Big News for Gujarat Government Employees, Important News for GPF Interest Rates

the lockdown, there is one more shocking news for Gujarat government employees.  The government has now decided not to change the interest rate on General Provident Fund (GPF).  New interest rates have been introduced in this regard.  The Gujarat government has announced no change in the GPF interest rate, which will not change the GPF interest rate of employees.  The interest rate will remain unchanged at 7.1%.  7.1% interest rate till 31st December 2020 According to a report, from 1st April 2020 to 30th June 2020, 7.1% interest is running on GPF and other funds.

It was earning 7.9 per cent interest till last quarter.  GPF interest rates are determined on a quarterly basis.

GPF is for government employees only  This is a kind of retirement planning.  Due to this amount the employee gets after retirement.  A government employee can contribute up to 15% of his / her salary to the GPF account.  We all know about the Provident Fund.  This amount is reserved for the future of the employees.

Recently the interest rate on PE has been hiked to 8.65.  But, did you know that there are three types of Provident Fund (PF).  The first is the Employee Provident Fund (EPF), the second is the General Provident Fund (GPF) and the third is the Public Provident Fund (PPF).  The third has a lot of distance that we are going to tell you about.  The interest rates on all three are periodically adjusted by the government

What is GPF?  The General Provident Fund is for government employees only.  There are EPFs for private employees.  GPF carries an interest rate of 8%.  If a government employee is suspended, he cannot be credited to the GPF.  When a government employee is about to retire, the GPF account closes three months before retirement.  It currently earns 8% interest.  A government employee can also take an advance loan in lieu of which he does not have to pay interest.

The loan amount has to be repaid in the form of EMI.