Do you work in organized sector and deposit PF? If yes, then this news is very important for you! Some of the schemes run by EPFO for the employees are no less than a boon. Do you know that PF employees also get the benefit of pension every month?
The EPS scheme launched by EPFO is like a gift for a large section. You can also take advantage of this scheme sitting at home, which is no less than a golden opportunity. To avail the benefits of the pension scheme, some important things have to be kept in mind.
How to get pension benefit every month?
It is very important to know what are the things related to EPS scheme.
EPS Scheme: Boon for employees
The central government gives the benefit of interest to the employees every year. Now the government will also give pension to the employees every month through EPS scheme, the benefit of which you can also get.
The following employees will get the benefit of this scheme:
Employees retired at the age of 58
Those who have been employed for at least 10 years
If you have served less than this, you will be deprived of EPS.
EPS Scheme:
- Launched in the year 1995
- Existing and new EPF members will be included in this
- 12% of the employee’s salary is contributed to the EPF fund.
- The entire contribution of the employee is transferred to the EPF account.
- 8.33% of the employer/company’s share goes into the Employee Pension Scheme (EPS)
- 3.67% is transferred to EPF account monthly
Important conditions related to the scheme:
The employee must have been employed for at least 10 years
Employee should be 58 years of age
Employees can start withdrawing money from EPS when they turn 50 years of age
This scheme is like a boon for the employees. This scheme will act as a support in old age.
If you want to join the EPS scheme, you can get more information by visiting the EPFO website.
Also know:
The pension received under the EPS scheme is calculated on the basis of “pensionable salary” and “pensionable service period” of the employee.
Pensionable Salary: Average salary of last 60 months, including basic salary and dearness allowance (DA).
Pensionable service period: The number of months contributed by the employee to the EPS scheme.
If you want to join the EPS scheme and get regular pension after retirement, then start contributing to it now.
This information must have been useful for you. If you have any questions, don’t hesitate to ask.
Note:
This information is for general information only. Before taking any decision please visit EPFO website for more information.
The author will not be responsible for any error or confusion in the information given in this article.