Provident Fund Calculator Pakistan

Your Provident Fund Projection Calculate

Current monthly basic salary (PKR)

Years to project

Existing PF balance (optional)

If you already have a PF balance, enter it here to project forward from that amount instead of zero.

Total contribution rate (%)

Default 16.66% = 8.33% employee + 8.33% employer. Check your own policy.

Assumed annual salary increment (%)

Assumed annual fund return rate (%)

Not assumed for you: enter your own fund's recent average return, since this varies by fund and is not guaranteed.

Please enter valid values for all fields.

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Enter your basic salary and assumptions above to see a projection.

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How Is Provident Fund Calculated in Pakistan?

Provident fund in Pakistan is usually a fixed share of your basic salary, often 8.33% from you plus a matching 8.33% from your employer, paid in every month and invested. Your balance is all the contributions plus the fund's returns. On a Rs 60,000 basic, 16.66% puts about Rs 10,000 a month into your fund.

How to Use the Provident Fund Calculator

Enter your current monthly basic salary (not gross) and how many years to project.
Add your existing PF balance from your latest PF statement, if you have one.
Set the total contribution rate: your share plus your employer's (16.66% = 8.33% + 8.33%).
Enter an expected yearly salary increment and your fund's return rate. Use your fund's recent average and try a few rates, because returns aren't guaranteed.

Provident Fund Formula

Every month: new balance = previous balance × (1 + annual return ÷ 12) + basic salary × contribution rate. At the end of each year the basic salary rises by your increment, so contributions grow too.

Worked Example: Rs 60,000 Basic for 10 Years

Assumption	Value
Starting basic salary	Rs 60,000 a month
Contribution (employee + employer)	16.66%
Yearly increment / fund return	5% / 8%
Total paid in over 10 years	Rs 1,508,743
Projected balance	Rs 2,227,851
Growth from returns	Rs 719,107

Over 20 years the effect of compounding is much bigger. A Rs 80,000 basic with 7% raises and a 10% return reaches about Rs 16.7 million, of which Rs 6.6 million is contributions and Rs 10.1 million is growth. These are projections, not promises: real returns vary year to year.

Provident Fund Rules in Pakistan: What to Know

No single legal rate. The percentage comes from your employer's PF trust deed or policy; 8.33% each is common because it equals one month's basic salary per year.
Employer match. Most schemes match your contribution. That match is extra pay that doesn't show up in your take-home.
Provident fund vs gratuity. Labour law lets an employer run a matching provident fund instead of paying gratuity, in which case you get whichever is more beneficial. Compare with the gratuity calculator.
Provident fund vs EOBI. EOBI is a separate government pension with a small fixed contribution. See EOBI vs provident fund.
Withdrawal and tax. When and how you can withdraw, and how much is tax-exempt, depends on whether the fund is recognised and on its rules. Ask your fund trustees or HR.

Common Mistakes

Using gross salary. PF is normally a percentage of basic salary, which is lower than gross.
Entering only your own share. The balance includes your employer's match, so enter the total rate.
Assuming a high fixed return. Try a conservative rate as well, and compare with inflation.

Your PF deduction also lowers your monthly pay; see your net figure with the salary calculator for Pakistan, or model other long-term savings with the compound interest calculator.

Who Uses the Provident Fund Calculator?

Employees in Pakistan: project your provident fund balance at retirement or on leaving a job.
Comparing job offers: see what different contribution rates are worth over ten years.
Retirement planning: combine the projected fund with savings and gratuity.

How the Provident Fund Calculator Saves You Time

Projecting a fund with yearly salary increments and returns needs a year-by-year spreadsheet. The calculator builds the projection from a few inputs.

Frequently Asked Questions

How much provident fund is deducted from salary in Pakistan?

It depends on your employer's policy, and it is usually a percentage of basic salary. A very common structure is 8.33% from the employee, matched by 8.33% from the employer, 16.66% in total. On a Rs 60,000 basic that is Rs 4,998 from you and the same from your employer each month.

Why is provident fund 8.33%?

8.33% is one twelfth of 100%, so contributing 8.33% of basic salary each month adds up to one full month's basic salary per year. Many Pakistani employers use it for that reason, but it is a policy choice rather than a legal rate, so your fund may use 5%, 10% or another figure.

Is provident fund compulsory in Pakistan?

There is no general law forcing every private employer to run a provident fund. Many do, often in place of gratuity, which the Standing Orders law allows when the employer matches the employee's contribution. EOBI, by contrast, is a separate compulsory scheme for covered establishments.

What return does a provident fund earn?

Returns depend on how each fund is invested, commonly in government securities, bank deposits and similar assets, and they change from year to year. No rate is guaranteed, so this calculator lets you enter your own. Check your fund's annual statement for its recent return.

Can I withdraw my provident fund when I leave a job?

Usually yes. When you resign or retire, your fund pays out your balance under its trust deed rules, though some rules affect how much of the employer's share you receive if you leave early. Tax treatment depends on whether the fund is recognised. Ask HR or the fund trustees for the exact position.

Is provident fund better than gratuity?

It depends on your salary history and the fund's returns. Gratuity is based on your last salary times years of service, while provident fund grows with contributions and investment returns. Where an employer offers a matching fund instead of gratuity, the law entitles you to whichever is more beneficial.

Last updated: September 2026

💼 Provident Fund Calculator Pakistan