Epf sms what is ee, er how much on withdrawal from epf 9gag wiki

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“ I am working in ABC company since 2008. gas zombies On Checking my PF on website SMS shows EE amt : 47631 & ER amt: 14571.( account updated 31/03/2014). If today I leave job how much would I get from PF” or “I checked my EPF account, EE & ER should be same but it is showing me different amount? ” Why is it so? This article gives an overview of Employee Provident Fund (EPF), how to check EPF balance, decodes the EPF SMS one gets on checking, What is EE, What is ER? Basics of EPF

Employee Provident Fund (EPF) is an integral part of earning for all working professional in India. Most of the employees(government and private) save a small fraction of their salary through EPF, which is automatically debited from their salary and credited to their EPF accounts by their employer. The Employees’ Provident Fund (EPF) managed by the Employees’ Provident Fund Organisation (EPFO) ensures that an individual puts away enough for retirement every month. With 12% of his basic salary and a matching contribution by his employer, a subscriber to the EPF should be able to accumulate a decent amount by the time he retires. gaston yla agrupacion santa fe 2016 For example If someone started working at the age of 25 in April 2000 at a basic salary of Rs 20,000 a month and got a raise of 10% every year, he would roughly have accumulated Rs 32 lakh in his PF account by now. If the trend continues, he would have saved about Rs 2.46 crore by the time he is 55 years old and more than Rs 3.5 crore of tax-free money on retirement at 58. electricity dance moms choreography Let’s go over the basic facts of EPF .

• 8.33% out of the total 12% of the employers contribution is diverted to the EPS or pension scheme and the balance 3.67% is invested in PF. However, if the basic pay of an employee exceeds Rs. 6,500 per month, the contribution towards pension scheme is restricted to 8.33% of Rs. 6,500 (i.e. Rs. 541 per month) and the balance of employers contribution goes into EPF. EPFO has now raised the eligibility ceiling for EPS to Rs 15,000 a month.

As Employer’s contribution goes towards EPS, Employer’s share in EPF will be less than EE or Employee Contribution in EPF. It’s only 541 Rs a month you may think. electricity rates el paso But the monthly contribution of Rs 541 can grow into a huge amount over the long-term. Even at a modest interest rate of 8%, this tiny amount can burgeon into Rs 12.41 lakh in 35 years. So that’s what you are missing out because of EPS. Sample of EPF passbook which shows monthly contribution of Employee, Employer and how it is split into Pension fund and Provident Fund,how interest is added to Employee Contribution and Employer Contribution but not to EPS. h gas l gas Image below shows, parts from EPF passbook. You can see the transaction date, the date on which contribution was made in your EPF account, when the EPF account was update, details or Particulars like Contribution was for which month (12013 means 1st month of 2013 or Jan 2013), how much was employee’s contribution, how much was Employer’s contribution in EPF and Employer’s contribution in EPS . Employer’s share in EPF + Pension Fund is usually equal to Employee’s share.