EPF balance check is simple. Now you can also calculate Employees Provident Fund balance. In addition it is easy to calculate EPF interest rate. However for this you should know some rules. On other hand you should know what is EPF interest. And how to calculate it. Therefore you read to know about it.
What is EPF interest? How to calculate EPF interest rate
EPF full form is Employees Provident Fund. Moreover you can calculate EPF interest easily. In addition EPF interest is combination of two things. While these are contributions of employee. Additionally there is contribution of employer also. You can now know more about these contributions here. Know you EPF balance online, track EPF balance online mode.
Specification of contributions to EPF
First one is that there is contribution of employee. Moreover it is 12% of Employee Basic Pay. Even it is 12% of Dearness Allowance or DA.
In addition if Basic Pay and DA is equal to or less than Rs. 15, 000. Then employee contribution is 12%. However this is only 12% of Basic Pay + DA. On other hand 3.67% is employer contribution of DA + Basic Pay.
Methods to find EPF balance and interest rate
Apart from above things. There are three methods. And because of these methods. You can check contribution to EPF account. Moreover this applies only some times. It applies when income is more than Rs. 15, 000.
Further employer can select any one method. But many people pick only the first method. You can keep reading. Because you will know calculating EPF interest and balance methods.
Below there is an example. This example helps you to understand calculation of EPF balance. Additionally it is simple to calculate EPF interest also.
Example to calculate EPF balance and interest rate
Thus you know employee and employer contribution. However this contribution is only for EPF account.
Points to remember
- Calculation of interest happens easily
- But it happens only after you know contribution amount
- Moreover you know what is contribution
- And this is for both employee and employer
- Furthermore calculation of interest based on opening balance
- While opening balance is for every month
- Thus you know interest rate on EPF balance
- Where this step continues till the end
You can now check formula. Because you use this formula to know EPF balance of year. You can also use EPF balance for medical treatment. Or buy house or property with EPF housing loan scheme 2017.
Formula to check EPF balance is as follows –
 Withdraw EPF balance
Apart from above things. You can also withdraw EPF balance. But it is only when you are 58 years old. Moreover you can withdraw about 90% of EPF corpus. However this is only when you are 57 years old.
Besides it became simple process. So you can withdraw EPF balance online offline. In addition this process is useful. Hence you can calculate EPF balance and interest.