8.65 Per Cent rate of interest notified for EPFO Subscribers
The government has approved 8.65 per cent interest rate on employees provident fund for 2018-19. This will be credited into the accounts of over 60 million subscribers of EPFO. The government had approved an interest rate of 8.55 per cent for 201-18.
Central Board of Trustees Recommendation
The Central Board of Trustees which is the apex decision-making body of EPFO had decided to raise the interest rate on EPF to 8.65% for the year 2018-19.
Under the provisions of EPF Act of 1952, interest must be credited to the member’s account on monthly running balances with effect from the last day of each year .i.e. the interest for the financial year should, in practice, get credited to EPFO subscribers account on 31 March. Till the time interest is credited to the account, the amount will not get compound interest.
Employees’ Provident Fund Organisation
Employees’ Provident Fund Organisation (EPFO) is a statutory body of Union Government under the aegis of the Ministry of Labour and Employment. It is one of the largest social security organisations in India in terms volume of financial transactions undertaken and the number of covered and the number of covered beneficiaries and is headquartered in New Delhi.
The Central Board of Trustees is the apex decision making body of EPFO administers a compulsory contributory Provident Fund Scheme, a Pension Scheme and an Insurance Scheme for the workforce engaged in the organized sector in India.
Category: Government Schemes Current Affairs