Provident Fund Calculator — Pakistan 2026

Not by general law for private employers (except where the Standing Orders or a wage board require it); it is a contractual benefit, but most medium and large employers provide one.

Not from a recognised (approved) fund. From an unrecognised fund the employer's contributions and profit are taxed as salary when paid out.

Most trust deeds allow a loan or non-refundable withdrawal of up to the member's own contributions (sometimes more) for housing, marriage, medical or education.

It is paid out when you leave; there is no transfer between employers' funds in Pakistan. Reinvest it in the new employer's scheme or a voluntary pension scheme (VPS) to keep the tax benefit.

Commonly 8.33% of basic salary from the employee, matched by the employer; some employers use 10%.

Not when paid out from a recognised fund; employer contributions above 10% of salary or PKR 150,000 a year are taxed as salary.

Each month a fixed percentage of basic salary — commonly 8.33% (one-twelfth) or 10% — is deducted from you and matched by the employer; both shares plus the fund's profit accumulate to your balance. On a PKR 50,000 basic at 10% that is PKR 10,000 a month.

Not up to 10% of salary or PKR 150,000 a year in a recognised fund; anything above that limit is added to your taxable salary. Your own contribution earns a tax credit.

Provident fund is a contributory savings account built every month by you and the employer; gratuity is a lump sum the employer alone pays at leaving (typically 30 days' last salary per year of service). Many employers offer one or the other, some both.

About PKR 3.1 million on a PKR 50,000 basic at 10% + 10% with a 12% fund return and 8% salary growth — roughly 26 times your first year's combined contribution. Use the calculator for your own rate and growth assumptions.

Partial withdrawals or loans are allowed under the fund rules for specific purposes (house purchase, medical, marriage, education); full withdrawal is only at resignation, retirement or death.

A fixed percentage of basic salary — commonly 8.33% or 10% — is deducted from the employee and matched by the employer each month; the fund credits profit annually and the balance is paid out on leaving.

Not from a recognised provident fund approved by the Commissioner; the accumulated balance including the employer share and profit is exempt on withdrawal.

Most fund rules allow partial advances for house purchase, marriage, medical treatment or education, repayable or non-refundable depending on the trust deed.

Your own contributions plus profit are always paid; the employer's share usually vests after a minimum service period set by the fund rules (often 2–5 years).

Funds invest in government securities and bank deposits; credited rates have followed the SBP policy rate — the calculator defaults to 12% and lets you change it.

Exempt up to the lower of 10% of basic salary and PKR 150,000 a year; any excess is added to your taxable salary.

Provident fund grows with profit and vests gradually; gratuity is a lump sum of about 30 days' pay per year paid only at exit. Many employers provide both.

On a PKR 50,000 basic with 8.33% each side and 12% profit, roughly PKR 1.9 million with monthly compounding — enter your own figures for the projection.