In case the PF amount is not settled within 20 days to whom the matter is to be reported?
He can approach the Regional P.F. Commissioner in charge of grievances; file a complaint on the website using the EPFiGMS feature in the section ‘FOR EMPLOYEES’. The url for the grievance page is http://epfigms.gov.in/ or he can appear before the Commissioner in the ‘Nidhi Apke Nikat’ program being conducted on 10th of every month.
What is the method of crediting interest to the P.F. subscribers?
The compound interest is credited on monthly running balance basis at the statutory rate declared for each year. For 2016-17 the interest declared is 8.65%.
Whether provident fund provides for any refundable loan for Housing etc.?
No. But non-refundable loans for housing are available.
Whether an unmarried person can nominate somebody from outside?
Yes. But, on acquiring a ‘Family’ the nomination is treated as invalid and the benefits under EPS-1995 shall be paid to the spouse and children, if any.
What are the advantages of taking a Scheme Certificate?
1 It facilitates transfer of Pension Accounts when the employment is changed. 2 If the Holder of Scheme Certificate dies the family will get family pension.
Can I change my Date of Birth/Age?
Yes. Date of Birth/Age once given is not normally changed, however it can be changed with proper documentary evidence. You can see the guidelines provided in circular ‘Change of Date of Birth for EPF & EPS members’ dated 03/04/2020, available on our website https://www.epfindia.gov.in/site_docs/PDFs/Circulars/Y20202021/Circular_on_date_of_Birth_0302020.pdf.
Who is eligible to get a Scheme Certificate?
A member whose service is 10 years or more and not attained the age of 58 years will be mandatorily issued scheme certificate. A member whose service is less than 10 years can avail the Scheme Certificate to carry forward his pension service but it is not mandatory for such member.
Whether Assurance benefit under EDLI Scheme is payable for death occurring after leaving the service?
No. Admissible only in case of death while in service.
To whom the EDLI benefit is payable?
EDLI benefit is payable to the persons eligible to receive the EPF dues.
What is the Universal Account Number?
Universal Account Number UAN is a 12 digit number allotted to each subscriber by linking it to the member’s currently active PF account number from 31/07/2014 to 30/11/2016. From 12/2016 any new member has to be allotted a Universal Account Number linked to the establishment’s code number.
Who allots the Universal Account Number?
The number is allotted by EPFO on the request of the Employer and populated in the Employer’s login in the unified portal www.unifiedportal-emp.epfindia.gov.in. The UAN can also be generated by any individual using his/her Aadhaar if his UAN is not already generated.
How can I know the balance in my PF account?
Please activate your UAN and check/download your passbook.
How to Update Bank account?
A member can update his bank account through member portal which is then approved by employer.
How do I get my grievances redressed?
A complainant can lodge his/her grievance online on – https://epfigms.gov.in. If the complainant has UAN/Establishment/PPO number then he can directly enter his respective detail and fill his/her grievance category and description of grievance along with uploading supporting documents. Thereafter his grievance is forwarded to the concerned PF office which is linked to its UAN/Establishment/PPO number, If the complainant does not have UAN/Establishment/PPO number then he/she can register his grievance in Others category where he has to fill all the details along with the PF Office to which the grievance pertains. After successfully lodging the grievance a unique registration number is generated and sent on his mobile number or on email id. The complainant can see/check the status/disposal of his grievance on the above mentioned portal through registration number. The EPFiGMS is an interactive portal as the complainant can add additional supporting document pertaining to his grievance and EPFO offices too can ask for documents as well as seek further inputs from the complainant regarding his/her grievance. The EPFiGMS portal also has the provision for seeking feedback from the complainant with respect to quality of redressal of his/her grievance in the form of star ratings.
What is an Inoperative Account?
An account is classified as Inoperative account in which contribution has not been received for 3 years after retirement or permanent migration abroad or in case of death. At present, all accounts will earn interest upto 58 years age of a member.
Will my inoperative account earn interest?
No. However, at present, all accounts will earn interest upto 58 years age of a member.
What should I do if my account becomes inoperative?
If you are still working in an establishment covered under EPF & MP Act, 1952, you should get the amount transferred into your new account either by online or offline mode. If you have retired then you may withdraw the amount.
Will tax be deducted at source TDS if my service is more than 5 year 60 months
No.The service rendered at previous as well as present employer would be added to arrive at total service.
What is the benefit of providing PAN?
If a member provides/link PAN and the PF balance is more than Rs. 50,000/ and service rendered is less than 5 years, then tax TDS would be deducted @10% and not at 34.606%.
What is Form 15G/15H?
Form 15G and Form 15H are declarations which can be submitted to receive payments without deduction of tax in case of members having total annual income of Rs. 2.50 lacs and 3.00 lacs respectively. Form 15H is applicable for Senior Citizens 60 years or older whereas Form-15G is for everybody else. Also, a member must have a PAN before applying in these forms.
How many copies of 15G/15H have to be submitted?
Two copies of form 15G/15H, whichever is applicable, are to be submitted with the claim forms.
How to file Nomination form for EPF?
Form No-2 is prescribed under Employees Provident Fund, employees’ Pension Scheme and Employee’s Deposit Link Insurance Scheme for submitting family and nomination details.
What are benefits of submitting Form No-2
In case of a members’s death, the family can get the benefit PF/Pension/Insurance without any delay.
How do I fill Form No-2?
Member can submit Form No.-2 online through the employer. E-sign facility has also been extended to the members to submit Form No.-2 online. In case, new family member is added, the EPF member should fill Form No- 2 to update the details in EPFO. Form No.-2 can be submitted online as well as offline mode.
Whether a daily rated employee or the piece rated employee can become a member of the EPF?
Yes
If an employee is paid wages on daily basis or on piece rate basis how the contribution is determined?
The wages paid in a calendar month will be taken to determine the contribution due.
Can an employee contribute to the EPF after leaving the service?
No. In the absence of wages & Employer no recovery can be affected. Any contribution by the member must be matched with employer’s share of contribution.
How a member is informed about the non-payment of contributions recovered from the wages of the employee but not paid to the EPF? 11
The Annual P.F. Statement of Account/Member Passbook will indicate the amount paid by the employer. The default period in a year is thus made known to the members. In the current scenario if the member has activated her/his UAN the non-payment/payment of contributions can be verified every month through the e-passbook. Currently, members also receive sms on their registered mobile phones on credit of monthly contribution into their PF account.
Whether the P.F. amount credited to the member can be attached against any liability?
No. The Provident Fund enjoys protection against attachment by any Court also as per the provisions of section 10 of the EPF & MP Act,1952.
When wages are not collected by the member whether the PF can be deducted or not?
The employer, before paying the member his wages, is required to deduct the PF contribution from his wages and pay to the Regional PF Commissioner. As such PF can be deducted.
Can a member pay contribution in excess of the statutory rate of 12%?
Yes. The member can pay voluntary contribution in excess of his normal contribution of 12% of Rs.15000/-. The total contribution i.e., voluntary + mandatory can be up to Rs.15000/- per month. The employer may restrict his own share to the statutory rate. The member can also contribute on higher wages i.e., >15000/- after getting permission from APFC/RPFC as per the provisions of para-266 of the Scheme.
Is there any time limit for withdrawal of Provident Fund dues?
Only in the case of resignation from service not superannuation a member has to wait for a period of two months for withdrawal of the PF amount.
In case of change in employment whether a member can get his PF account transferred?
On change in employment, the member should necessarily get his PF account transferred to his present establishment, duly submitting Form 13R. A member can submit claim for transfer online using member interface at unified portal.
If past accumulations are not transferred on cancellation of exemption, how the provident fund amount is paid to the members?
The local RPFC will ensure transfer of securities/cash and arrange for refund of dues to the members.
How is a PF member informed of the transfer affected?
A copy of Transfer Certificate Annexure-K issued to the transferee Regional P.F. Commissioner/P.F. Trust giving full details of the transfer can be requested from the EPF office.
If an employee is not given the PF membership, to whom he can approach?
He can approach his employer failing which he can approach the Regional Provident Fund Commissioner of the nearest PF office.
Can an employee become a member of EPF without any age restriction?
There is no age restriction for becoming a member of the Provident Fund, whereas an employee who has already attained the age of 58 cannot become a member of the Pension Fund.
Whether an employee can become a member of the EPF without any restriction to his salary/wages?
The employees who are drawing the basic wages and dearness allowance up to Rs.15, 000/- are alone eligible to become a member. He will continue to be a member even when his pay exceeds Rs.15, 000/-. However, his contribution to the Fund will be restricted to Rs.15, 000/-. The employer is also required to pay his matching contribution up to Rs.15, 000/-. Employees drawing more than Rs.15000/- can also become a member of EPF by giving option under para 266 of the EPF Scheme. The option has to be submitted to the EPF office within 6 months of joining of such member.
Whether an apprentice can become a member of the EPF?
No. But when he ceases to be an apprentice he should be enrolled immediately.
If an employee is drawing more than Rs. 15000/- Basic + DA only is he required to become a member of the EPF?
Such employee is not required to become a member, if he is not already holding the PF membership. Otherwise, if both the employer and employee are willing, he can become a member by giving option under Para-26 6 of the PF Scheme. The option has to be submitted to the EPF office within 6 months of joining of such member.
Whether an employee can continue as a PF member even after his retirement?
Yes. If one continues to work even after attaining the superannuation age.
Is there any option available to an employee whether to become a member of the EPF or not?
No option.
Whether an EPF member can discontinue his membership, while in employment?
Not permissible.
How long an employee can continue his EPF membership?
There is no restriction of period for membership. Even after leaving the establishment a person can continue his membership. However, if no contribution is received into a PF account for 3 consecutive years the account shall not earn any interest after 3 years from the stopping of contribution.
What will happen for the EPF membership of an employee during the period of closure, lock-out, strike etc.
During such period the membership will continue and in the absence of wages no recovery of contribution will be made.
Whether an employee can continue his EPF membership after leaving the employment?
Yes
Whether any employee can join the EPF directly?
No. It is only by way of employment in an establishment covered under the provisions of the EPF & MP Act, 1952.
How long a member can retain his Provident Fund in his account?
The membership can be retained till the withdrawal of his Provident Fund dues. However, if the account does not receives any contributions for more than 3 years interest won’t be credited to the account after the 3rd year.
In the absence of nomination, how the P.F. amount of a deceased member is paid?
It is payable to the family members in equal shares, under Para 70 ii of EPF Scheme, 1952. If there is no eligible family member, it is payable to the persons who are legally entitled to it.
Whether a Scheme Certificate holder with a service period of 8 years can avail the withdrawal benefit on surrender of Scheme Certificate?
Yes. But it is advisable that the member should complete 10 years of pensionable service so that he gets eligible for pension under the EPS 1995 on attaining the age of 50 years early/reduced pension or 58 years superannuation pension.
Whether Assurance Benefit is payable to missing EPF member?
Payment of Assurance Benefit under EDLI Scheme 1976 is only available on the member’s death while in service to the nominees/legal heirs.
What is the maximum quantum of Assurance benefit?
Currently, the maximum assurance benefit is Rs.600,000/-.
Can a member withdraw the entire amount through money order?
No.
How can I know the status of my UAN?
The facility is available in the unified portal at https://unifiedportal-mem.epfindia.gov.in.
Whether an employer can deduct employer’s share of contribution from the wages of employees?
No. It is not permissible. Any such deduction is a criminal offence.
Can the wages be reduced by the employer on account of payment to the EPF?
No. It is specifically barred under section-12 of the EPF & MP Act,1952.
Whether the member is entitled for full interest on the belated deposit of PF dues by the employer?
After realising the dues, the PF members will be given full interest for each due month, and it will in no way affect the interest due to members on the contributions paid. The employer shall be charged penal interest under section 7Q and penal damages under section 14B of the Act respectively.
The contribution has been recovered from the wages of the employee, but the employer had not paid to the EPF. What is the remedy?
The Employees’ PF Organization will invoke penal provisions of the Act to recover the dues from the employer. Complaint can be lodged with Police under section-406/409 of IPC by the EPFO for action against such employers.
What will be the effect of non-payment of PF dues by an employer? Or how a member is affected for non-payment of EPF dues by the employer?
The Provident Fund amount due to the member will be paid only to the extent of the amount realised from the employer.
Whether an employer can recover any outstanding dues from the PF amount payable to a member?
No. It is totally prohibited.
What are the measures by which the PF amount is recovered from a defaulting employer?
Attachment of Bank Accounts, Realisation of dues from Debtors, Attachment & Sale of properties, Arrest and Detention of the Employer, Action under Section 406/409 of Indian Penal Code and Section 110 of Criminal Procedure Code, Prosecution under section 14 of the EPF & MP Act,1952.
When an employer becomes insolvent or when a company is wound up, whether the contributions will be paid in priority over other debts?
Yes
Can a member demand for showing the recovery of contributions from the employer?
Yes. The contribution card of each member in Form 3-A/ECR copy can be demanded from the employer
How the contract employees are protected and given their P.F. when the contractor is not paying the dues to the principal employer?
It is the duty of the principal employer to ensure that the Contractor discharges his liability. The Principal Employer must allow payment of bills after ensuring that the Contractor has enrolled and complied in respect of all eligible contract employees every month. The Principal Employer can check the remittance and employee name by using the Establishment Search option available in our website www.epfindia.gov.in. The path is OUR SERVICES >> For Employers >> Important Links >> Establishment Search Also view Remittances and member name. If the Principal Employer ensures that all contract employees activate their Universal Account Number UAN, then any default by the contractor can be nipped in the bud.
Whether an employer can stop paying Employees’ Provident Fund contribution in respect of a member who had attained the age of 55 or 60?
No. The Employees’ Provident Fund Contribution should be paid till the date of his leaving the service, irrespective of the age of the member. Employees who cease to be EEPS ension member will get Employers 8.33% contribution in PF.
When the employer is not attesting the claim form how to submit the application for withdrawal of provident fund?
It is the duty of the employer to attest the application form. In case of any dispute, the member may attain attestation preferably from the bank in which he has maintained his account and thereafter submit the same to Regional PF Commissioner, explaining the reasons for not obtaining the signature of the employer. The Regional P.F. Commissioner will pursue the matter with the employer wherever necessary.
I am an employee working in an establishment to which the PF Act is not applicable. Can I become a member of the EPF?
An employee can become a member only after the application of the Act to the establishment.
Whether the employee working in a Branch Unit of an establishment located outside the state is eligible to become a member of the EPF?
The Act is applicable to an establishment as a whole. Hence, its employees, irrespective of their place of work or location, are eligible to become member of the Fund.
If an employee is working in more than one establishment how his membership is regulated?
His membership is reckoned separately for each establishment. Under different Provident Fund Account Numbers/ member Ids
If an employee is transferred from one establishment to another establishment whether he is required to be enrolled as a member once again?
He is required to be enrolled as a member under the new establishment, for transferring his Provident Fund from his previous account.
If a person is working in an establishment without receiving any wages whether he can be given the PF membership?
Membership is allowed only where the wages are payable to an employee.
Where an establishment is having its own recognized private PF Trust whether an employee can be allowed to continue in the private PF without joining the EPF?
Employee can be allowed to join the private PF Trust, but the Trust has to take exemption from the EPF Scheme. He will however continue to be governed by the Pension and EDLI Schemes. All private trusts must obtain exemption from EPFO to enjoy Income Tax benefits.
Whether an employer can also join the PF?
No.
A Security Guard is working for different establishments; under whom he is required to secure membership?
A Security Guard is working for different establishments; under whom he is required to secure membership?
If the establishment is not employing 20 persons, whether an employee can join the EPF?
Yes. The majority of employees and the employer can voluntarily opt for joining the Scheme as per provisions of Section-14 of the Act Voluntary Coverage.
An employee who joins an establishment at the age of 58 is eligible to become a member of the Pension Fund?
No.
In case the employer has failed to pay the pension contribution whether any pension is payable or not?
Non-payment of pension contribution by an employer will not affect the grant of Pension. Pension is guaranteed.
How the pension of a member who works for different establishment is determined?
The wages and the service of the member are consolidated to determine the Pension.
Whether Withdrawal Benefit will be payable to a member in case of defaulting establishment?
In respect of an establishment defaulting in remitting contribution to the Employees’ Pension Fund 1995 for any period, withdrawal benefit will not be paid to the member in respect of the default period. The member is entitled to withdrawal benefits only in respect of the period for which the contributions are received.
Whether a PF member can submit claims for settlement without attestation of the Employer?
Currently the member can submit 3 types of claims without attestation of Employer namely, Form-19, 10C and 31. However, the member must ensure that his UAN is activated and at least the bank account and Aadhaar KYC’s in respect of his account are approved by the Employer using his Digital Signature Certificate.
What if my employer is not available to sign the claim form or the establishment has closed down?
In such a scenario, the claim form may be attested by the Manager of the Bank in which your savings Bank Account is currently maintained. Or where the employee finds it difficult to get the attestation of the employer, the member can update the KYC by submitting a request to concerned field office duly attested by one of the authorised officials, The complete list of authorised officials is as prescribed in para 10.18 of the MAP Vol. II.
Whether an employee can become a member of the Pension Scheme only, without contributing to the PF?
No. By virtue of membership of Provident Fund only one can become a member of the Pension Scheme. From 01/09/2014 any new employee joining an establishment and drawing basic wage more than Rs.15000/- per month can only become a member of the PF after submitting option as per the provisions of Para 266 of the EPF Scheme. However, he cannot get the membership to the Pension Fund. Both employee share of 12% and employer share of 12% contribution shall be paid into the Provident Fund only for all such employees.
Whether an employee already drawing Pension under EPS, 1995 is required to join the PF and Pension Fund? 52
He is required to join only the PF and he cannot become a member of the Pension Scheme.
What is the need for giving nomination for pension?
On the death of a Pension member before receiving the pension, if there is no eligible family member, pension is payable to the nominee.
Whether an employee who has not opted for the earlier Family Pension Scheme, 1971 can join the EPS-1995 ?
Yes
What is the formula for calculating the Pension amount?
Pension= Pensionable Salary average of last 60 months X Pensionable Service/70.
What is the quantum of pension a member can get on his superannuation?61
A member who joins the Employees’ Pension Scheme 1995 at the age of 23 and superannuates at the age of 58, and contributing to the present wage ceiling of Rs.15000/- may get about Rs.7500/- as pension if service is 35 years.
Pensionable Salary X Pensionable Service/70 = 15000x35/70 = 7500
How the average salary is determined for granting pension?
The average salary is determined only for giving the pension to member. It is the average of last 60 months. Non-contributory period, if any, is reduced
In case of death of a member, who was an Ex-serviceman whether family pension is payable or not?
Family pension is payable i.e. in addition to the Military Pension, i.e. family pension under Rule 54 of the CCS Pension Rules, 1972. Effective from 27-07-2001 only
Can a member seek exemption from the Pension Scheme?
Individual member cannot seek exemption from the Pension Scheme. Only an establishment can seek exemption.
At what age a member is eligible for pension?
A member is eligible for pension on superannuation at the age of 58 years. If a member leaves employment between 50 and 57 years he can avail the early reduced pension.
What is the service required for giving pension in case of death of the member?
In case of death of a member, The family pension and children pension is payable even after receiving one month’s contribution including part of the month for Pension Fund.
If a member dies to whom the pension is payable?
On death of the member the Pension is automatically payable to the spouse Widow/Widower. In addition, the children are also eligible till attainment of 25 years of age 2 at a time. Any disabled child in the family shall get disabled pension for life apart from the two child pensions.
Can a pensioner get pension anywhere in the country?
Yes
Is there any increase in the pension amount every year?
No
When a member avails reduced pension at the age of 50 can he get his full pension on attaining 58 years?
No. Once Pension is sanctioned it cannot be altered.
What are the criteria for determining the date of eligibility for early pension Before 58
The member is required to indicate his option regarding the date from which he requires early pension in the application form. If no date is given in the claim form then the date of application shall be taken as the opted date.
Can a member avail pension even while he is in service?
The member who continues in service even after 58 years can avail the Pension from the age of 58. If a pensioner, who has availed the early pension, may take up employment thereafter and in such cases he will not be eligible to join the Pension Scheme. And the 8.33% contribution from Employer side will go towards EPF fund.
Can I surrender or sell my full pension for getting a lump sum payment?
No
Can a married daughter be excluded from receiving the family pension?
The marital status has no relevance if the children are below 25 years; they are eligible for family pension in the event of demise of the member.
If a member is having two wives to whom the family pension is payable?
If the second marriage is legally valid, it is payable to the eldest wife with reference to the date of marriage and on her death, payable to the next surviving widow.
In the absence of family member whether a pensioner can nominate any other person to receive family pension?
No. In the absence of family member on the date of the death of the member before eligibility for member pension, the family pension is payable to nominee and in the absence of a valid nomination it is payable to dependent father followed by dependent mother. Once the pension is received by the member there is no validity for nomination. A pensioner cannot nominate any person.
What will be the effect of unemployment period under the Pension Scheme?
The unemployment period will be excluded from the actual service. Pension is based on contributory service only.
Is it possible to exclude my spouse from receiving the family pension?
No. The spouse is an automatic beneficiary unless he/she is legally divorced.
In the absence of family members family here means the family procreated by the member and not the family in which he/she was born and nominee, to whom the pension is payable?
It is payable to the dependant parents.
Who is eligible for disablement pension?
EPS-95 member irrespective of age and service who is permanently and totally disabled during the employment shall be entitled to Pension. A member applying for benefits under this provision shall be required to undergo such medical examination prescribed by the Central Board to determine whether or not he or she is permanently and totally unfit for the employment which he or she was doing at the time of such disablement.
Why a pensioner’s widow gets lesser pension when compared to non-pensioner’s widow?
The pension and family pension under Employees’ Pension Scheme, 1995 are the Social Security benefits. It is viewed as a need based benefit. It is not related to the quantum of contribution paid by a member. A pensioner after attaining the age of 58 years is to take care of his spouse and in his absence the liability is restricted to one person. Hence 50% of the pension is payable. Whereas in the case of a member non-pensioner who dies leaving behind his spouse, children who are yet to complete their education, marriage etc. and also considering the pre-mature death of a member the quantum of pension payable to non-pensioner’s widow is on the higher side.
Whether family pension is payable to a widow who was married to a pensioner? After his superannuation
The widow of a pensioner is eligible for family pension irrespective of the date of marriage whether prior to his superannuation or thereafter
In case the widow or widower remarries, to whom the family pension is payable?
The pension payable to the widow/widower will be stopped and thereafter the children pension will be converted to orphan pension 75% of the widow pension.
What is the period up to which pension is payable to the widow or widower?
Pension is paid till the remarriage of the widow/widower or till death.
When a member is having children through his first and second wife, how the eligibility for children pension is determined?
When a member is having children through his first and second wife, how the eligibility for children pension is determined?
Is it necessary to open a separate bank account to draw the child pension?
Yes
Can the widow and children draw pension in different places/banks?
No. The pension should be drawn by widow and children in the same bank and branch.
Whether a member/family member can avail more than one pension for one service under the Employees’ Pension Scheme, 1995?
No
When and to whom the pensioner is to give a life and non-remarriage certificate?
All pensioners drawing pension under Employees’ Pension Scheme, 1995 are required to give a Life/Non-Remarriage Certificate, duly attested by the Bank Manager/Gazetted Officer after 12 months from the month in which the pension was sanctioned or date of submission of last Life certificate. Physical Life Certificate is to be submitted to the Bank through which the pension is being paid. Failure to submit Life Certificate after one year will result in stoppage of pension after 12 months from the date of submission of last Life Certificate or sanction of pension in case of new Pensioners. In place of physical life certificate ‘Digital Life Certificate’ DLC has been introduced from the financial years 201516. Now Pensioners can use their Aadhaar number to submit the DLC. The facility to submit DLC is available in ‘Common Service Centers’ CSCs, branches of Pension Disbursing Banks, ‘Post Offices’ through ‘India Post Payment Banks’ IPPB as well as PF offices.
Whether the Orphan Children are eligible for double Orphan Pension where both the parents were making contributions under Employees’ Pension Scheme, 1995?
Yes. The benefit under the Pension Scheme is a direct consequence of the contributions paid by the member of EPS, 1995; hence, if both parents were members and have contributed independently to the said Scheme, the Orphan will be eligible to two pensions separately. The normal ceiling as provided for in the Employees’ Pension Scheme shall, however, continue to apply.
Whether member can delay the pension beyond 58 years?
Yes, the member has option to delay the pension beyond 58 years:
1 Member can opt for receiving pension after attaining 59 or 60 years of age, but pension contribution stops after 58 years. In this scenario quantum of pension is increase by 4% per year beyond 58 years.
2 Member can opt for receiving pension after attaining 59 or 60 years of age, but pension contribution continues after 58 years. In such a scenario the quantum of pension shall be higher than the first case cited above.
Whether pension can be paid by money order or cheque?
Pension is payable through the designated banks notified for each region through Core Banking Solution.
Does a member contribute to employees’ Pension Scheme and employees’ Deposit-Linked Insurance Fund Scheme EDLI?
No. The employer pays 12% out of which 8.33% is diverted to Pension Fund. An employer also pays 0.5% of Pay in EDLI Scheme.
How do I fill Form No-2?
Member can submit Form No.-2 online through the employer. E-sign facility has also been extended to the members to submit Form No.-2 online. In case, new family member is added, the EPF member should fill Form No- 2 to update the details in EPFO. Form No.-2 can be submitted online as well as offline mode.
What does Commutation of Pension mean ?
Commutation of Pension means payment of lump sum amount in lieu of a portion of pension surrendered voluntarily by the pensioner. This option has been deleted with effect from 26.09.2008.
What is Employees’ Pension Amendment Scheme 2020?
In the Employees’ Pension Scheme 1995, after paragraph 12, the following paragraph has been inserted which is thereby called Employees’ Pension Amendment Scheme 2020:
“12B. Restoration to normal pension in cases of grant of commutation - The normal pension in respect of those members who availed the benefits of commutation of pension under the erstwhile paragraph 12 A of this Scheme on or before the 25th day of September 2008 shall be restored after completion of fifteen years of the date of such commutation.”
Who can avail the benefits of restoration to normal pension in cases of grant of commutation?
Those members who availed the benefits of commutation of pension under the erstwhile paragraph 12 A of this Scheme on or before the 25th day of September 2008 shall be restored after completion of fifteen years of the date of such commutation.
When pensioners who opted for commutation will receive their full pension?
The Pensioners would receive their full pension after completion of fifteen years from the date of commutation.
Has there been any educational programme conducted for pensioners?
Yes. EPFO is conducting webinars through its Regional Offices and Pensioners may request the concerned Office for participation to resolve any query.
My PF amount got transferred from my previous MID to my present MID. However my Pension amount has not been transferred. What to do?
The pensionary benefits are dependent on the length of service and the average of last wages drawn. It does not depend on the actual amount lying in the Pension Fund Account. Hence this amount is not transferred during change of employment and a mere transfer of past service history makes the member eligible for pension related benefits
Can I enter different DoE for EPF and EPS, or enter DoE for only EPF or only EPS, by using the “Mark Exit” option in the UAN Member Portal?
It is possible to different Date of Exist for EPF and EPS, Please note that the date of exit form EPS may be blank if member is not an EPS member. It can be also earlier that date of exit PF only when the member has completed 58 years age. But it cannot be later than the exit form PF. For an EPS member not completed 58 years the date of exit in both has to be same.
What is condition for receiving the withdrawal benefit in case of International Workers from SSA countries, under EPS, 1995?
Only, those IWs who are covered by a SSA will be eligible for withdrawal benefit under the EPS, 1995 provided they have not rendered the eligible service i.e.10 years even after including the totalisation benefit, if any, as may be provided in the said agreement.
What is the condition for receiving the withdrawal benefit in case of International Workers from Non SSA countries, under EPS, 1995?
In case of IWs from Non SSA countries, withdrawal benefit under the EPS, 1995 will not be available.
Whether pension benefits can be availed by the claimant belonging to SSA country in their home country?
Yes, as portability has been provided in the SSAs, the persons covered under such SSA can opt for payment of Pension benefits in their home country.
Whether an employee, earning less than Rs.15000/- employed in an eligible establishment who is no longer a member of EPS, 1995 due his attaining age of 58 years but is a member of EPF Scheme, 1952 eligible for relief under this Scheme?
EPF members who are not EPS members due to completion of 58 years shall be eligible provided other conditions are fulfilled and the contribution from Central Govt. will be credited to his EPF account.
How the reduced rate of contribution will impact amount of pension in longer run?
The EPS contributions 8.33% of wages subject to ceiling of Rs.15000/- is diverted from employer’s share of EPF contributions. The reduced rate of EPF contributions to 10% will not reduce the pension contributions or benefits.
What will be the applicable formula for member pension calculation?
The pension calculation will be as per para 12 of EPS 95. The date of commencement of pension will determine the applicable formula for calculation of pensionable service, pensionable salary and pension.
How will member pensionable salary be calculated for members of EPS, 95 eligible for pension on higher wages who retired prior to 01.09.2014, where the date of commencement of pension is prior to 01.09.2014?
Since date of commencement of pension is prior to 01.09.2014, the pensionable salary shall be calculated based on the average monthly pay drawn during contributory period of service in the span of 12 months preceding the date of exit from the membership of the pension fund.
How will member pensionable salary be calculated for members of EPS, 95 eligible for pension on higher wages, who retired prior to 01.09.2014 but where the date of commencement of pension is on or after 01.09.2014?
Since date of commencement of pension is on or after 01.09.2014, the member pensionable salary shall be calculated based on the average monthly pay drawn during the contributory period of service in the span of 60 months preceding the date of exit from the membership of the pension fund.
How will member pensionable salary be calculated for members of EPS, 95 eligible for pension on higher wages, who retired prior to 01.09.2014 but where the date of commencement of pension is on or after 01.09.2014?
Since date of commencement of pension is on or after 01.09.2014, the member pensionable salary shall be calculated based on the average monthly pay drawn during the contributory period of service in the span of 60 months preceding the date of exit from the membership of the pension fund.
How will member pensionable salary be calculated for members of EPS, 1995 who have retired after 01.09.2014?
The member pensionable salary calculation shall depend on the date of commencement of pension. For example:-
‘A’ retired from establishment ‘X’ at the age of 60 years on 01.01.2015. Even though his date of retirement is 01.01.2015, for the purpose of EPS, 1995 he will be treated as superannuated at the age of 58 i.e. prior to 01.09.2014. Accordingly, his pensionable salary shall be calculated based on the average monthly pay drawn during contributory period of service in the span of 12 months preceding the date of exit from the membership of the pension fund.
‘B’ retired from establishment ‘X’ at the age of 50 years on 01.01.2012. Even though he retired in 2012, he can opt to take pension at the age of 58 i.e. after 01.09.2014. Accordingly, his pensionable salary shall be calculated based on the average monthly pay drawn during contributory period of service in the span of 60 months preceding the date of exit from the membership of the pension fund.
A member will be retiring in future say for example 2030. How will his pension be calculated?
The pension will be calculated based on the provisions of EPS, 1995 that will exist as on the date of commencement of pension.
Will my pension arrears be paid to me or adjusted against the demand of the contributions on the higher wages?
Arrears of pension will be paid to the pensioners in accordance with the existing process to comply with income tax provision relating to TDS.
What is the provision for Settlement of PF & EPS for Nepal employees as they don’t have bank account in India
The proviso as given under b of sub-para 2 in para 83 of EPF Scheme, 1952 is reproduced below:-
Provided that the worker who is a Nepalese national on account of Treaty of Peace and Friendship of 1950 and the worker who is a Bhutanese national on account of India-Bhutan Friendship Treaty of 2007, shall be deemed to be an Indian Worker Accordingly, the UAN for such employee can be generated only based on Aadhaar as in the case of other Indian Workers.
