EPF interest is not simply your balance times the rate. EPFO works it out on the balance at the start of each month, so this month's contribution earns nothing until next month, and the whole year's interest is credited once, at the end of March. That is why the credit looks smaller than people expect. This sheet follows the same method, so it should match your passbook.
⬇ Download: EPF interest calculator in Excel (.xlsx, free)What's in the sheet
- Your opening balance on 1 April, the interest rate, and the monthly EPF credit.
- Twelve months from April to March: the balance at the start of each month, the credit, and the interest for the month.
- The year's interest, the contributions, the closing balance, and interest as a share of the closing balance.
How to fill it
- Take the closing balance of the last year from your passbook as the opening balance.
- Use the monthly EPF credit: employee share plus employer's EPF share, without the pension (EPS) column.
- Change any month where the credit was different, such as a salary hike or a missed month.
The formulas
EPF interest formulas in Excel
Balance at start of month: =B10+C10 (previous row's balance + credit)
Interest for the month: =B11*$B$6/1200
Interest for the year: =ROUND(SUM(D10:D21),0)
Closing balance: =B5+B25+B24
Frequently asked questions
- How is EPF interest calculated every month?
- On the balance at the start of each month, at the annual rate divided by twelve. A month's contribution starts earning from the next month, and the year's total is credited once, at the end of March.
- What is the EPF interest rate for 2025-26?
- 8.25%, the same as for 2023-24 and 2024-25.
- Why is my EPF interest lower than balance × rate?
- Because money added during the year earns interest only for the months after it arrives. The sheet shows this as interest as a share of the closing balance.