🔍
PF interest rate हुई 5 सालों में सबसे कम | EPF interest calculation with full information - YouTube
Channel: unknown
[0]
Welcome to the new video of Labour Law Advisor.
[3]
You must know that the benefit of
[6]
the interest rate on EPF is that
[8]
it is more than other interest rates.
[10]
That means it is more than savings and fixed deposits.
[13]
So, today in this video we'll tell you about
[16]
all the things related to interest
[18]
So, keep watching this video.
[19]
Subscribe to our channel and press the bell icon.
[23]
So that you don't miss such important videos.
[26]
So, friends let's move to the first question.
[28]
The first question is that what is the interest rate in EPF?
[31]
So, the interest rate in EPF this year is 8.55%
[36]
Last year this interest rate was 8.65%
[39]
and in the last five years, this is the lowest interest rate.
[42]
Even after being the lowest,
[43]
it is more than most of the interest rates.
[46]
The second question is that
[48]
in which accounts do you get EPF interest?
[52]
You'll get the EPF interest only in the EPF accounts.
[55]
That means you'll get it in the provident fund account
[57]
and not in the pension account.
[59]
So, the 12% that is deducted from your salary
[62]
and the 3.67% that the employer contributes
[65]
This total of 15.67% is the EPF interest that you get on your salary.
[71]
We are showing an example on the screen.
[74]
In this, the interest goes only in EPF account
[76]
and not in the pension account.
[80]
The third big question is that
[83]
when does this EPF interest gets credited?
[87]
So, this generally gets credited by April/May
[91]
but this year it has been delayed in June.
[94]
And in the comments too a lot of people have asked.
[95]
It hasn't been done yet.
[96]
So you'll have to wait for this.
[99]
As soon as we get updates we'll make videos and tell you about it.
[102]
Fourth question that everyone asks is that
[104]
how long do we get this interest after quitting a job?
[109]
So the answer for this is that
[110]
After quitting you'll get the EPF interest for 36 months i.e. 3 years.
[116]
After that, if you join a new job then
[119]
it will continue or else it will stop.
[121]
And the fifth topic is that
[123]
how is interest calculated?
[125]
So that you can know how much money
[127]
you'll get this year or every year in the interest.
[130]
This interest gets calculated monthly.
[134]
But this doesn't get credited to your account on monthly basis.
[136]
It gets calculated every month
[138]
and is credited all together at the end of the year.
[142]
We'll explain this to you in detail in an excel sheet.
[145]
So let's move towards the tutorial.
[147]
[Intro Music]
[155]
>> RISHABH: So let's understand through this sheet
[157]
that how interest is calculated.
[160]
The person that I am considering as an example
[161]
lets consider that his basic wage is Rs 10,000.
[163]
And I am also considering that he took no leave in a month.
[166]
So that there is no difference in the PF amount.
[168]
You can fill the amount in your passbook in this excel sheet.
[173]
And don't worry friends,
[175]
I'll add the link to this excel sheet in the description below.
[177]
You can download this from there and can use it.
[180]
The financial year that I have used is 2017-18.
[184]
For which you already know the interest rates i.e. 8.55%
[187]
As we told you in the first part that
[189]
you only get interest rate on the PF fund
[192]
The PF fund is the total of 12% of your contribution
[195]
plus 3.67% of employer contribution.
[198]
It is made from the total of 15.67%.
[201]
So, every month Rs 1200 is being deducted from the employee's PF fund.
[205]
And Rs 367 is being deposited additionally by the employer.
[208]
So, in total Rs 1567 is being added to the PF fund every month.
[213]
Now, you'll get interest on this.
[214]
You won't get interest on the remaining 8.33% of EPS.
[220]
Now as I told you that this interest gets calculated every month
[224]
but it gets credited once a year after 31st march.
[227]
So, how is it calculated every month?
[229]
As you know that the interest rate of 2017-18 is 8.55%
[235]
So the formula of closing balance is
[240]
Add this month's PF to the previous month's PF.
[243]
This 1567 (1200 + 367)
[246]
Let's consider that he didn't have any account previously
[249]
he has joined in April 2017.
[251]
After that in May, add last month's 1200 + 367
[255]
The result is Rs 3134.
[257]
Like this, the closing balance keeps adding on.
[258]
So, I have used such formula.
[260]
Upper value plus these two.
[262]
Now, what is the monthly interest on this?
[263]
This month's closing was Rs 1567
[266]
1567 into 8.55% divided by 12
[270]
because there are 12 months in a year.
[272]
So, this interest came out.
[273]
Now, next month as closing balance is Rs 3134
[276]
You can see that almost twice the interest has been generated.
[279]
So, as your PF amount keeps on increasing
[282]
the more your interest will increase.
[283]
That means in first year
[285]
if you contribute for 1 year then
[287]
your calculated PF interest is Rs 870.
[291]
And you are seeing your PF amount here.
[293]
That is Rs 18,804
[295]
On that you get Rs 870 as PF interest.
[298]
That means after this year you take out your PF's money
[302]
then you'll get Rs 18,804 + Rs 870.
[306]
In this obviously, your TDS will get deducted.
[310]
That you can claim by filing a return
[313]
if you are not under the taxable limit.
[315]
So, overall you'll get this much money.
[317]
Friends, we are adding this excel in the link below.
[319]
If you want to download and use it then you are most welcome.
[328]
If you liked this video then subscribe to our channel.
[332]
And share this video with those people
[334]
who are covered under PF.
[336]
Thank you for watching.
[337]
Signing out Rishabh and Mandeep.
[338]
[Outro Music]
Most Recent Videos:
You can go back to the homepage right here: Homepage