MoneyRadar

Retirement

VPF

Also known as: Voluntary Provident Fund

An option to voluntarily contribute more than the mandatory 12% to your EPF, at the same high rate.

VPF lets salaried employees put extra money into their EPF beyond the compulsory 12%.

It earns the same attractive, largely tax-free EPF interest rate, making it one of the best low-risk options for savers.

Note that interest on very large contributions above ₹2.5L a year became taxable, so plan around that limit.

For example

Bumping your PF contribution via VPF channels more salary into a safe ~8% tax-advantaged instrument instead of a 3% savings account.

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