PF on a ₹40,000 salary
Monthly EPF deduction, the employer's share, and what it grows to. Updated 2026-11-10, ₹25,000 wage ceiling, 8.25% interest.
| Basic salary | You pay | Employer → EPF | Employer → EPS | Into EPF / month |
|---|---|---|---|---|
| 40% of salary (₹16,000) | ₹1,920 | ₹587 | ₹1,333 | ₹2,507 |
| 50% of salary (₹20,000) | ₹2,400 | ₹734 | ₹1,666 | ₹3,134 |
| Whole salary is basic (₹40,000) | ₹3,000 | ₹917 | ₹2,083 | ₹3,917 |
PF on basic up to ₹25,000, the statutory ceiling since 17 September 2026. If your employer calculates PF on your full basic of ₹40,000, you pay ₹4,800 and ₹7,517 goes into EPF each month.
Basic starting at ₹20,000, rising 5% a year, 8.25% interest, starting from zero.
Calculate with your own age and balance →How the ₹2,400 is worked out
PF is 12% of your basic salary plus DA, not your whole salary. Employers often set basic at 40–50% of salary, so on ₹40,000 your basic is likely ₹16,000–₹20,000. At 50%, 12% of ₹20,000 is ₹2,400.
Your employer also pays 12%, but 8.33% of basic (up to ₹25,000) goes to the Employees' Pension Scheme: ₹1,666 here. That builds a pension, not your EPF balance. The remaining ₹734 goes to EPF, so ₹3,134 a month is added to your account.
Other salaries: ₹15,000 · ₹20,000 · ₹25,000 · ₹30,000 · ₹35,000 · ₹50,000 · ₹75,000 · ₹1 lakh