Dear All ,
EPFO may raise interest rate to 8.75%
New Delhi: The Employees Provident Fund Organisation may increase the the interest rate on your statutory savings to 8.75% for the current financial year, compared to 8.5% paid last year, helping over 8 crore subscribers earn higher returns during a period of high inflation.
EPFO’s central board is scheduled to meet on Monday to decide the interest rate for 2013-14. EPFO fixes the rate based on the interest earned on its investment, a majority of which is in government securities, and it’s expenses. EPFO manages a corpus of over Rs 5 lakh crore and is a basic source of retirement fund for lakhs of Indians. Although it was initially looking at maintaining the interest rate at 8.5%, EPFO has found some surplus funds, based on higher returns to increase the payout.
Employees unions are demanding at least a 9% return but labour minister Oscar Fernandes said that the interest rate was based on EPFO’s earnings. “We can’t cross-subsidize,” he said on Sunday evening. EPFO is estimated to have an income of around Rs 21,000 crore in the current financial year and increasing the payout to 9% will result in an additional burden of around Rs 1,200 crore.
Regards
Loknath
From India, New Delhi
2EPFO may raise interest rate to 8.75%
New Delhi: The Employees Provident Fund Organisation may increase the the interest rate on your statutory savings to 8.75% for the current financial year, compared to 8.5% paid last year, helping over 8 crore subscribers earn higher returns during a period of high inflation.
EPFO’s central board is scheduled to meet on Monday to decide the interest rate for 2013-14. EPFO fixes the rate based on the interest earned on its investment, a majority of which is in government securities, and it’s expenses. EPFO manages a corpus of over Rs 5 lakh crore and is a basic source of retirement fund for lakhs of Indians. Although it was initially looking at maintaining the interest rate at 8.5%, EPFO has found some surplus funds, based on higher returns to increase the payout.
Employees unions are demanding at least a 9% return but labour minister Oscar Fernandes said that the interest rate was based on EPFO’s earnings. “We can’t cross-subsidize,” he said on Sunday evening. EPFO is estimated to have an income of around Rs 21,000 crore in the current financial year and increasing the payout to 9% will result in an additional burden of around Rs 1,200 crore.
Regards
Loknath
From India, New Delhi
Find answers from people who have previously dealt with business and work issues similar to yours - Please Register and Log In to CiteHR and post your query.
Epfo-circular-d t-23-sept-2016- declaration-for m-new-form-11.p df