About the EPF calculator
The Employees’ Provident Fund (EPF) is a retirement savings scheme run by the EPFO. Each month the employee contributes a share of basic pay and dearness allowance, and the employer contributes too; part of the employer’s share goes to the Employees’ Pension Scheme (EPS) instead of EPF.
How the EPF calculator works
Enter the monthly amounts that actually go into EPF. Interest is worked out on each month’s opening balance at one twelfth of the annual rate and added to the account once a year, which is how EPF interest is credited.
Contributions stay the same for every year; salary increases are not modelled.
Worked example
- Opening EPF balance
- ₹1,00,000
- Monthly employee EPF contribution
- ₹1,800
- Monthly employer EPF contribution
- ₹550
- Assumed annual rate
- 8.25%
- Time period
- 20 years
Example inputs
- Estimated EPF balance
- ₹18,65,110.23
- Opening balance plus contributions
- ₹6,64,000
- Interest credited
- ₹12,01,110.23
Calculated result
Why use a EPF calculator?
- See what your EPF could grow to by retirement.
- Check the effect of a voluntary contribution (VPF).
- Compare the balance on your passbook with an estimate.
EPF calculator FAQs
How much do employee and employer contribute?
Usually 12% of basic pay plus dearness allowance each. Of the employer’s 12%, part goes to EPS, based on wages up to the EPS wage ceiling, and the rest to EPF.
Who sets the EPF interest rate?
The EPFO’s Central Board of Trustees recommends a rate for each financial year, and it applies once the government approves it.
Is EPF interest taxable?
Interest is tax-free in most cases, but interest on employee contributions above a yearly limit is taxable. Withdrawals before five years of continuous service can also be taxed. Check the current rules.
Can I withdraw from EPF before retirement?
Partial withdrawals are allowed for purposes such as housing, education, marriage and illness, and the full balance can be withdrawn after a period of unemployment, under EPFO rules.
What is VPF?
The Voluntary Provident Fund lets an employee contribute more than the required share. It earns the EPF rate. Add it to the employee contribution in the calculator.