How to Calculate GP Fund Interest Amount?

You already know that GP Fund subscription is made from the regular pay of an employee. This amount of GP Fund is deducted on monthly basis and is noted this amount in the GP Fund Card that is in the custody of concerned Accounts Department of the employee. The record of this amount is maintained from July to June of the next year. Thus the calculation of interest is made on the annual basis by the concerned Account Office. After the final calculation a GP Fund slip is issued to the related employee. You can yourself calculate this amount of interest by using this formula.

GP Fund Interest Amount Formula

GP Fund Interest =

(Rate of Subscription x 6.50 + Opening Balance) x Rate of Interest

Rate of GP Fund Subscription

It is the amount that is deducted from the pay bills of the employee on monthly basis

Don’t Miss: GP Fund Subscription Rates Since 1986

Opening Balance

It is the amount that is brought forward from the previous year or the last GP Fund slip.

Rate of GP Fund Interest

Rate of interest varies from year to year. Every year new rates of the GP Fund Interest are issued by the concerned department.

Don’t Forget: GP Fund Interest Rates Since 1963

 

GP Fund Interest

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43 thoughts on “How to Calculate GP Fund Interest Amount?

  1. Kindly guide me how to take interest on GP fund. I just noticed it on my salary slip today .. on my salary slip interest applied was written NO. guide me how to make it YES

    Reply
  2. Respected Sir,
    I am a DDO and deal with Old G.P.Fund cases in my office of different scale Scale. So i need the of subscription of different categories of servant. it is therefore requested to provide scale wise G.P. Fund Subscription rates and oblige.

    Reply
  3. Dear plz calculate GP fund (fund after retirment) for me .......date of birth 19-03-1957
    date of appointment :27-10-1992 ,,,,date of retirment : 18-03-2017.........service 25 years ....BPS-20

    Reply
  4. please tell me about 6.5 appear in the formula. I want to calculate of GP fund interest for 5 months but useing the formula difference is occured.

    Reply
  5. Please explain 6.50 used in above formula because less than one year subscription of GP FUND does not calculate true to use 6.50 in the formula. How to derive this?

    Reply
    1. Prof. Dr. Babur Baig Mitaly · Edit

      Please calculate period of amount remaining in your G.P.F account month wise and devide by 12. Then get total of these amounts. For example , Monthly subscription of BPS- 20 is Rs. 8050/-. If deduction is made from 01-7-2017 to 30-6-2018, total amount liable for profit is : 8050 x 6.5 = Rs. 52325/- .If deduction is made for less than 01 year i.e. from 01-10-2017 to 30-6-2018 , calculation will be as under :
      8050 x ( 9+8+7+6+5+4+3+2+1 ) /12
      8050 x ( 45 / 12 ) = 8050 x 3.75 = 30187.5 So total amount liable for profit is Rs. 30187.5 and formula for these 9 months is 3.75 while for 12 months is 6.5 .

      Reply
  6. hi dear Samiullah Sir.
    i need to check my GPF Balance, bcz the GPF slip 2015 is misplace from me with thanks or show me the way to get my GPF slip through net... Regards Sirajuddin.
    with thanks

    Reply
      1. ok thank you sir, would you please send me detail of documents which is submitted to head office / concern office for initiation of the pension case of an employee of BPS-9?

        Reply
  7. Assalam o alaikum
    Madam .
    I am waiting my 16 March, 2013 querry regarding calculation of interest of GP Fund in case of two different G P Fund deduction i.e. July to December Rs. 265 and from January to June Rs. 540. How to calculate interest of G P Fund in two different amount. As the formula for calculating G P Fund Interest given in this website is not given correct answer. Kindly tell the correct calculation in case above situation.

    Thanks

    Arif Khan

    Reply
  8. How to calculate if the amount of subscription changed in a year for example a person contributed to G P Fund amount during July to December Rs. 265 and from January to June Rs.540. How to calculate G P Fund interest if opening balance is 1oooo, rate of interest is 15%.
    Thanks

    Reply
  9. dear
    Interest calculation formumla of GPF is not crrect.Isupport it with example. O.B Rs50000 Subscription 1760 Rate of interest 15.
    1760*6.5*50000*14/500. In my opnion The correct formula is
    (Rate of subscription *6.5 +Opening Balance*Rate of interest.Calculation by both formula are given below.
    1760*6.5 *50000*14/500=160160
    (1760*6.5+50000)*14/100=8601.60

    Reply
      1. Dear kindly clarify which formula is correct:
        (a) Your formula: 1760*6.5 *50000*14/500=160160
        (b) Mohammed Saleem's Formula who corrected you by this formula and you thank him. If Mr. Saleem's formula is correct than please update it on your site too.
        (1760*6.5+50000)*14/100=8601.60

        Reply
  10. Assalam o alaikum
    sir.
    I don,t understand how the formula of GP Fund interest rate. Can you explain it? My opening balance of GP Fund on 30.06.2011 was 158,921/- . I am working in BPS 07 and monthly GP Fung deduction is 530 since July 2011. In my deposit on account of gp fund this year Total Rs. 21,804/- including my gp fund advance indtalment Rs. 1322/-PM. reply with example Thanks

    please reply must i m waiting thanks

    Reply
  11. on one hand whole multiplied amount is divided with 500 in the above mentioned red colour formula and on other hand Shamim`s calculation is divided with 50000,From where this sum is derived from?

    Reply
  12. Dear Sir,

    Kindly send me total gp fund amount with calculation year wise with effect from 2008 - 2009 as I m failed to calculate as per given formula. I m working in BPS - 18. I have sent my last gp fund amount balance for the year 2007 - 2008 Rs.198,481.

    I m very grateful for act of this kindness.

    Early reply is highly appreciated.

    Reply
    1. Dear If you have balance of GP Fund Rs. 198481/- on 30-06-2008 then your balance on 30-06-2009 will be as under:
      Total Interest= 1780 x 6.50 x 198481 x 15/50000 = 45928
      Total balance on 30-06-2009 = 244409/-

      Reply
      1. Assalam o alaikum sir. I don,t understand how the formula of GP Fund interest works. Can you explain it? My total balance of GP Fund on 30.06.2011 was 29514 rupee. I am working in BPS 09 and monthly GP Fung deduction is 595 since August 2011. In July 2011 it was 365. Thanks

        Reply
    1. For a new comer there is nil balance of GP Fund. If he has come from other department then the opening balance will be his/her previous department GP Fund Balance

      Reply

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