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VPF Calculator

Project Voluntary Provident Fund savings on top of EPF, and check the tax on interest above the yearly limit.

About the VPF Calculator

VPF lets salaried employees put more than the mandatory 12% of basic into their PF account, earning the EPF rate (8.25% for 2025-26). Employers don't match VPF. Interest is tax-free only on your own contributions up to ₹2.5 lakh a year (₹5 lakh if your employer doesn't contribute); interest on the excess is taxable. Of the employer's 12%, 8.33% of wages up to ₹15,000 goes to the pension scheme (EPS), not your PF balance.

The formula

Balance grows by contributions + interest at the EPF rate

Worked example

Example: PF balance = ₹1,65,43,564

  1. Inputs: Monthly basic + DA: ₹66,000; Voluntary contribution (VPF): 11 % of basic; EPF interest rate: 9.1%; Years: 17 years; Yearly salary increase: 7%; Current EPF balance: ₹0.
  2. Formula: Balance grows by contributions + interest at the EPF rate
  3. Result: PF balance = ₹1,65,43,564

Things to keep in mind

  • EPFO credits interest on monthly running balances; this uses a mid-year approximation.

Questions people ask

Can I withdraw VPF early?

Like EPF, only for specific purposes or after 5 years without tax.

Is VPF better than PPF?

It often pays more but is tied to your job; PPF has a ₹1.5 lakh limit and 15-year lock-in.