Your EPF money is set to attract an interest rate of 8.25 per cent in 2023-24. The current interest rate is 8.15 per cent.
The 8.25 per cent interest rate recommendation will be confirmed once it is rubber-stamped by the finance ministry.
Once ratified by the government, over six crore EPF subscribers will receive higher interest this year.
In 2021-22 and 2022-23, the EPF interest rates were 8.1 per cent and 8.15 per cent, respectively. Therefore, this 2023-24 interest rate is the highest in the last three years.
Source: EPFO *Recommended by the EPFO. Yet to be ratified by the finance ministry.
The scheme aims to provide retirement benefits for employees working in establishments that adhere to the EPF Act. The interest rate is reviewed every year.
The EPFO invests in various avenues, such as central government securities, state government securities, state development loans, and exchange-traded funds, among others.
EPFO also invests 15 per cent of the money in equity markets through ETFs, replicating the BSE Sensex and Nifty 50 indices.