.

How much interest money will come to the account?

EPFO’s organization CBT has decided to increase EPF interest rates to 8.25 percent. Earlier this interest rate was 8.10 percent. Now let us try to understand it with a calculation. There is a formula for this. Suppose there is a total deposit of Rs 1 lakh in your PF account.

So in the last financial year, you would have got Rs 8,150 in your account at 8.15 percent interest. Now this interest rate has been increased to 8.25 percent. If an account holder has Rs 1 lakh in his account, he will get Rs 8250 as interest. This means that the EPF account holder will get a benefit of Rs 100.

How to check EPF balance through portal-

• First of all you have to go to EPFO portal www.epfindia.gov.in.
• After that you have to click on E-PassBook option.
• A new page will open and you will have to enter UAN, password and captcha code and log in.
• After logging in, you will have to select the Member ID option for Passbook.
• After which you will get the passbook in PDF format, which can be downloaded.
• You can access the passbook directly at https://passbook.epfindia.gov.in/.

These are the benefits of EPFO account-

By default insurance is available on your PF account. Under the EDLI (Employee Deposit Linked Insurance) scheme, insurance up to Rs 6 lakh is available on PF account. Under this scheme the account holder gets a lump sum payment. Its benefit can be taken at the time of any illness or accident and death.

2. Pension after retirement

In case regular pension is deposited in the PF account for 10 years, the benefit of Employee Pension Scheme is available on the account. If an account holder remains in the job for 10 years and the amount is continuously deposited in his account, then under the Employee Pension Scheme 1995, he gets a minimum pension of one thousand rupees after retirement. However, now talks are going on to increase the pension fund.

3. Interest will be given on inactive accounts

EPFO has decided to pay interest on inoperative accounts only a few years ago, earlier this was not the case. Accounts in which no transaction has taken place for three years are put in the category of inactive accounts. Experts say that you should get your PF account transferred as soon as you change jobs. If this is not done, if the account remains inactive for more than five years, tax will have to be paid on it at the time of withdrawal.

4. PF account will be transferred automatically

Transferring PF money after changing job is now easier than before. Through your unique number linked to Aadhaar, you can maintain more than one PF account at one place. On joining a new job, there will be no need to fill Form-13 to claim EPF money. EPFO has recently issued a new Form-11. With this your previous account will be transferred to the new account.

5. Money will come to the account within an hour

You can withdraw money from your PF account in certain situations. It takes three to four days for this money to reach your account. But the government has started a new facility in view of the Corona epidemic.

Under this, money will come into the account within one hour of application. This facility has been started under medical emergency. Apart from this, you can also withdraw PF money for buying a house, higher education of children or marriage of a girl.

The post EPF interest rate : 8150 rupees will come to the account of PF account holders, understand the formula first appeared on Rightsofemployees.com.

EPFO suffers loss instead of surplus

This information has been given in a news of Indian Express quoting RTI. According to the news, during the financial year 2021-22, EPFO ​​had incurred a loss even after estimating a surplus. It was believed that EPFO ​​would have a surplus of Rs 449.34 crore, whereas it faced a deficit of Rs 197.72 crore. After that, it was decided to reconsider the interest rates being given on PF.

This is the stance of the Finance Ministry on interest.

At present the interest being received on PF is already low. EPFO has fixed the interest rate on PF at 8.15 percent for the financial year 2022-23. The Finance Ministry believes that keeping in mind the losses incurred by EPF, it is necessary to reconsider the interest rate of PF. There is a need to reduce the high interest rates of PF and bring them at par with market rates.

Only this scheme has more interest than PF

At present, if we compare the interest received on PF with the market, it is really higher. Among small savings schemes, there is only one Senior Citizen Savings Scheme, which is currently getting more interest than PF. The interest rate of this scheme is currently 8.20 percent. From Sukanya Samriddhi Yojana to National Savings Certificate (NSC), interest rates on everything are lower than PF. For this reason, the Finance Ministry has been advocating for a long time to reduce PF interest to below 8 percent.

In this way the interest on PF reduced

On the other hand, if we look at the interest already being received on PF, the rates are currently on the lower side. Interest on PF has been continuously reduced. In the financial year 2015-16, the interest rate on PF was reduced from 8.80 percent to 8.70 percent. After protest by trade unions, it was again reduced to 8.80 percent. After that the interest rates on PF kept decreasing and came to a low level of 8.10 percent in 2021-22. In 2022-23, it was increased marginally to 8.15 percent.

EPFO has so many crores of subscribers

PF is the biggest basis of social security for crores of people working in the private sector. This helps in creating a fund for life after retirement. Crores of people have been benefiting from getting good interest on PF. PF money is managed by EPFO ​​i.e. Employees Provident Fund Organization. At present the number of subscribers of EPFO ​​is more than 6 crores.

The post EPF Interest Rate: Shock for crores of people working in private sector, PF interest may reduce. first appeared on Rightsofemployees.com.

The Board CBT of Employees’ Provident Fund Organization (EPFO) had recommended fixing 8.15 per cent interest on EPF for the financial year 2022-23. It has now been approved by the Finance Ministry. EPFO has issued circular in this regard. It is also a matter of happiness that this time EPF account holders will get interest in the account soon. However, last time too, after the approval of the government, there was an intention to pay the interest quickly. But, this could not happen due to system failure. But, this year it will not be delayed.

EPFO will start crediting from August

After getting the approval of the EPF Interest rate, now it is the turn to be credited. According to the officials associated with EPFO, interest will be deposited in the month of August. About 7 crore account holders of EPFO ​​will get its direct benefit. Last time, due to software upgradation, money was delayed in the accounts of the members, but EPFO ​​says that this time it has been fully taken care of.

This is how EPF interest is calculated

Interest calculation is done on the basis of the money deposited in the EPF account every month i.e. monthly running balance. But, it is deposited at the end of the year. According to the rules of EPFO, if any amount has been withdrawn during the year from the balance amount as on the last date of the current financial year, interest for 12 months is deducted from it. EPFO always takes the opening and closing balance of the account. To calculate this, the monthly running balance is added and multiplied by the rate of interest/1200.

Where is the money deposited in EPFO ​​put?

Employees’ Provident Fund Organization (EPFO) invests your money deposited in Provident Fund accounts (EPF account) in many places. A part of the earnings from this investment is given to you in the form of interest. EPFO invests 85% of the total deposits in debt options. These include government securities and bonds. There is a total investment of more than Rs 36,000 crore in this. The remaining 15% is invested in ETFs (Nifty & Sensex). PF interest is decided on the basis of earnings from debt and equity.

When and how much EPF interest was received?

Check your EPF balance like this

You can check the passbook of your PF account to see whether your interest money has come or not. You can either visit the official website of EPFO ​​for this. Or you can also send the message ‘EPFOHO UAN ENG’ to the number 7738299899. 9966044425 is also a number on which PF balance can be checked by sending a missed call. Apart from this, PF account can also be accessed through UMANG app.

Check PF Balance Online (How to check EPF Balance Online)

• Go to the official website of EPFO ​​at epfindia.gov.in .
• Click on the ‘Our Services’ tab. After this select the option of ‘For Employees’.
• When the new page opens, you will have to click on ‘Member Passbook’. Here you have to enter your UAN (Universal Account Number) and password.
• After this you will get passbook open. In this, you will see how much contribution has been made from your employer and your side and how much interest has been received on it. If your interest has been credited by EPFO, it will be reflected in it.

Check balance from App

First of all download Umang App. After that register your phone number and login to the app. Go to ‘Service Directory’ by going to the menu given in the top left corner. Click on EPFO ​​here. Here after going to View Passbook, you can see the balance through your UAN number and OTP.

The post EPF Interest Rate: Great news for 7 crore members, now they will get increased interest, know when will be the credit? first appeared on Rightsofemployees.com.

Government approves 8.15% interest on EPF

There is good news for the employees working in the organized sector. The government has approved the increase in interest rates in PF. The Finance Ministry has approved the 8.15 percent interest rate fixed on EPF for the financial year 2022-23. According to media reports, this time the increased interest amount will start coming into the account of EPF account holders.

Interest will come soon in the account of employees

It has also been said in the circular that the interest money in the account of EPF members should be transferred to their account soon. EPFO’s Central Board of Trustees (CBT) had on March 28 approved interest of 8.15 per cent on this fiscal. In March itself, EPFO ​​had announced to give 8.15 percent interest for the financial year 2022-23 to about 7 crore account holders. EPFO invests the amount deposited in the account of PF account holders in many places. A part of the earnings from this investment is given to the account holders in the form of interest.

Both employee and employer contribute to EPF

Actually, 12% of the basic salary of the employee is deducted for the EPF account. At the same time, a deduction of 12 percent is also made on behalf of the employer ie the company. Of this, 8.33 per cent is contributed to the Employees’ Pension Scheme (EPS), while the remaining 3.67 per cent goes to the EPF.

How much money is deposited in PF – know the method

You can easily find out how much money is deposited in your PF account. For this, you can check PF balance by visiting the official website of EPF, epfindia.gov.in. Whereas, by giving a missed call on 011-22901406 from the number linked to your PF account, you will get PF balance information immediately.

The post EPF interest rate: Great news for crores of employees! EPFO declares EPF interest rate for FY 2022-23 first appeared on Rightsofemployees.com.

In this, information related to three cases has been given. Firstly, what will happen after submitting joint application for higher pension. Secondly, what will happen if there is any mistake in the joint application. Third, what if the joint application is not approved by the employer company?

Will be investigated by field officer

If you also want to apply for more pension, then its last date is 3rd May. According to the circular issued by EPFO, after submitting the Joint Application Form till the last date, it will be scrutinized by the field officer. Once all the documents are completed, the salary details are submitted by the employer. After this it will be verified from the data available with EPFO. After the data is certified, the balance amount will be calculated and an order will be given to transfer it.

One month’s time to give correct information

If the information available with EPFO ​​does not match with the information given by the employer and the employee, then the employer and the employee will be informed by the EPFO. One month’s time will be given to provide correct information. Apart from this, in case the joint application form is not approved by the employer, the employer will be given a chance to provide additional evidence. This opportunity will also be given for one month. Information about this will be given to both employees and pensioners.

The post EPS Pension: Good news for Private employees! Government issued circular for salaried clauses first appeared on Rightsofemployees.com.

The interest amount is going to be transferred soon in the account of PF account holders. EPFO may soon announce the transfer of interest for 2021-22 to the accounts of more than 6.5 crore subscribers. This time the Employees’ Provident Fund Organization (EPFO) will deposit interest at the rate of 8.1 percent in the account of its members.

The amount of which will be directly credited to your PF account. The decision on interest was taken in the last meeting of the Central Board of Trustee of EPFO. After this, the Finance Ministry has also given its consent on this.

Interest is not available on the entire money

Let us tell you that there is a contribution of both the employee and the employer in the Provident Fund account. In this, 24 percent of the basic and dearness allowance is deposited. But you will be surprised to know that the organization does not pay interest on the entire payment. Let us know on which amount the Provident Fund Organization pays the interest amount.

This is how interest is calculated

Your PF gets deposited every month, while the interest is credited on an annual basis. But let us tell you that the calculation of interest is done on a monthly basis. According to the rules of EPFO, if there is any withdrawal on the last date of the financial year, then the interest for 12 months is deducted. The organization always takes the opening and closing balance of the account and accordingly the monthly running balance is added and the rate of interest is multiplied by / 1200.

Check interest with this easy process

You do not need to worry to check interest money in EPFO. There are several ways to check whether the interest amount has been credited to your account. By the way, information about transfer of interest from EPFO ​​​​is given to every subscriber by messaging. But, you can easily get the balance information in the account by sending a message yourself. You just have to type ‘EPFOHO UAN ENG’ on your mobile phone and send it to 7738299899. The last three characters of the message are for the language.

The post EPF Interest Calculation: Good News! PF interest money will come in the account on this day, check this way first appeared on Rightsofemployees.com.

The interest amount is going to be transferred soon in the account of PF account holders. EPFO may soon announce the transfer of interest for 2021-22 to the accounts of more than 6.5 crore subscribers. This time the Employees’ Provident Fund Organization (EPFO) will deposit interest at the rate of 8.1 percent in the account of its members. The amount of which will be directly credited to your PF account. The decision on interest was taken in the last meeting of the Central Board of Trustee of EPFO. After this, the Finance Ministry has also given its consent on this. 

Interest is not available on the entire money

Let us tell you that there is a contribution of both the employee and the employer in the Provident Fund account. In this, 24 percent of the basic and dearness allowance together are deposited. But you will be surprised to know that the organization does not pay interest on the entire payment. Let us know on which amount the Provident Fund Organization pays the interest amount.   

This is how interest is calculated

Your PF gets deposited every month, while the interest is credited on an annual basis. But let us tell you that the calculation of interest is done on a monthly basis. According to the rules of EPFO, if there is any withdrawal on the last date of the financial year, then the interest for 12 months is deducted. The organization always takes the opening and closing balance of the account and accordingly the monthly running balance is added and the rate of interest is multiplied by / 1200.

Check interest with this easy process

You do not need to worry to check interest money in EPFO. There are several ways to check whether the interest amount has been credited to your account. By the way, information about transfer of interest from EPFO ​​​​is given to every subscriber by messaging. But, you can easily get the balance information in the account by sending a message yourself. You just have to type ‘EPFOHO UAN ENG’ on your mobile phone and send it to 7738299899. The last three characters of the message are for the language.

The post Good news for PF account holders on Diwali! Interest money will come in the account, check first appeared on Rightsofemployees.com.

A big update has come regarding Employees’ Provident Fund (EPF). It was being said that the government may soon change the interest rate on EPF. Last month itself, the central government had approved 8.1 percent interest rate on Employees’ Provident Fund (EPFO) deposits for 2021-22. Now the Minister of State for Labor and Employment, Rameswar Teli in Parliament has cleared the government’s stand regarding the change in interest rate. He has given information to the Rajya Sabha in a written reply to a question.

Rameshwar Teli was asked whether the government would reconsider increasing the rate of interest on the amount deposited in EPF. Responding to this, he made it clear that there is no proposal to reconsider the interest rate. Also, Rameshwar Teli told that the interest rate of EPF is higher than the interest rate available on many government schemes. He told that the interest rate of EPF (8.10 percent) is higher than the interest available on Senior Citizen Savings Scheme (7.40 percent) and Sukanya Samriddhi Account Scheme (7.60 percent).

Based on the recommendation of the CBT, the Center in June this year had approved an interest rate of 8.1 per cent on PF deposits for 2021-22. The Minister of State said that the interest rate is dependent on the income received from the investment of EPF. It is distributed only as per the EPF Scheme, 1952.

lowest interest in four decades

Right now the rate of interest on PF is at the lowest level in several decades. EPFO has fixed the rate of interest of PF at 8.1 percent for 2021-22. This is the lowest rate of interest on PF since 1977-78. Earlier in 2020-21, PF was getting interest at the rate of 8.5 percent. There was no change in the PF interest rate in the fiscal year 2020-21 (FY21). Just a year before this, in 2019-20, this interest rate was reduced from 8.65 percent to 8.5 percent.

Where would the PF money be invested?

EPFO invests the amount deposited in the PF account holder’s account at many places. A part of the earnings from this investment is given to the account holders in the form of interest. At present, EPFO ​​invests 85 per cent in debt options. These also include government securities and bonds. The remaining 15 per cent is invested in ETFs. The interest of PF is decided on the basis of earning from debt and equity.

The post EPF Interest Rate: Will the interest rate on EPF increase? check here all details immediately first appeared on Rightsofemployees.com.

In the EPF meeting held in the month of March before Holi, it was decided to reduce the PF interest rate. Earlier it was 8.5 percent, which has now been reduced to 8.1 percent. This rate is the lowest in the last four decades i.e. 40 years. Now the government has also approved keeping the interest rate on EPF at 8.1 percent for 2021-22.

In 1977-78, the EPFO ​​had given an interest of 8 per cent. Since then it has been 8.25 per cent or more. The two-day meeting of EPFO ​​started on Friday, March 11, which ended on March 12, in which it was decided to reduce the interest rate of EPF.

The EPFO ​​had fixed 8.5 percent interest in the financial year 2020-21 and in the previous financial year. Earlier in 2018-19, 8.65 percent interest was given on EPFO. EPFO had paid 8.65 per cent interest in 2016-17 and 2017-18 also. At the same time, the interest rate was 8.8 percent in 2015-16, 8.75 percent in 2013-14 and 2014-15 also.

After getting approval from the government, EPFO ​​will now start adding interest amount to the EPF accounts of the employees. According to the EPFO ​​office order issued on Friday, the Ministry of Labor and Employment has informed about the approval of 8.1 percent interest to EPFO ​​subscribers for 2021-22. The Labor Ministry had sent this proposal to the Finance Ministry for approval.

Trustee KE Raghunathan, who represents the employees in the CBT, said the speed with which the labor and finance ministries have approved the rate of interest, given the need for funds to the employees, is indeed commendable. This will help them to meet the education and other needs of their children.

The post PF New Interest Rate: EPFO made a big changes in the interest rate, see the new rates immediately first appeared on Rightsofemployees.com.

A big update has come regarding Employees’ Provident Fund (EPF). It was being said that the government may soon change the interest rate on EPF. Last month itself, the central government had approved 8.1 percent interest rate on Employees’ Provident Fund (EPFO) deposits for 2021-22. Now the Minister of State for Labor and Employment, Rameswar Teli in Parliament has cleared the government’s stand regarding the change in interest rate. He has given information to the Rajya Sabha in a written answer to a question. 

no proposal for change

Rameshwar Teli was asked whether the government would reconsider increasing the rate of interest on the amount deposited in EPF. Responding to this, he made it clear that there is no proposal to reconsider the interest rate. Also, Rameshwar Teli told that the interest rate of EPF is higher than the interest rate available on many government schemes. He told that the interest rate of EPF (8.10 percent) is higher than the interest available on Senior Citizen Savings Scheme (7.40 percent) and Sukanya Samriddhi Account Scheme (7.60 percent).

Based on the recommendation of the CBT, the Center in June this year had approved an interest rate of 8.1 per cent on PF deposits for 2021-22. The Minister of State said that the interest rate is dependent on the income received from the investment of EPF. It is distributed only as per the EPF Scheme, 1952.

lowest interest in four decades

Right now the interest rate on PF is at the lowest level in several decades. EPFO has fixed the rate of interest of PF at 8.1 percent for 2021-22. This is the lowest rate of interest on PF since 1977-78. Earlier in 2020-21, PF was getting interest at the rate of 8.5 percent. There was no change in the PF interest rate in the fiscal year 2020-21 (FY21). Just a year before this, in 2019-20, this interest rate was reduced from 8.65 percent to 8.5 percent. 

Where would the PF money be invested?

EPFO invests the amount deposited in the PF account holder’s account at many places. A part of the earnings from this investment is given to the account holders in the form of interest. At present, EPFO ​​invests 85 per cent in debt options. These also include government securities and bonds. The remaining 15 per cent is invested in ETFs. The interest of PF is decided on the basis of earning from debt and equity.

The post EPF Interest Rate: Will the interest rate on EPF increase? Government gave big information in Parliament first appeared on Rightsofemployees.com.

These accounts are managed by the Employees’ Provident Fund Organization (EPFO). You can withdraw money from your PF account in difficult times. Although this government scheme has been made for the betterment of the employees, but in the last few years, PF members are suffering. Let’s know how.

Interest rate on reduced PF (EPF Interest Rate)
Actually, interest is given by the government on the amount deposited on the PF account. The employees are waiting for this interest amount. But this interest rate has come down in the last few years. Some time ago the Employees’ Provident Fund Organization reduced the interest rate for the financial year 2021-22 from 8.5 percent to 8.10 percent. This rate is the lowest in the last 40 years. In such a situation, now PF members are getting less benefit than before.

In the last 10 years 
, the interest has reduced so much, if we talk about the last one decade, then the interest has reduced a lot. In the year 2010-11, the government used to put the amount of interest at the rate of 9.50 percent in the account of PF members, but in the very next year, i.e. 2011-12, the interest rate was reduced to 8.25 percent. However, it increased after that. In the year 2012-13, the employees used to get 8.50 per cent interest. It was 8.75 per cent in 2013-14 and 2014-15 and 8.80 per cent in 2015-16. After this, the amount of interest reduced for two consecutive years and became 8.55 percent.

At one time, 12 percent interest was
available in 1952, where the interest rate on PF was only 3 percent, it reached above 6 percent in 1972 and after that it continued to increase every year. It went above 10 per cent for the first time in 1985-86. But the year 1989 to 1999 was the best time for PF members because during this time 12 percent interest was available on PF. But then it started declining.

The post EPF Interest Rate: You are incurring loss from PF! Here is the full details first appeared on Rightsofemployees.com.