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Retirement fund body EPFO is likely to pay an interest rate of 8.5% on provident fund deposits for 2013-14 to its over five crore subscribers, the same as provided in 2012-13. "The rate of interest on PF deposits is unlikely to be changed for the current fiscal at 8.5 per cent," a source privy to the development said. Employees' Provident Fund Organisation (EPFO) paid 8.5% interest rate to its subscribers in 2012-13 which was higher than 8.25 provided in the 2011-12 fiscal. The source further revealed that the EPFO office has already worked out the income projections and the feasible rate of return to be provided on PF deposit in the current fiscal. As per the practice, the EPFO would have to place the proposal before its advisory body Finance and Investment Committee after which it is considered by the apex decision making body Central Board of Trustees headed by the Labour Minister for taking final call on the matter. Once approved, the proposal is put before the finance ministry for its concurrence. EPFO has recently reconstituted the CBT and thus the FIC would be constituted again in the next meet.

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Invest in Tax Saving Mutual Funds ( ELSS Mutual Funds ) to upto Rs 1 lakh and Save tax under Section 80C.

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