GPF Calculation Formula General Provident Fund Statement
GPF Calculation Formula General Provident Fund Statement. General Provident Fund Statement annually can be obtained easily manually without any excel sheet easily by simple addition, subtraction, multiplication, and division if you have a calculator with you. You should know the Monthly Subscription of GPF of an Account.
For Example, if a General Provident Fund GPF account has a subscription of Rs, 4270/- per month. This monthly subscription will add in an Opening balance of Rs. 245004 of that account on July 2021. Opening Balance is the Total GPF Balance on June 2021. Hence this amount will be the Progressive Balance of July 2021. Now, this Progressive Balance will be added to the August 2021 Subscription and by this addition, you will get the Progressive Balance of August 2021. This process will continue up to next June 2022 and you will get the progressive Balance of every month.
Simply it will be
In the Month of July 2021 — Monthly Subscription + Opening Balance = Progressive Balance
4270 + 245004 = 249274
In the Month of August 2021 — Monthly Subscription + Progressive Balance = Progressive Balance
4270 + 249272 = 253544
Sometimes, a subscriber gets advances from his General Provident Fund GPF Account. Hence these advances may be Temporary Advances or Permanent Advances. Permanent Advances are not recovered but only subtracted from Progressive Balance, whereas, temporary Advances are recovered in monthly installments. A Subscriber can get three times permanent advance in the whole service. Once when he gets the age of 45 years then two times when he gets the age of 50 years and thirdly when he gets the age of 55 years. A subscriber can get permanent/temporary advance of 80% of his total amount in the GPF Balance sheet. Usually, a temporary Advance has recovered in 36 equal installments. If a subscriber gets an advance in the month of November 2021.
So this advance has subtracted from Progressive Balance of that month. If the subscriber gets an advance of Rs. 120000/- then the Progressive Balance of November will be Rs. 142084/-
However, at the end of June 2022, the GPF Balance sheet is prepared for the Subscriber. First of all the Progressive Balances of 12 months are added and you will get Total Progressive Balance of the year Rs. 2406268/- Then you have to calculate profit for the year by multiplying Total Progressive Balance 2406268 into 1435 (rate of Mark-up for the year) and will divide on 120000. You will get an annual profit.
Annual Profit Calculation Formula of General Provident Fund
Total Progressive Balance x Rate of Mark up without decimal / 120000
2406268 x 1435 / 120000 = 28775
Now you have to get new Balance sheet for the year 2018-19
Total of Monthly Subscription = 4270 x 12 = 51240
Total of Monthly Recovery = 3334 x 7 = 23338
Hence Total Deposits of the year = 74578
However, Opening Balance = 245004
Similarly, Profit of the year = 28775
Likewise, Total = 348357
Hence Less Withdrawal = 120024