The Employees Provident Fund Organization (EPFO) has decided to pay 8.25% interest on PF for the financial year 2024-25. This is the second consecutive year when the interest rate has been kept stable at 8.25%. This means that account holders will get the same interest as last year.
Impact of EPFO’s Decision on Salaried Employees
Employees Provident Fund Organization may not have increased the interest rate, but it has also not cut it. After the RBI’s repo rate cut, it was feared that EPFO may also cut interest rates. In such a situation, keeping interest rates stable is also a relief decision for crores of employed people. Although interest rates have come down in the last few years, the rate of 8.25% is still considered a satisfactory return in the current economic situation.
What’s Next for PF Account Holders?
The Central Board of Trustees (CBT), the apex decision-making body of EPFO, has approved this decision. Now this proposal will be sent to the Finance Ministry, after its approval the interest amount will be transferred to the PF account of the account holders.
