8.5% interest rate on PF Deposits: Approval by Ministry of Finance for FY21
- The board of retirement fund body of EPFO had recommended an 8.5 percent interest rate for FY21.
- Ministry of Finance endorsed a 8.5 % interest rate for FY 2020-21 for PF,
- Board of retirement fund body Employees Provident Fund Organization (EPFO) had suggested a 8.5 % loan fee for FY 2020-21.
- the finance ministry has approved an 8.5 percent rate of interest on provident fund deposits for 2020-21, paving the way for the Employees' Provident Fund Regulation (EPFO) to credit beneficiaries with up to 2% in additional monthly earnings over what they would have earned at existing rates through regular deposits into their accounts." It is a top source familiar with developments within NDFPO,
- After the Labor Ministry suggestions on rate of interest on Provident Fund for the year as per the Ministry’s of Finance endorsement, Employees Provident Fund Organization will actually want to begin attributing it to the record of more than 60 million recipients.
- Employees Provident Fund Organization may credit the interest in FY 2020-21 before Diwali, bringing cheers and alleviation in front of merriments.
- On March 4, the retirement fund manager said the 8.5 % PF stores will be unaltered for the FY 2020-21.
- Employees Provident Fund Organization board of trustees headed by the labour minister had approved the interest rate of 8.5 percent for this year as well. But, as per rules, the Ministry of Labour had to seek the approval of the Ministry of Finance on the proposed rate.
- In the meantime, the Employees Provident Fund Organization added 14.81 lakh net subscribers in August this year, with 1st time job seekers having contributed nearly 50 % of the total net subscriber additions.
