Your monthly PF on ₹25,000 basic
| Part | Amount a month | Where it goes |
|---|---|---|
| Your 12% | ₹3,000 | Your EPF account |
| Employer 12% | ₹3,000 | Split below |
| … EPS pension (8.33% of ₹25,000) | ₹2,083 | Employees’ Pension Scheme |
| … EPF (the rest) | ₹917 | Your EPF account |
| Total into your EPF | ₹3,917 | Earns 8.25% interest |
So ₹3,917 a month — about ₹47,000 a year — builds your PF balance, and ₹2,083 a month builds your EPS pension. Before 17 September 2026 the EPS share was capped at ₹1,250, so ₹1,750 of the employer’s money reached your EPF account; under the new ₹25,000 ceiling more goes to the pension and less to the lump sum.
What it can grow to
Starting at 25 with nothing saved, with 5% pay rises each year and 8.25% interest, the balance at 58 comes to about ₹1,59,64,749. That is the power of 33 years of compounding: a big share of the final amount is interest.
| At age | EPF balance |
|---|---|
| 35 | ₹9,54,459 |
| 45 | ₹39,02,713 |
| 55 | ₹1,17,83,877 |
| 58 | ₹1,59,64,749 |
Things that change the answer
- Pay rises: once your basic goes above ₹25,000, your 12% grows with it, but the EPS share stays at ₹2,083 — so more of the employer’s money reaches your EPF.
- Job changes: transfer your PF with your UAN rather than withdrawing it; withdrawals break the compounding and can be taxable before 5 years of service.
- Interest rate: 8.25% has held for three years, but it is set annually. Try 8% or 8.5% to see the range.
Want a bigger corpus? You can raise your own contribution above 12% as VPF; it earns the same rate. Just keep your total employee contribution under ₹2.5 lakh a year if you want all the interest to stay tax-free.
How to read your EPF passbook
Log in to the EPFO member passbook with your UAN. Each month shows three columns: employee share (₹3,000 here), employer share (₹917) and pension contribution (₹2,083). If the employer share shows ₹1,750 and pension ₹1,250, your payroll is still using the old ₹15,000 ceiling for that month — normal for months before 17 September 2026. Interest for the year appears as a single entry after EPFO credits it, usually a few months after the year ends.
If any month is missing, ask your HR team first; employers must deposit contributions by the 15th of the following month. Keeping your KYC (Aadhaar, PAN, bank) updated on the portal makes transfers and withdrawals much smoother when you change jobs.
Key EPF figures (checked 5 November 2026)
| Item | Figure |
|---|---|
| Interest rate FY 2025-26 | 8.25% (CBT 2 March 2026) |
| Employee contribution | 12% of basic + DA |
| Employer contribution | 12%: 8.33% EPS (max ₹2,083) + rest to EPF |
| Wage ceiling | ₹25,000 a month from 17 September 2026 (was ₹15,000) |
| Tax-free interest limit | Employee contributions up to ₹2.5 lakh a year (₹5 lakh without employer contribution) |
FAQ
How much PF is deducted on ₹25,000 basic?
₹3,000 a month (12%). Your employer adds another ₹3,000, of which ₹2,083 goes to EPS and ₹917 to your EPF.
How much will EPF be at 58 on ₹25,000 basic starting at 25?
About ₹1,59,64,749, assuming 5% yearly pay rises and 8.25% interest.
Why does only ₹917 of the employer share reach my EPF?
Because 8.33% of wages up to ₹25,000 (₹2,083) goes to the EPS pension fund; only the remaining 3.67% goes to EPF.
Sources (checked 5 November 2026): PIB, “Cabinet Approves Higher EPFO Wage Ceiling of Rs. 25,000” (16 September 2026, effective 17 September 2026) and PIB release of 17 September 2026 (12% / 8.33% / 3.67% split); EPFO / Ministry of Labour — 8.25% interest for 2025-26 (CBT meeting 2 March 2026, ratified June 2026; reported by ThePrint and Tribune); Employees’ Provident Funds Scheme 1952 and Employees’ Pension Scheme 1995; Income-tax Act provisions on taxable PF interest above ₹2.5 lakh.