What is a Provident Fund? Provident Fund (PF) is the most basic superannuation fund. Every person, who works in a company with more than 10 employees and whose salary is Rs. 15,000 or above will hold a PF account. It is a compulsory government measure to ensure that all employees have a financially secured retired life. Every month, a part of the employee’s salary along with a contribution from the employer is deposited in a PF account. The government then pays an interest on this amount. PF money is handed to the employee after their retirement, though they can also withdraw it before that. While you can invest in a much more lucrative option at a personal level, this mandated savings option allows you to create a slow and steady corpus for the future.