New Delhi, April 14 -- Fixed returns are appealing, especially when the rate is higher than that of a fixed deposit (FD). Salaried employees get this from their employee provident fund (EPF), which tends to have a higher rate than FDs, but the interest rate is revised every year (it was fixed at 8.25% for FY25).

Employees contribute 12% of their basic salary to the EPF and the employer matches the contribution. If someone wants to invest more, they can do so through the Voluntary Provident Fund (VPF). In fact, 100% of your basic salary can be invested in EPF and VPF combined. The EPF contribution stays at 12% and the VPF contribution can go up to 88%. The employer, however, only matches the employee's EPF contribution. The entire sum ear...