PF Money | EPF Monthly Contribution | EPF Interest Rate August 2018 – If you are working and contribute in EPF from your salary, then you can double your fund’s money or even more. Today in this article, we’ll cover some of the major points that much of the PF members forget and then they lose the chance to enjoy the benefits under Employees Provident Fund Organisation.
Updated – August 2018
You can do this by taking advantage of the Employee Provident Fund Organization. At present, EPFO is giving
8.65 8.55 percent annual returns on PF.
According to the Employees Provident Fund, any member of the EPFO can increase his monthly contribution in PF. It can also be 100 percent of basic salary. Every month employee’s 12 percent basic salary and DA goes to PF. The company’s contribution is also 12 percent.
PF Contribution With Example
Suppose, A 30-year-old youth works in the private sector and he continues work for an organisation for 28 years. Now, his basic salary goes up to Rs 15,000 and 12 percent of basic salary percentage goes to PF. On the other hand, 3.16% of the company’s contribution goes to his PF fund and rest goes to his EPS. The current interest rate on PF is
8.65 8.55%. If Salary is to increase by 10 percent every year, then in 28 years, its total PF fund will be around 1 crore 24 lakh.
Note: The current calculation is based on the previous interest rate. EPFO cuts Interest rate on EPF deposits to 8.55% for 2017-18 from 8.65% for 2016-17.
How PF Will Double My Money?
If the EPF member increases his monthly contribution of basic salaries from 12 percent to 24 percent, then his PF fund will double. Apart from this, the benefit of compounding will release, so that the fund will grow faster.
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