If you are a salaried employee, you must be aware of PF deductions. In case you aren’t, just take a peek at your salary slip. If the organization that you work for is registered with EPFO, you will notice a considerable amount being deducted from your total salary every month. That’s your PF or Provident Fund deduction. Don’t get worked up – you are not losing out on the money; it is deposited into your PF account as compulsory savings, and you can easily do a PF balance check from the official website of EPFO whenever you want.
Almost all salaried employees don’t receive an elusive chunk of their monthly salary due to EPF deductions. Have you wondered what are EPF deductions?
Commonly known as EPF, Employee Provident Fund is typically a post-retirement scheme which is accessible to all salaried employees. EPF is managed by the Employees Provident Fund Organisation of India (EPFO). The EPF and Miscellaneous Provisions Act states that a registered company with more than 20 employees is mandated by law to enroll with the EPFO. Employee Provident Fund is considered to be a great savings platform which aids the employees in saving a portion of their salary each month. As against the global average of 40%, women’s contribution in Indian workforce is pretty low (at a dismal 24%). There are several issues keeping women away from the formal workforce. Catalyst, a leading non-profit social marketing agency states that even a small increase of 10% in the participation rate of women in the workforce could increase India’s GDP by 700 billion dollars (1.4% of the GDP)