Rate Of Interest For PF Account - Provident Fund
CiteLegal
 
HOME RISE NEW ABOUT LOGIN
Home > Human Resource Section > Employee Compensation & Benefits

Rate Of Interest For PF Account - Provident Fund

mridula.parihar Started The Discussion:

Hi All, I have to enquire about PF interest Rate. Can anyone please tell me whats the annual rate of interest for a PF account.

muninder - Member Since: Dec 2007
hi,

please refer this link:

Employees’ Provident Fund rate will not change in financial year 2009-2010 | Tax Guru


Muninder

G1976 - Member Since: May 2010
EPF interest rate remains unchanged at 8.5% for 2009. Kindly refer link.

EPF interest rate remains unchanged at 8.5%-Savings News-Savings Centre-Personal Finance-The Economic Times

Thanks,

GK

shils37 - Member Since: Jan 2010
Hi,

The PF contribution is 12% of Basic salary from both employee and employer. For the calculation the maximum limit of Basic is Rs 6500/-. It means even if the employee's basic salary is above Rs 6500/- the employer is liable to contribute only on Rs 6500/-, that is Rs 780.
However if an employee so desires he may voluntarily contribute more than 12%. Apart from it an employer also has to pay some administration charges. I explain you the various accounts of PF challan.

A/c No 1: PF contribution Account
A/c No 2: PF Admin account
A/c No 10: EPS account
A/c No 21: EDLIS account
A/c No 22: EDLIS admin account

PF admin charge = Employer has to pay 1.1 % of basic
EDLIS: Employer has to pay 0.5% of basic
EDLIS admin charge:Employer has to pay 0.01% of basic

Total additional percentage employer has to pay: 1.61% of basic

So employer has actually to pay 13.61 % of Basic and employee has to pay only 12% of basic.

Employees complete 12% goes to PF account to with draw, while employer contributions' 8.33% goes to Pension fund and 3.67% goes to PF fund.

Hope that helps!
Regards,
Shilpa

Dr.G.P.Kimothi - Member Since: May 2010
The gentle man ask you, what is the interest rate of PF Iprovident fund) account, not contribution of PF.

Dr.G.P.Kimothi - Member Since: May 2010
Hi All, I have to enquire about PF interest Rate. Can anyone please tell me whats the annual rate of interest for a PF account.

seahorse - Member Since: Jul 2009
Hai, PF Annual interest may vary from year to year and that will be decided by the Central Government. This year i.e., for 2009 - 2010 the interest rate will be 8.5%. P. Karunakaran

Ravster - Member Since: Jan 2009
Quote:
Originally Posted by shils37 View Post
Hi,

The PF contribution is 12% of Basic salary from both employee and employer. For the calculation the maximum limit of Basic is Rs 6500/-. It means even if the employee's basic salary is above Rs 6500/- the employer is liable to contribute only on Rs 6500/-, that is Rs 780.
However if an employee so desires he may voluntarily contribute more than 12%. Apart from it an employer also has to pay some administration charges. I explain you the various accounts of PF challan.

A/c No 1: PF contribution Account
A/c No 2: PF Admin account
A/c No 10: EPS account
A/c No 21: EDLIS account
A/c No 22: EDLIS admin account

PF admin charge = Employer has to pay 1.1 % of basic
EDLIS: Employer has to pay 0.5% of basic
EDLIS admin charge:Employer has to pay 0.01% of basic

Total additional percentage employer has to pay: 1.61% of basic

So employer has actually to pay 13.61 % of Basic and employee has to pay only 12% of basic.

Employees complete 12% goes to PF account to with draw, while employer contributions' 8.33% goes to Pension fund and 3.67% goes to PF fund.

Hope that helps!
Regards,
Shilpa

Hi Shilpa!

Thanks for the information..
I was asked this question in my interview, what are the administrative charges for provident fund.. I could not answer, but now I know after reading your post..

Thanks

Ravi

Ravster - Member Since: Jan 2009
Hi Shilpa! I want to ask one question regarding employer contribution. 8.33% which goes to Pension fund, when does one get that amount.. Thanks Ravi

anjireddy - Member Since: Oct 2007
Dear Friend, As per Annual Account Statement interest rate for the year of 2009-2010 is 8.5%. with regards naresh



Found This Useful? +Vote Up This Page Via Google.  

Why Vote? User validation is extremely important for good content to prosper.
Disclaimer: This network and the advice provided in good faith by our members only facilitates as a direction towards the actions necessary. The advice should be validated by proper consultation with a certified professional. The network or the members providing advice cannot be held liable for any consequences, under any circumstances.






Explore Topical Knowledge Areas

Interesting Relevant Discussions


DISCUSSSION STATISTICS


4096
VIEWS

13
REPLIES

PLEASE KEEP YOUR CONDUCT PROFESSIONAL AND POLITE


3M Users, 100K+ Documents & 450K+ Discussions

Share »

Community Support & Professional Insights. Login or Register.
Email/Username     Password  

About Us - Advertise - Contact Us - RSS   On Google+  
All trademarks and copyrights held by respective owners. Member comments are owned by the poster.
Privacy Policy | Disclaimer | Terms Of Service
Facebook Page | Follow Us On Twitter | Linkedin Network