Nepal CIT & EPF Calculator
Compute statutory Employees' Provident Fund (EPF 10% + 10%) and Citizen Investment Trust (CIT) voluntary deductions in Nepal. Includes Section 63 income tax exemption checks and loan borrowing ceilings.
Contribution & Savings Profile
Base monthly wage used for EPF 10% contribution matching
Voluntary deduction from gross salary deposited into CIT account
Historical yield 6.5% - 8.0% p.a.
Retirement Corpus & Tax Savings
Total accumulated balance available upon retirement or separation
📊 Statutory Breakdown Matrix
| Statutory Component | Amount / Metric |
|---|---|
| Employee EPF Contribution (10%) | -- |
| Employer EPF Contribution (10%) | -- |
| Voluntary CIT Contribution | -- |
| Total Monthly Corpus Savings | -- |
| Sec 63 Tax Deductible Exemption | -- |
| Estimated Annual Tax Relief | -- |
| Eligible Special Loan Borrowing Limit | -- |
Key Distinctions: EPF vs. CIT vs. SSF in Nepal
| Feature | Employees' Provident Fund (EPF / KSK) | Citizen Investment Trust (CIT / NLK) | Social Security Fund (SSF) |
|---|---|---|---|
| Mandatory / Voluntary | Mandatory for govt / enrolled entities | Voluntary personal savings | Mandatory for all formal private sector |
| Contribution Rate | 10% employee + 10% employer match | Flexible employee monthly amount | 11% employee + 20% employer (31% total) |
| Section 63 Tax Relief | Lower of 1/3 income or NPR 300,000 | Lower of 1/3 income or NPR 300,000 | Lower of 1/3 income or NPR 500,000 |
| Loan Facility | Up to 80% special loan + housing | Up to 80% participant loan | Up to 80% borrowing from retirement fund |
How to Maximize Your Tax Shield in Nepal
If your annual taxable income is NPR 1,200,000, 1/3 of your income is NPR 400,000. Because the statutory limit is NPR 300,000 under Section 63 of the Income Tax Act, contributing NPR 25,000 per month (NPR 300,000/year) between EPF and CIT lowers your top taxable income bracket from 30% to 20%, generating up to NPR 60,000+ in pure tax savings annually.
Engr. Muhammad Shahzad
Principal Financial Systems Architect & Statutory Compliance Specialist
Lead software and systems architect specializing in high-performance browser computing, algorithmic validation, financial models, and zero-telemetry client-side privacy architecture.