Employee Provident Fund or EPF is essentially a retirement savings scheme for salaried individuals (working in India), as mandated by the government of India. The funds deducted from an individual’s salary as PF every month goes to their respective PF account, which is maintained by the EPFO or Employee Provident Fund Organisation.
All organisations in India having more than 20 employees are mandated to register with EPFO, by law. A minimum of 12% of the basic salary is deducted from the employee’s salary every month, which is deposited in the EPF account. The employer contributes an equal percentage.
