EPF Contribution Calculator

Calculate the exact monthly Employee Provident Fund (EPF) and Pension Scheme (EPS) splits.

Updated: FY 2024-25  |  Latest EPFO Rules

Salary Details

Only include Basic Pay and Dearness Allowance. Exclude HRA, Allowances, etc.
Note: Under EPF rules, the employer’s share to the Pension Scheme (EPS) is legally capped at 8.33% of ₹15,000 (i.e. Max ₹1,250), regardless of actual salary.

Monthly Contribution Summary

Employee Contribution (12%)

Goes to EPF Account

₹ 3,000

Employer Contribution (12%)

Goes to EPF (3.67%)

₹ 1,750

Goes to Pension/EPS (8.33%)

₹ 1,250

Total Monthly Accrual

₹ 6,000

Yearly Estimate
₹ 72,000

EPF Contribution Rules Explained

The Employees' Provident Fund (EPF) is a compulsory retirement savings scheme for salaried employees in India. Any company with more than 20 employees must register with the EPFO. Both the employee and the employer contribute 12% of the employee's basic salary (plus dearness allowance, if any) every month.

Employee (12%)

The entire 12% deducted from your in-hand salary goes straight into your EPF account.

Employer (12%)

The employer's 12% is split: 3.67% goes to your EPF, and 8.33% goes to the EPS (Pension Scheme).

The ₹15,000 Cap Rule

For employees earning more than ₹15,000 in Basic Pay, the EPF rules allow the employer to cap the contribution calculations strictly to ₹15,000. Under this ceiling, the maximum monthly PF deduction is fixed at ₹1,800.

Regardless of what the employee chooses, the employer's contribution to the Pension Scheme (EPS) is legally capped at a maximum of ₹1,250 per month.

Complete EPF Contribution Breakdown

Total employer cost = 13.61% of Basic+DA (12% PF + 0.5% EDLI + 0.5% Admin + 0.61% Admin on EPS)

ComponentBy WhomRateGoes To
EPFEmployee12%EPF Account
EPFEmployer3.67%EPF Account
EPS (Pension)Employer8.33%*Pension Fund
EDLI (Insurance)Employer0.50%Life Insurance
EPF AdminEmployer0.50%EPFO Admin
Total Employee Cost~13%—

* EPS contribution capped at ₹1,250/month (8.33% of ₹15,000 ceiling)

EPF Interest Rate — Recent History
Financial YearInterest Rate
FY 2023-24 (Latest)8.25%
FY 2022-238.15%
FY 2021-228.10%
FY 2020-218.50%
FY 2019-208.50%

EPF vs NPS vs PPF — Comparison

FeatureEPFNPSPPF
EligibilitySalaried (20+ emp co.)All citizensAll citizens
Contribution12% mandatoryVoluntary₹500–₹1.5L/yr
Employer MatchYes (12%)10% (Govt/Pvt)No
Interest/Return8.25% fixedMarket-linked7.1% (Q1 FY26)
Lock-in PeriodTill retirementTill 60 yrs15 years
Premature ExitAfter 2 months UEPartial allowedAfter 5 yrs (partial)
Tax on WithdrawalTax-free (5+ yrs)40% annuity taxedFully tax-free
80C DeductionYes80CCD(1B) extraYes
Best ForSalaried employeesMarket exposureSelf-employed
EPF Withdrawal Rules
 

Retirement (58 yrs): Full EPF + EPS pension. Tax-free after 5 years of service.

 

Resignation / Unemployment: 75% after 1 month, 100% after 2 months unemployment.

 

Medical Emergency: Up to 6× monthly wages. No service condition.

 

Home Purchase/Construction: Up to 90% of EPF. Needs 5 years of service.

 

Marriage / Education: Up to 50% of employee's share. Needs 7 years of service.

Frequently Asked Questions

EPF (Employee Provident Fund) is a retirement savings scheme managed by EPFO. It's mandatory for organizations with 20+ employees. Both employer and employee contribute 12% of basic salary (up to ₹15,000 for employer's EPS). The current EPF interest rate is 8.25% (FY 2023-24).
From the employer's 12% contribution, 8.33% goes to EPS (Employee Pension Scheme) — capped at ₹1,250/month — and 3.67% to the EPF account. EPS provides a monthly pension after retirement (minimum 10 years of service required). EPF is a lump-sum corpus you can withdraw on retirement or resignation.
Partial withdrawal is allowed for specific purposes: home purchase/construction (up to 90%, 5 yrs service), medical emergency (up to 6× wages, no condition), education/marriage (up to 50%, 7 yrs service). Full withdrawal is allowed after 2 months of continuous unemployment. Early withdrawal before 5 years of service attracts TDS at 10%.
EPF interest on employee contributions up to ₹2.5 lakh/year is tax-free. Interest on the portion of contributions exceeding ₹2.5 lakh/year is taxable at your income tax slab rate. The entire EPF corpus withdrawn after 5 years of continuous service is tax-free under Section 10(12).
EPF interest is calculated monthly on the running balance but credited annually at the end of the financial year. Formula: Monthly Interest = (Opening Balance + Monthly Contribution) × Annual Rate ÷ 12. At 8.25%, ₹3,000/month contribution for 10 years grows to approx ₹5.6 Lakhs including interest.
UAN (Universal Account Number) is a 12-digit permanent number allotted by EPFO to every EPF member. It stays the same throughout your career — even when you change jobs. Your new employer links their PF account under your same UAN. You can transfer EPF online via the EPFO portal using UAN without any paperwork.
VPF (Voluntary Provident Fund) lets you contribute more than the mandatory 12%. You can contribute up to 100% of your basic+DA to your EPF account voluntarily. VPF earns the same interest as EPF (8.25%) and qualifies for 80C deduction. The employer is NOT required to match VPF contributions.
EDLI (Employees' Deposit Linked Insurance) provides life insurance to EPF members at no extra cost to the employee. The employer pays 0.5% of basic (capped at ₹15,000) as EDLI premium. On the death of an EPF member during active service, the nominee receives up to ₹7 Lakhs as insurance benefit. Minimum assured benefit is ₹2.5 Lakhs.
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