GPF Calculator - Professional Edition
| GPF Calculation | ||
|---|---|---|
| Opening Balance (April 1) | Balance from previous financial year | |
| Monthly Subscription | Typically 6%-100% of basic+DA | |
| Advance Withdrawals | Total withdrawals during the year | |
| Interest Rate (%) | Govt notified rate (currently 7.1%) | |
| Component | Calculation | Amount (₹) |
|---|---|---|
| Annual Subscriptions | Monthly × 12 | |
| Net Balance Before Interest | (Opening + Annual) - Withdrawals | |
| Annual Interest | Net Balance × Rate% | |
| Closing Balance | Net Balance + Interest |
Understanding GPF and How to Calculate It Effectively
The General Provident Fund (GPF) is a savings scheme available to government employees in India. It enables them to build a substantial retirement corpus through monthly contributions and government interest. Understanding how to calculate GPF accurately is crucial to financial planning.
How Does GPF Work?
Government employees can contribute a portion of their salary (6%-100% of basic+DA) towards GPF. The accumulated amount earns interest at a rate notified by the government, currently set at 7.1%. The final balance at retirement can be significant, especially if contributions are made consistently over decades.
Benefits of Using a GPF Calculator
- Quick and accurate calculation of final balance.
- Visualization of how monthly contributions impact the corpus.
- Time-saving and user-friendly interface.
How to Use This Calculator
Simply enter your opening balance, monthly subscription, withdrawals made during the year, and the current interest rate. Click the 'Calculate' button to see your annual subscription, net balance, interest earned, and closing balance.
