The EPFO could make a big gift to its 60 million members by the end of this month. Employees’ Provident Fund, EPFO, may pay 8.50% interest on EPF for the year 2019-20 at the end of this year. Earlier, in September, under the chairmanship of Labor Minister Santosh Gangwar, the Employees Provident Fund decided to split the interest at its trustee meeting by 8.5 per cent into two installments – 8.15 per cent and 0.35 per cent. Sources at PTI told PTI that the Labor Ministry had earlier this month proposed to raise the interest rate on the EPF to 8.5 per cent by 2019-20.
The source said, “The approval of the Ministry of Finance is likely to take place within a few days. Sources said the finance ministry had sought some clarification on interest rates in the previous financial year. In March this year, at a meeting of the central trustees of the EPFO’s highest decision-making body, Labor Minister Santosh Gangwar approved an 8.5 per cent interest rate for the EPF for 2019-20.
This way the EPFO will add interest to your PF balance, learn the full details
At the Virtual CBT meeting in September, the EPFO decided to honor its commitment to pay 8.5% interest rate in the previous fiscal year, while CBT raised the interest rate to 8.15% in two installments and 0.35% in two installments. Divided into that. The Ministry of Labor described the CBT as “reviewing the interest rate agenda and recommending a similar rate of 8.50 per cent to the central government, taking into account the unusual circumstances arising from Kovid-19.”
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It is subject to their redemption of 8.15 per cent (8.5 per cent interest) on loan income and 0.35 per cent (capital gains) as of December 31, 2020 on the sale of ETFs (exchange traded funds). “The situation is better than expected because the benchmark indexes from the market are at record highs, so crediting the entire 8.5 percent at once should not be a problem.
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