Employees' Provident Fund

The Employees' Provident Fund (EPF) was established under the Act No. 15 of 1958 and is currently the largest Social Security Scheme in Sri Lanka. With a current asset base of Rs. 1,665 billion, the EPF is a little "Peace of Mind" for the employees of institutions and establishments of the Private Sector, State Sponsored Corporations, Statutory Boards and Private Business. The aim of the EPF is to assure financial stability to the employee in the winter of life and to reward the employee for his or her role in the economic growth of the country.

 

How EPF is administered?

Being the largest Social Security Scheme in Sri Lanka and having over Rs. 1,665 billon of assets, the EPF can ensure you a safe and stable future. The Administrative aspect of the EPF is handled by the Labour Department of Sri Lanka whilst the management of the funds is handled by EPF department of the Central Bank.

According to the EPF Act, an employee is required to contribute a minimum of 8% and the employer a minimum of 12% of the total salary of the employee monthly. Your EPF balance keeps growing as you mature at your working environment as the cumulative balance in your EPF account, which is maintained by the Central Bank, and is invested in Treasury Bills, Treasury Bonds, Equity, Corporate Debentures and Rupee Securities etc. Depending on the rate of return, an annual interest rate is declared and credited to your account. Thus your investment in time and money is safe, sound and growing annually in the hands of the EPF, giving you peace of mind that you will be stable and able to provide for your family and loved ones in the latter part of life.

The EPF is not only a helping hand or a shoulder to lean upon in the winter of life but a great partner throughout, for it will provide you with the option of obtaining a housing loan by placing 3/4th of your current balance as security. Thus the EPF will help you realize your dream of a home before retirement.