EPFO To Credit 8.25% PF Interest For FY26, ₹1.44 Lakh Crore To Reach 34 Crore Member Accounts By July 15

New Delhi: Employees' Provident Fund Organisation (EPFO) members are likely to see their FY26 provident fund interest credited by July 15. The retirement fund body has started processing the annual interest payment after the government approved an interest rate of 8.25 percent for the financial year.

Labour Minister Mansukh Mandaviya said the interest will be credited to around 34 crore member accounts, with a total payout estimated at more than Rs 1.44 lakh crore.

Faster Process

The minister said the interest calculation will be completed automatically under EPFO's new Centralised IT-Enabled Services (CITES) 2.01 platform. After automated processing, the interest amount will be verified by field offices before it is credited to members' accounts.

Members will be able to check the updated balance in their online passbooks by July 15.

Earlier, the interest payment process was usually completed only in October or November after receiving government approval. The new system is expected to significantly reduce this delay.

New Digital Platform

EPFO has shifted from its old decentralised system, where each regional office maintained separate databases, to a single centralised database covering all member records.

This means members can now access PF-related services from any authorised office across the country without depending on a specific regional office.

The new digital platform also allows members to view their PF balance, claim status, pension details, service records and benefits through a single online interface.

Better Claim Services

The centralised system will also make claim settlement faster. Payments will be processed electronically and transferred directly to members' bank accounts through secure payment channels.

Another important change is that interest on final PF settlements will now be calculated up to the date of payment authorisation, instead of only up to the last day of the previous month. This will help members receive a slightly higher interest amount in many cases.

More Member-Friendly Rules

EPFO has simplified partial withdrawal rules by reducing 13 withdrawal categories to just three—essential needs, housing needs and special circumstances. This makes the process easier to understand and apply for.

Members can now withdraw up to 75 percent of their total PF balance, depending on eligibility.

Automatic Transfers and Pension Ease

The organisation has also introduced automatic transfer of Aadhaar-linked Universal Account Number (UAN) accounts when members change jobs. This removes the need for employees to submit transfer requests manually.

Under the new centralised pension payment system, pensioners can receive their pension in any bank account across India, instead of being limited to the bank branch linked with their Pension Payment Order (PPO). The move is expected to make pension payments more convenient for retirees across the country.