EPF Interest Rate for 2024-25: Key Announcement

The Employees' Provident Fund Organisation (EPFO) has announced that the interest rate for EPF deposits for the financial year 2024-25 will remain 8.25%, as confirmed by the Central Board of Trustees (CBT).

This decision was made during a meeting on Friday, with sources citing the news agency PTI. The proposed interest rate will now be forwarded to the Ministry of Finance for final approval.

This marks the second consecutive year where the EPF interest rate has been set at 8.25%, following an increase from 8.15% in 2022-23. The last time the interest rate dipped lower was in 2021-22, when it was 8.10%, the lowest since 1977-78 when it stood at 8%.

Historical Trends in EPF Interest Rate

The following table highlights the EPF interest rate trends in recent years:

Approval Process & Fund Distribution

Once the Ministry of Finance grants its approval, the EPF interest rate for 2024-25 will be credited to the accounts of over seven crore EPF subscribers. The government’s final nod is a mandatory step before interest payments are processed by EPFO. The organization follows a structured process where the interest amount is calculated monthly but credited at the end of the financial year.

EPFO’s Claims & Financial Performance in FY 2024-25

During the financial year 2024-25, EPFO handled a record 50.8 million claims amounting to Rs 2.05 lakh crore, a significant increase from the 44.5 million claims worth Rs 1.82 lakh crore in 2023-24.

The financial performance of EPFO has been robust, with an income of Rs 1.07 lakh crore in 2023-24, the highest-ever recorded, based on a principal amount of Rs 13 lakh crore. This was a marked improvement from Rs 91,151.66 crore in 2022-23 on a principal of Rs 11.02 lakh crore.

How to Check Your EPF Balance?

The EPF balance can be checked through multiple convenient methods:

1. Umang App

• Download the Umang App on your smartphone.

• Register using your mobile number linked to UAN (Universal Account Number).

• Use the app to access services like EPF passbook, claims status, and balance checks.

2. EPFO Portal

• Visit the official EPFO website (https://www.epfindia.gov.in/).

• Navigate to the “Member Passbook” section.

• Log in using your UAN and password to view balance, contributions, and interest earned.

3. Missed Call Service

• Give a missed call to 011-22901406 from your UAN-registered mobile number.

• Ensure your Aadhaar, PAN, and bank details are linked to your EPF account.

• Receive your EPF balance details via SMS instantly.

4. SMS Service

• Send an SMS in the format EPFOHO UAN ENG to 7738299899 (Replace “ENG” with your preferred language code).

• You will receive your latest EPF balance and contribution details via SMS.

Impact of EPF Interest Rate on Subscribers

The unchanged 8.25% interest rate is expected to provide stability and assured returns to crores of employees who rely on the provident fund for their retirement savings. Given the rising inflation and volatile market conditions, maintaining a competitive EPF interest rate is crucial for financial security.

Conclusion

With EPFO maintaining an 8.25% interest rate for 2024-25, subscribers can expect stable returns on their retirement savings. While awaiting final approval from the Ministry of Finance, the organization continues to process a record number of claims and expand financial benefits to millions of employees. The accessibility of EPF balance through digital platforms, mobile applications, and SMS services ensures that users can easily track their savings. As India's economic landscape evolves, EPFO remains a vital pillar of financial security for the workforce.