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SSF vs EPF — What Changed?

Nepal replaced EPF with SSF for new employees in 2019 — here's what that means for your coverage and your old EPF balance

Key Takeaway SSF is a significant upgrade over EPF. SSF's 31% total contribution (vs EPF's 20%) funds four protection schemes — medical, accident, family protection, and retirement — replacing both EPF and gratuity. For new employees hired after May 2019, there is no EPF — only SSF.

Side-by-Side Comparison

Feature SSF (from 2019) EPF (old system)
Employee contribution 11% of basic salary 10% of basic salary
Employer contribution 20% of basic salary 10% of basic salary
Total contribution 31% 20%
Medical coverage (OPD) Yes — NPR 25,000/yr after 3 months No
Medical coverage (IPD) Yes — NPR 1,00,000/yr after 3 months No
Maternity benefits Yes — 98 days leave + newborn lump sum No
Accident & Disability Yes — Day 1, 100% workplace, up to NPR 7L No
Permanent disability pension Yes — lifetime monthly pension No
Dependent family protection Yes — 60% spouse pension, 40% per child No
Old age monthly pension Yes — from age 60 with 15 years No monthly pension
Lump sum withdrawal Yes — Retirement Fund, any age on job termination Yes — after retirement
Loans available Yes — after 36 months (housing, education, etc.) Yes — limited types
Tax deduction Yes — up to NPR 5,00,000/yr Yes — same limit
Separate gratuity needed? No — 20% employer contribution covers it Yes — separate gratuity required
Managed by SSF Board / MoLESS CIT (Citizens Investment Trust)
Applicable to new employees Yes — since May 2019 No longer used for new hires
Foreign worker eligible Yes — same 31%, same 4 schemes No specific provision

What Happens to My Old EPF Balance?

Your EPF balance stays at CIT — it is NOT automatically moved to SSF If you had EPF contributions before May 2019, that accumulated balance remains at Citizens Investment Trust (CIT). SSF and CIT are separate institutions. Your new contributions (from May 2019 onwards) go to SSF only. [Source: Social Security Act 2074 · nepaldivorce.com 2026]
You Cannot Be Forced to Transfer
Your employer cannot legally require you to transfer your accumulated EPF/CIT balance to SSF. The choice is entirely yours.
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You Can Transfer Loans
If you had a CIT/EPF loan, you can transfer that loan to SSF if you wish. The balance itself remains at CIT until you withdraw it.
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Withdraw from CIT Separately
When you retire or leave service, you claim your EPF balance from CIT and your SSF Retirement Fund from SSF — two separate claims to two separate institutions.
Sources for this comparison: Social Security Act 2074 · Operating Procedure 2075 · Labour Act 2074 · nepaldivorce.com 2026 · ssf.gov.np