Provident fund is something that you will receive after your retirement. Most of the government and private companies do offer a retirement plan for their long-time workers. For example, if a worker gets retired at the age of 60, then the worker will receive some of the amounts as provident fund every month from the government or any private company. Check simple steps to EPF Calculator below.
However, there only some private companies which do offer a pension scheme to its employees. Otherwise, the government sector is useful if you are looking to get a pension after your retirement. Government employees do enjoy the security availing pension, and we know most of the private companies do not offer such kind of schemes.
Benefits of PF:
There are some benefits you can avail by receiving a provident fund from the government or any private sector.
- You can nominate any family person for receiving provident funds.
- You do not need to work for getting PF. You will get a fixed income every month.
- It allows you to invest 12% of your income to volunteer provident fund.
- It is not recommended though, but if you do not have any other earning option, then you should join it.
- You can’t withdraw before 60 days.
- You can withdraw early in case of any serious emergency.
How to Calculate PF Amount Salaried Government & Private Employees?
It is required to calculate early for getting the exact amount you are going to receive after your retirement. It gives us an approximate idea. We already mentioned above that most of the private companies do not offer pensions scheme, but if you belong to such company and getting PF scheme as well, then there is no doubt you can calculate the provident fund amount.
You Must Read – EPF Member Login Guide.
In 2019, some of the government sectors do not offer a pension scheme anymore, but if you are under the industry where you are getting provident fund scheme, then you can also calculate the amount of PF.
EPF Calculator Steps:
- There is some calculator but to be the instance. You need to get your exact age first.
- Second, your total monthly salary.
- Third, your contribution to the EPF scheme.
- Retirement age.
- The last one is the Interest Rate. Let us show you by example.
Example: If your age is 60 and you are getting 10000 of total salary each month. Then according to the new scheme of 8% something interest on PF you will receive a total of 16,43,156 as the provident fund.
How to Check PF Balance?
- You need to go to your company or government based portal first.
- Enter your regional office location.
- Enter all the required details in your payment slip and click on submit.
- Therefore, After a few minutes once the documents and other details are verified. You will get balance details of your PF via SMS.
Provident fund is one of the excellent pension schemes by the government and the private sectors. The rate interest of provident fund is around 8.65% something in 2019. It is the scheme where you will receive a fund every month without any work after getting retired.
What did we learn?