PF interest after leaving company and starting own firm

This query is : Resolved

som (Querist)
Follow

05 December 2023 Hi,

I worked as an employee for more than a decade and my PF account has accumulated some fund. I left the organization and started my start up firm (Pvt ltd) around 3 years back.

1. AS AN EMPLOYEE of previous firm --
a. My PF amount is still there and it earned interest till few months back but now it is not earning any interest. There is a PF rule in that regard.

2. AS AN EMPLOYER of current start up firm --
a. My firm has PF number (it was mandatory to take during registration) but we are only 2 people (my and my partner) and we do not pay ourselves any salary. Naturally, there is no PF contribution.

Now, if I start paying myself salary and start contributing minimum PF to myself, will that RESTART the interest payment to my accumulated fund as well?

Aashok Kumar Sharma online

Aashok Kumar Sharma

(Expert)
Follow

19 January 2024 Yes, EPF interest will be credited to an account even when there is no contribution for 3 years. Thus, if your EPF account has no contribution due to unemployment or Non-Resident Indian (NRI) status, you will get the interest for 3 consecutive years from the stopping of contribution.

https://cleartax.in/s/epf-interest-rate

You need to be the querist or approved CAclub expert to take part in this query .
Click here to login now