Active Stocks
Mon May 27 2024 12:02:36
  1. NTPC share price
  2. 369.80 -1.35%
  1. Tata Steel share price
  2. 176.05 0.72%
  1. Tata Motors share price
  2. 962.70 0.20%
  1. State Bank Of India share price
  2. 835.50 0.83%
  1. ICICI Bank share price
  2. 1,142.40 0.99%
Business News/ Money / Personal Finance/  EPF interest not credited yet? Here's what you need to know
BackBack

EPF interest not credited yet? Here's what you need to know

A delay in crediting the interest amount should not worry EPFO subscribers as the same would be added to their EPF accounts in due course of time.

EPFO subscribers need not be worried about the pending interest amount.Premium
EPFO subscribers need not be worried about the pending interest amount.

Amidst the euphoria surrounding Employee Provident Fund Organisation’s (EPFO's) decision in March to raise interest rates to 8.15 per cent, EPF subscribers want to know about when the interest amount would be deposited in their provident fund accounts.

One of the subscribers raised a query about the impending interest amount on X (erstwhile Twitter), “When will we get the interest added to our passbook for FY 2022-23?"

In response to this query raised on X (erstwhile Twitter), the retirement body responded, “The process is in the pipeline and may be shown there very shortly. Whenever the interest is credited, it will be accumulated and paid in full. There will be no loss of interest. Please maintain patience."

In March, the EPFO directed its field offices to deposit the interest of 8.15 per cent for EPF 2022-23 into the accounts of its members.

How to check for interest credited?

Interest has been attributed for the fiscal year 2021-22, with the interest rate for this period being set at 8.10 per cent, marking the lowest rate in the last forty years.

To review their EPF balance, users have access to the following methods:

  • EPFO website: Access the EPFO website by logging in with your UAN and password.
  • SMS: Send an SMS to 7738299899 in the format: EPFOHO UAN <space> <member ID>.
  • Missed call: Provide a missed call to 011-22901406 from your registered mobile number.
  • Umang App: Download the UMANG App from either the Google Play Store or the Apple App Store.

Once you've checked your EPF balance, you can utilize the funds for withdrawals, bank transfers, or investments in various schemes.

It's important to be aware that interest for the fiscal year 2022-23 has not been deposited yet. The EPFO is anticipated to credit the interest in the forthcoming months.

How to check EPFO balance?

Checking the EPFO balance is a simple process. All you must do is follow certain necessary steps. These include:

  • Navigate to the official website of EPFO
  • On the homepage, locate the “Services" tab and opt for the “For Employers" category.
  • This action will lead you to a fresh page, where you must choose “Member Passbook" within the “Services" segment. This will unveil a login interface.
  • Provide your UAN, password, and complete the captcha to access your account.
  • Once logged in, your account particulars, encompassing both your contributions and those from your employer, will be visible. Additionally, you will gain visibility into the added interest.
  • For an SMS-based EPFO balance check, compose “EPFOHO UAN ENG" and dispatch it to 7738299899 using your registered mobile number.

The EPFO subscribers need not be worried about the interest amount yet to be credited. Irrespective of the delay, the amount would be credited, thus, benefiting the investors who wish to benefit from the myriad benefits of putting money in their EPF accounts.

Benefits of investing in EPF

Going by how so many investors lose their money in the stock market due to market volatility, moving money to high-yield traditional investment options can help gain from high yields in the long run.

Some benefits of allocating a part of earnings in one’s EPF account include:

Capital growth: The EPF accrues interest at a steady rate, currently standing at 8.10 per cent for the financial year 2021-22. This signifies that your funds will appreciate over time, even without additional contributions.

Emergency fund: The EPF can serve as a safeguard for unforeseen situations like medical emergencies or job loss. In case of a medical emergency, you're permitted to withdraw up to 75% of your EPF balance, and for job loss, up to 50 per cent of the balance can be accessed.

Retirement nest egg: Primarily, the EPF is designed to establish a retirement fund for employees. Upon retirement, you'll receive a lump sum encompassing both your contributions and accrued interest. This corpus can effectively address your retirement financial needs.

Tax efficiency: The EPF contributions qualify for deductions under Section 80C of the Income Tax Act. This translates to potential annual tax savings of up to Rs 1.5 lakhs through EPF contributions.

Security and stability: Apart from these merits, the EPF offers a secure investment avenue. The government ensures your EPF contributions, which are invested in government securities, safeguarding your funds from market fluctuations.

For those seeking a retirement savings scheme with a multitude of advantages, the EPF emerges as a compelling choice to contemplate.
 

returns-calc-widget
EPF
View Full Image
EPF

You are on Mint! India's #1 news destination (Source: Press Gazette). To learn more about our business coverage and market insights Click Here!

Catch all the Business News, Market News, Breaking News Events and Latest News Updates on Live Mint. Download The Mint News App to get Daily Market Updates.
More Less
Published: 10 Aug 2023, 04:38 PM IST
Next Story footLogo
Recommended For You