EPFO Interest Rate: Seven crore members of EPFO are waiting for the announcement of interest rates. However, according to media reports, currently the Employees’ Provident Fund Organization (EPFO) has been instructed not to announce interest rates without the approval of the Finance Ministry. EPFO announces interest rates for every financial year. Let us know about it in detail.
Employees Provident Fund Organization (EPFO) announces interest rates for every financial year. These are the interest rates at which PF account holders will be given interest on their deposits in the concerned financial year.
But according to media reports, Employees Provident Fund Organization (EPFO) has been instructed not to announce interest rates for the financial year 2023-24. Unless it gets approval from the Finance Ministry. Without the approval of the Finance Ministry, the Central Board of Trustees or CBT of EPFO has been asked not to announce interest rates for the financial year 2023-24.
Is EPFO running in loss?
According to media reports, EPF has gone into loss. EPFO comes under the Ministry of Labor and Employment. Currently EPFO has more than 7 crore subscribers. EPFO manages their Employee Provident Fund and Employee Pension Scheme. Talking about the financial year 2021-22, its surplus was estimated at Rs 449.34 crore. In the same financial year, EPFO has registered a loss of Rs 197.72 crore.
This is how interest is decided
The interest rate of EPF is 8.15 percent for the financial year 2022-23. In the last year i.e. 2021-22 it was 8.10 percent. In this case it is a little more than this. Let us tell you that interest in EPF account is calculated on monthly basis, but the deposit is made at the end of the financial year. The EPF interest rate is determined by the Finance Ministry after every year’s meeting with the CBT of EPFO.
Employees’ Provident Fund Organization (EPFO) has recently issued a new process to update 11 information including name, Aadhaar in the members’ accounts. In the new circular issued by the organization, approval has been given to update name, gender, date of birth, father’s name, relationship, marital status, date of joining, reason for leaving, date of leaving, nationality and Aadhaar number.