Provident fund is mandatory for the employed people in the organized sector. From here you get a lump sum amount after retirement. But do you know that even if you stop putting the amount in the PF account, you will continue to get interest on it for a certain time.
Today we will tell you how long you get interest on PF and under what circumstances it gets closed. Let us tell you that on attaining the age of 58 years, your account becomes inactive. Here we will tell you about the situation before that.
If you leave the job before retirement, your account will be active for a maximum period of 36 months (3 years) and you will continue to earn interest without any contribution. Suppose you left the job at the age of 52, then you will continue to get interest on the PF amount for the next 36 months. After that the account will become inactive.
Even if the PF member permanently settles abroad, your account will become inactive and you will not get interest.
Even if the EPF account holder dies, the PF account becomes inactive and interest on it stops.
If the person retires at the age of 55 and does not withdraw money from the PF account for the next 3 years, the PF account becomes inactive.
Till the time you are in the job, no tax is levied on the interest earned on the PF account. However, after leaving the job or retiring, the interest earned starts taxing.
