A Provident Fund is a government-mandated savings scheme designed to help employees save for retirement. Both employees and employers contribute a percentage of the employee's salary to this fund, which accumulates over time. The funds are typically managed by a government body or a financial institution, ensuring that the money grows through interest. When employees retire or leave their job, they can withdraw the accumulated amount, which includes their contributions, the employer's contributions, and any interest earned. This system encourages long-term savings and provides financial security for individuals during their retirement years.