Investment in pf
The PF scheme was started by the central government to work for private sector. In this scheme, such government employees can also invest. However, it was designed by EPFO especially for employees working in private sector. In this scheme, 12 percent of the employee’s salary is deposited in the PF scheme and the company itself deposits the same money itself. Let us tell you that if someone has a salary of 50 thousand rupees, then how will he become a fund of 5 crore rupees from this scheme.
On behalf of EPFO, the PF scheme has been designed to be the support of old age of people working in the private sector. In this scheme, the fund is cut off from the salary of the employee, in which a contribution of 12 percent is deducted from the salary of the employee and the fund company itself puts the same in the PF account. In this, interest is decided by EPFO.
PF interest on PF
The interest rate on PF has been revised by EPFO. Earlier, an interest of 8.15 percent was offered annually on PF by Karmachari Provident Fund Organization, which has now been increased to 8.25 percent towards the department.
This is calculation
If you work in a company where there are more than 20 employees, then according to the rules of the government, the company will invest in PF funds. Now suppose that your month’s basic salary is 50 thousand rupees and you start working from the age of 30, according to the Rule of EPFO, the company will put 12 percent of your salary in PF and deposit the same as it itself. Along with this, the salary increases by 10 percent annually, then after retirement of 8.25 percent, after retirement i.e. after 58 years, you will have more than Rs 5 crore. Your total fund will be Rs 5,13,74,057.