EPFO higher Pension: All employees are mandated to contribute 12% of their monthly basic wages and DA towards the EPF. Then, the employer is also required to make a similar contribution.
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EPFO Higher Pension: Employees in both private and government sector are entitled to earn post-retirement benefits. After the EPF Act was proved by the Parliament, the Employee Provident Fund (EPF) was formed. And according to the law, the EFPO, which is identified by a Unique Account Number (UAN), controls the money that the employer and the employee contribute to a permanent account. The employees can accurately assess their savings with the help of an EPF calculator.
As per the law, employees are mandated to contribute 12% of their monthly basic wages and DA towards the EPF. Then, the employer is also required to make a similar contribution.
Read More: How to withdraw money from EPF? A step-by-step guide for salaried employees
What is EPF?
Also known as provident fund, EPF is a retirement savings system to which both employers and employees make contributions. EPF accounts are provided for employees by employers with at least 20 workers. However, some businesses with fewer than 20 staff members might also assist their workers in opening EPF accounts.
What is EPF calculator?
EPF calculator displays the total amount of money in your EPF account after you retire. He employees can calculate the entire amount of money that has accrued in your EPF account, which includes the contributions that you and your employer have made .
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The maximum amount one employee can contribute to EPF account is 12% of the Basic Salary plus Dearness Allowance. Then, the employer also makes an equal 12% contribution, of which 8.33% goes to EPS and 3.67% goes to the employee’s EPF account.
