EPF Calculator

Employee Provident Fund Calculator. Estimate your retirement corpus.

Yr
%

Current EPF Interest Rate: 8.25% p.a.

EPFO · verified 2026-06-30

EPF Summary (at Age 58)

Your Contribution

₹57,64,592

Employer Cont.

₹17,63,004

Estimated Maturity Amount

₹2,77,53,194

How the EPF Calculator works

Reviewed by Dinesh Babu · Last updated July 2026

The Employees' Provident Fund (EPF) is a mandatory retirement scheme for most salaried employees. You contribute 12% of your basic salary plus dearness allowance (DA) every month, and your employer contributes a matching 12%. It earns 8.25% per annum for FY 2025-26, declared and credited once a year by the EPFO. This calculator projects your corpus at retirement, factoring in annual salary growth.

The employer's 12% is not fully added to your EPF: 8.33% (capped at the ₹15,000 wage ceiling, i.e. up to ₹1,250) goes to the Employees' Pension Scheme (EPS), and only the remaining 3.67% goes into your EPF account alongside your own 12%. So the amount actually building your EPF balance is your 12% plus roughly 3.67% from the employer.

The statutory wage ceiling is ₹15,000, meaning the EPS pension portion is legally required only up to that. Many employers, however, calculate the full 12% on your actual (higher) basic, which builds a larger EPF corpus for you.

Monthly EPF contribution split

You: 12% of (basic+DA) → EPF · Employer: 3.67% → EPF, 8.33% → EPS pension

EPS share is capped at 8.33% of ₹15,000 = ₹1,250/month. Interest of 8.25% p.a. is credited yearly on the EPF balance.

The ₹2.5 lakh taxable-interest rule

Since FY 2021-22, if your own EPF contribution in a year exceeds ₹2.5 lakh, the interest earned on the excess is taxable. This mainly affects high earners and those making large Voluntary Provident Fund (VPF) top-ups. Below ₹2.5 lakh of self-contribution, EPF interest remains tax-free.

EEE status and the 5-year rule

  • EPF is EEE if you stay contributing for 5 or more continuous years — deposit deductible under 80C, interest tax-free, withdrawal tax-free.
  • Withdrawing the full balance before 5 years of service makes it taxable, and TDS may apply.
  • Transferring (not withdrawing) your EPF when you change jobs preserves the continuity and the tax-free status.
EPF vs PPF at a glance
FeatureEPFPPF
Interest (FY 25-26)8.25%7.1%
Contribution12% of basic + employer matchYou choose, ₹500–₹1.5 lakh/yr
Employer contributes?Yes, 12%No
AccessSalaried employees onlyAny resident individual
Lock-inUntil retirement/exit15 years

₹30,000 basic, contributions in year one

On a ₹30,000 basic, you contribute ₹3,600/month (12%). The employer's EPS share is capped at ₹1,250, so ₹3,600 − 1,250 = ₹2,350 goes to your EPF from the employer. Together about ₹5,950/month, or ₹71,400 a year, flows into your EPF before interest.

Long-run corpus

Starting at ₹30,000 basic with combined EPF inflow around ₹5,950/month, a 7% annual salary growth and 8.25% interest, a 30-year career can build a corpus in the region of ₹1.8–2.2 crore — the exact figure depends heavily on your salary growth assumption.

Common mistakes to avoid

  • Withdrawing the full EPF when switching jobs instead of transferring it — this breaks the 5-year continuity and can make it taxable.
  • Assuming the employer's full 12% is added to your EPF — 8.33% (up to ₹1,250) actually goes to the EPS pension.
  • Ignoring that self-contributions above ₹2.5 lakh a year earn taxable interest.
  • Not linking your Aadhaar and UAN, which delays claims and interest crediting.

Frequently asked questions

What is the current EPF interest rate?+

For FY 2025-26 the EPFO has declared 8.25% per annum. It is decided each year by the EPFO's Central Board and credited to accounts once a year, so it can differ from year to year.

How is the EPF contribution split?+

You contribute 12% of basic + DA, all of which goes to EPF. The employer also contributes 12%, but 8.33% (capped at ₹1,250, based on the ₹15,000 ceiling) goes to the EPS pension scheme and only 3.67% goes into your EPF.

What is the ₹15,000 wage ceiling?+

It is the statutory minimum basis for EPS contributions — the pension portion is legally required only up to ₹15,000 of wages. Many employers still compute EPF on your actual, higher basic, which grows your corpus faster.

Is EPF taxable?+

Largely no — EPF is EEE if you complete 5 continuous years of service. However, interest on your own contributions above ₹2.5 lakh in a year is taxable, and full withdrawal before 5 years of service can attract tax and TDS.

Can I withdraw EPF before retirement?+

Yes, partial (advance) withdrawals are allowed for specific needs like buying a house, medical treatment, marriage or education, subject to conditions. Full withdrawal is normally at retirement or after a stretch of unemployment.

What is VPF and should I use it?+

The Voluntary Provident Fund lets you contribute more than the mandatory 12% to EPF, earning the same 8.25%. It is attractive for the guaranteed tax-free return, but remember interest on total self-contributions above ₹2.5 lakh a year becomes taxable.

What happens to my EPF when I change jobs?+

Transfer it to your new employer's account using your UAN rather than withdrawing. Transferring keeps your service continuous, protects the 5-year tax-free rule, and keeps the corpus compounding.

What is the difference between EPF and EPS?+

EPF is your provident fund lump-sum corpus (your 12% plus the employer's 3.67%). EPS is a pension scheme funded by the employer's 8.33% share; it pays a monthly pension after retirement rather than a lump sum, subject to eligibility.

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