Difference Between Employees Provident Fund and Public Provident Fund

PF is the popular name for EPF or Employees' Provident Fund. It is a government established savings scheme for employees of the organised sector. ... PPF or Public Provident Fund is a government-supported savings scheme. It is open to everyone – employed, self-employed, unemployed or even retired.

1. Which one is better EPF or PPF?
2. What is the difference between EPF and EPS?
3. Can I convert EPF to PPF?
4. What is GPF and CPF?
5. Who are eligible for PF?
6. Which provident fund is best?
7. What is PF EPS salary?
8. Why is there no interest in EPS?
9. How is PF salary calculated?
10. What is the lock-in period for EPF?
11. Which bank has highest PPF interest rate?
12. Is Provident Fund Safe?

Which one is better EPF or PPF?

The following difference are seen between EPF and PPF: The interest rate on investments in EPF is 8.5 % while it is 7.1 % for a PPF account. ... Returns earned from a PPF account are exempted from tax payment while investments done in EPF qualifies for tax deduction under Section 80C of the Indian Income Tax Act, 1961.

What is the difference between EPF and EPS?

EPF stands for Employee Provident Fund while EPS stands for Employee Pension Scheme. Both EPF and EPS work in more or less the same way i.e. they help employees have a retirement corpus when they are no longer earning. ... Under EPF, both you and your employer contribute 12% of your basic salary towards your EPF account.

Can I convert EPF to PPF?

you can't transfer your PF account to PPF account because both are different you can transfer you account to your old PF account to new PF account :) through www.epfindia.com/ While changing jobs and joining a new employer, an employee has an option to close the old PF account and open a fresh one.

What is GPF and CPF?

Earlier, the Government was giving option to CPF subscribers to switch over from CPF Scheme to GPF Scheme (Pension Scheme). ... CPF is for Government servants who are non pensionable. In short it is applicable to government servants who joined service on or after 01–01–2004.

Who are eligible for PF?

EPF eligibility criteria

If you are a salaried employee with a Basic + Dearness Allowance less than Rs. 15,000 per month, it is mandatory for you to be opened an EPF account by your employer.

Which provident fund is best?

Which one is better?

What is PF EPS salary?

The monthly EPS contribution by the employer is calculated on the employee's actual salary if less than Rs 15,000 and on Rs 15,000 if salary exceeds this limit. Therefore, maximum EPS contribution is Rs 1,250 per month.

Why is there no interest in EPS?

Two popular schemes are the Employees' Provident Fund (EPF) scheme and the Employees' Pension Scheme (EPS). The main aim of both schemes is to help individuals save money for their retirement.
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Comparisons Between EPF & EPS.

How is PF salary calculated?

- If you are a man, you must contribute 10% or 12% of your basic salary. - In case you are a new woman employee, it is 8% of your basic salary for the first 3 years. Thereafter, it becomes 10% or 12% of your basic salary. - Your employer has to contribute an amount equal to 10% or 12% of your basic salary towards EPF.

What is the lock-in period for EPF?

As mentioned above, minimum 5 years of lock-in period is required for EPF to enjoy tax benefits. In case a person decides to withdraw EPF before completion of 5 years, all tax benefits enjoyed by the person will simply vanish.

Which bank has highest PPF interest rate?

Banks offer PPF accounts at the rate fixed by Indian Government. Current PPF interest rates offered by SBI, ICICI and all banks is 7.10% as applicable from 1st April, 2021.

Is Provident Fund Safe?

Safe Investment Option. The scheme is managed by the Govt of India with fixed interest accrual. Hence, it is considered as a risk-free investment compared to the long-term investment ones offered by other private players.