The Retirement Fund Body EPFO today decided to retain the interest rate on Employees Provident Fund (EPF) deposit at 8.25 percent for FY 2024-25.
Significantly, in February 2024, EPFO increased the interest rate on EPF from 8.15 per cent to 8.25 per cent for FY 2023-4.
The Labor Ministry said in a statement that the CBT (Central Board of Creator) had recommended 8.25 percent interest on the amount deposited in the accounts of EPF members for FY 2024-25.
The decision regarding the interest rate on deposits in the EPFO was taken in the 237th meeting of EPFO CBT chaired by the Union Minister of Labor and Employment.
The Ministry said that EPF provides more and more stable returns than many other fixed income schemes, which ensures regular growth of savings.
EPF is a very attractive investment option for working class because the interest earned on EPF deposits is tax-free (within some limits).
Following the CBT decision, the EPF deposits for 2024-25 will be sent to the Finance Ministry for approval of the interest rate fixed at 8.25%. After the approval of the government, the EPF interest rate for 2024-25 will be deposited in the accounts of more than seven crore EPFO customers.
