PF (Employee Provident Fund)

PF means the  Employee Provident Fund, it is also called the  provident fund. The meaning of the fund  usually means the retirement benefit which is given to the  salaried employees of any company.

Under this employee benefit scheme, the predetermined quantity of money (which is currently 12%) is subtracted from the individual’s salary and is donate to  the finance. The amount of this money  is pre decided by the government of India. The manager also has to contribute an amount which is equal  to the finance.



In this case the employee can also make a payment which will be more than the pre-decided amount. For example if the  employee decide to pay 15% that must be reduced from  the EPF. In this condition the employer is not compelled to pay an amount which is above or below the amount stipulated.

 

PPF (Public Provident Fund)

The Public Provident Fund which is also known as the PPF has been recognized by the central government. One can easily open one. One can open this account even if the person is nor working or does not have any business. This is very convenient as any one can open the account in this case.

Any person can open the  PPF account in any bank or in any of its  branches which is recognised by the government of India and handles such types of accounts. The PPF account can also be opened at any post office or at any of its post office centre.

There is a minimum as well as a maximum amount that can be paid to the PPF account. The minimum amount  is Rs 500 every year. The maximum amount that one can deposit here  is Rs 70,000.

Percentage of return

PPF: 8% per annum

EPF: 8.5% per annum

 

EPF (Employee Provident Fund)

The amount which is collected in the respective PF is to be waged when one  retires or resigns from the job. This amount can also be relocated from one company to another company when the person changes the job.

In case the employee dies then the whole amount is given to the  legal heir of the employee.

 

PPF (People Provident Fund)

The accumulated amount of the PPF is given after 15 years.

You can take the total amount after a time period of five years and after the five years you can take the interest of the amount. You can take the amount only after it has matured.