EPF Interest Rate: Year-by-Year History

If you contribute to the Employees' Provident Fund, one number decides how fast your balance grows: the annual EPF interest rate. Unlike a bank deposit rate that a lender fixes, the EPF rate is a policy decision taken every year for the whole scheme. This page gives the year-by-year EPFO-declared rate from FY2015-16 to FY2025-26 in one table, then explains who declares the rate, how it is approved, and how it reaches your account. The Employees' Provident Fund sits in Chapter III of the Code on Social Security, 2020, and is run by the Central Board of Trustees constituted under section 4 of that Code.

EPF interest rate history: FY2015-16 to FY2025-26

The table below lists the EPFO-declared EPF interest rate for each financial year. This is the unique reference element of this page.

| Financial year | EPF interest rate | | --- | --- | | FY2015-16 | 8.80% | | FY2016-17 | 8.65% | | FY2017-18 | 8.55% | | FY2018-19 | 8.65% | | FY2019-20 | 8.50% | | FY2020-21 | 8.50% | | FY2021-22 | 8.10% | | FY2022-23 | 8.15% | | FY2023-24 | 8.25% | | FY2024-25 | 8.25% | | FY2025-26 | 8.25% |

Reading the trend: the rate held at or above 8.50% through FY2019-20 and FY2020-21, dipped to its decade low of 8.10% in FY2021-22, then recovered to 8.25%, where it has stayed for three consecutive years. Because each year's figure is declared separately, treat the FY2025-26 entry as provisional until you confirm the notified figure at epfindia.gov.in.

How the EPF interest rate is decided

The EPF interest rate is a yearly policy decision, not the output of a per-member formula. It is declared each year by the Central Board of Trustees and takes effect only after Central Government approval, after which it is notified. Under the Code on Social Security, 2020, the Central Board means the Board of Trustees of the Employees' Provident Fund constituted under section 4. The Employees' Provident Fund itself sits in Chapter III of the Code, which covers the appointment of officers of the Central Board (section 14), the schemes (section 15), the funds (section 16) and contributions in respect of employees and contractors (section 17). Because the same rate applies scheme-wide for the year, every member's EPF accumulation earns the same declared rate for that year, regardless of employer or salary.

How and when interest is credited

Interest is declared for the financial year, which runs April to March, and is credited to each member's EPF account for that year. The declared rate applies to the money held in the provident fund. The exact method EPFO uses to compute and post the interest for the year, and the timing of the credit, should be confirmed at epfindia.gov.in, because operational rules and the crediting cycle can be updated. You can view your own credited interest and running balance through the EPFO member portal (Member e-Sewa) using your Universal Account Number (UAN), the 12-digit number that stays with you across jobs and links all your PF accounts.

What the declared rate applies to

The declared EPF interest applies to EPF (provident fund) accumulations. It helps to see where each rupee of contribution goes: the employee contributes 12% of wages, and the employer contributes 12%, of which 8.33% is routed to the Employees' Pension Scheme (EPS) on the pensionable wage ceiling and the balance goes to EPF, alongside the employer's administrative charges and EDLI. The EPF and EPS wage ceiling has been Rs 15,000 per month since September 2014. So the annual EPF interest rate on this page relates to the provident fund accumulation; the EPS portion is a separate pension contribution governed by its own pension formula. Confirm the current ceiling and contribution split at epfindia.gov.in, since proposals to raise the ceiling have been discussed.

EPF interest versus market-linked returns

EPF is a statutory scheme administered by EPFO that offers a declared annual interest rate, as shown in the table above, plus a defined pension through EPS. This is different from the National Pension System (NPS), which is a separate, market-linked, voluntary retirement product regulated by PFRDA, where returns depend on the funds you choose rather than on a rate declared for the whole scheme. When comparing the two, remember that the EPF number is a single declared rate for the year, not a projected market return, and that the declared rate itself can move from year to year as the table shows.

Illustrative example: interest credited for one year

Suppose a member has an EPF accumulation of Rs 1,00,000 at the start of FY2025-26, with no further contributions or withdrawals during the year. Applying the declared rate of 8.25% for FY2025-26: interest for the year = Rs 1,00,000 x 8.25% = Rs 8,250, taking the balance to Rs 1,08,250. This is a simplified, illustrative figure. In practice EPFO credits the year's interest to the member account, and you should confirm the exact calculation method and the applicable rate for your year at epfindia.gov.in before relying on any number.

Key points

• The EPF rate is declared once a year for the whole scheme by the Central Board of Trustees, not calculated from an individual formula.
• The declared rate takes effect after the Central Government approves and notifies it.
• Last-decade range: high of 8.80% (FY2015-16), low of 8.10% (FY2021-22); current listed rate 8.25% (FY2023-24, FY2024-25, FY2025-26).
• The rate applies to EPF (provident fund) accumulations; of the employer's 12%, the 8.33% routed to the Employees' Pension Scheme is a separate pension contribution.
• The current year's rate can change and must be verified at epfindia.gov.in before you rely on it.

Common questions

Verify the current figure

• The FY2025-26 rate of 8.25% is listed but is declared and notified annually; verify current figure at epfindia.gov.in.
• The exact method EPFO uses to calculate and credit the year's interest, and the crediting timing; verify current figure at epfindia.gov.in.
• Whether the latest year's rate has been formally approved by the Central Government and notified; verify current figure at epfindia.gov.in.
• The EPF and EPS wage ceiling of Rs 15,000 per month (proposals to raise it to Rs 21,000 or Rs 25,000 have been discussed but confirm whether notified); verify current figure at epfindia.gov.in.
• The employer administrative charges and EDLI rates that sit alongside the contribution split; verify current figure at epfindia.gov.in.