Nepal SSF & PF Calculator

Basic, not gross

Every contribution here is a percentage of basic salary. Allowances, overtime and bonus are excluded. On a Rs 100,000 package with basic at 60%, calculating SSF on gross instead of basic overstates the monthly cost by Rs 12,400 — the tool shows both if you ask it to.

Gratuity is not an extra cost under SSF

The Labour Act 2074 sets gratuity at 8.33% of basic, accruing from day one. Where the employer is enrolled in SSF, that 8.33% is already inside the employer's 20% and flows to the Old Age Protection scheme. Adding it on top double-counts it, which is the usual error when comparing SSF with the old PF arrangement.

Who pays the 31%

The employee sees 11% come off the payslip. The employer pays 20% on top. Those are different numbers from the scheme breakdown below, and both are correct — one says where the money comes from, the other says where it goes.

Paid by	Share	Made up of
Employee	11%	10% pension + 1% social security tax
Employer	20%	10% pension + 8.33% gratuity + 1.67% additional
Total	31%	of basic salary

Note the employer's 8.33% in that table. It is the same 8.33% gratuity discussed above — it is not a separate cost sitting alongside SSF, it is part of the 20%.

Where the 31% goes

Old-age protection 28.33%, accident and disability 1.40%, medical, health and maternity 1%, dependent family 0.27%. Those four add to exactly 31%.

So 28.33 of every 31 percentage points is retirement money — pension and gratuity. The protection you are buying with the remaining 2.67% is real but small in cash terms, which is worth knowing before treating SSF as primarily an insurance scheme. It is primarily a retirement scheme with insurance attached.

What the contributions actually buy

Four benefit pillars, in the order most people need them:

• Medical, health and maternity — treatment and maternity protection.
• Accident and disability — workplace and, within limits, non-workplace injury.
• Dependent family — protection for dependants on the death of a contributor.
• Old-age pension — the 28.33% above, drawn as pension or lump sum depending on contribution history.

Benefits are contingent on contribution history, so a gap in deposits is not only a gap in the balance.

Sources

• Contribution Based Social Security Act 2074 and Contribution Based Social Security Regulation 2075; scheme allocations per ssf.gov.np.
• Labour Act 2074 — gratuity at 8.33% of basic from day one.

Deposit is due within 15 days of month end; late deposits attract interest. An estimate for planning, not advice. Nothing you type leaves your device.