PF Calculator – Calculate EPF Contribution from CTC
PF (Provident Fund) is calculated as 12% of basic salary and deducted from your salary, with an equal contribution from the employer.
👉 Enter your salary below to calculate exact PF deduction.
Most companies keep basic salary between 40% – 50% of CTC.
PF is calculated as 12% of Basic Salary + Dearness Allowance. Both employee and employer contribute equally to EPF.
PF Calculator – Quick Summary
- ✔ PF = 12% of Basic Salary
- ✔ Employer also contributes 12%
- ✔ Calculated on Basic (not CTC or Gross)
- ✔ PF capped at ₹1,800/month (₹15,000 limit)
- ✔ Reduces your monthly in-hand salary
How to Use PF Calculator
Follow these simple steps to calculate your PF deduction from salary or CTC:
- Enter your annual CTC in the input field.
- Adjust the basic salary percentage (typically 40%–50% of CTC).
- Add Dearness Allowance (DA) if applicable (optional).
- The calculator will automatically compute your basic salary.
- View your employee PF (12%), employer PF, and total PF contribution.
👉 This helps you understand how much PF is deducted from your salary and how it affects your in-hand income.
PF Calculation Formula (12% + EPF/EPS Split)
PF is calculated as 12% of basic salary for both employee and employer. However, the employer’s contribution is split into EPF and EPS.
Employee PF = 12% × Basic SalaryEmployer PF = 12% × Basic SalaryEmployer Contribution Split
- 8.33% → EPS (Employee Pension Scheme)
- 3.67% → EPF (Provident Fund)
👉 The EPS contribution is applicable only up to a ₹15,000 salary limit, while the remaining amount goes to EPF.
PF Percentage in India (12% Explained)
In India, Provident Fund (PF) is calculated as 12% of basic salarycontributed by both employee and employer.
- ✔ Employee Contribution: 12% of basic salary
- ✔ Employer Contribution: 12% of basic salary
👉 This fixed percentage is applicable to most salaried employees and forms a key part of salary deductions.
PF Deduction from Salary vs CTC
PF affects both your CTC (Cost to Company) and your take-home salary, but in different ways.
- Employee PF (12%) → deducted from your monthly salary
- Employer PF (12%) → included in CTC but not paid in cash
👉 This is why your in-hand salary is lower than your CTC.
PF Wage Ceiling (₹15,000 Limit)
PF contributions are subject to a ₹15,000 basic salary limitfor calculation in many companies.
- Basic ≤ ₹15,000 → PF calculated on full basic salary
- Basic > ₹15,000 → PF may be capped at ₹1,800/month
👉 This limit affects how much PF is deducted from your salary each month.
How Much PF is Deducted from Salary?
PF deduction is 12% of your basic salary every month.
- ✔ Basic ₹15,000 → PF = ₹1,800/month
- ✔ Basic ₹20,000 → PF may still be capped at ₹1,800
- ✔ Basic ₹10,000 → PF = ₹1,200/month
👉 Employer also contributes an equal 12%, but that is not part of your in-hand salary.
Is PF Calculated on Basic or Gross Salary?
PF is calculated on basic salary, not on gross salary or total CTC.
- ✔ Basic Salary → Used for PF calculation
- ❌ Gross Salary → Not used
- ❌ Total CTC → Not directly used
👉 Basic salary typically ranges between 40% to 50% of CTC, which determines your PF deduction amount.
Employer PF Contribution Breakdown (EPF vs EPS)
The employer contributes 12% of basic salary towards PF, but this amount is split into EPF and EPS.
- 8.33% → Employee Pension Scheme (EPS)
- 3.67% → Employee Provident Fund (EPF)
👉 The EPS contribution is applicable only up to a ₹15,000 salary limit, and the remaining amount goes to EPF.
PF and Income Tax Impact
Your PF contribution not only reduces your in-hand salary but also helps you save tax under Section 80C.
👉 Use our Income Tax Calculator to see how PF deductions impact your total tax liability and net salary.
Income Tax Calculator
Calculate your income tax under the Old and New Tax Regime instantly. Compare tax liability and choose the regime that saves you more.