With under a week remaining for individuals to submit applications for increased pensions through the Employees’ Pension Scheme (EPS), the Employees’ Provident Fund Organisation (EPFO) has released new guidelines for examining the data and salary information provided by employees and employers for an enhanced pension.
On April 23, the EPFO released a circular stating that field offices will review applications and joint choices for increased pensions. If the necessary documents are in order, the salary information submitted by employers will be cross-checked against the data held by these field offices. Keep reading to explore more on epfo passbook.
The last day to choose an increased pension is May 3
The final deadline for submitting applications to receive the enhanced pension through the EPS is May 3, 2023.
Uncertainty surrounding EPFO’s statement regarding increased pension
According to Amit Gupta, Managing Director of SAG Infotech, the EPFO in India still needs to clarify the surge in pension application submissions. The EPFO issued a notice explaining that it was up to the member to prove eligibility and that the process to request an increased pension was not automatic. However, the announcement needed more clarity on the specific eligibility criteria and the steps for determining eligibility, resulting in confusion among members.
Documents to submit
Amit Gupta, Managing Director of SAG Infotech, explained that eligible employees need to submit several documents, including an agreement permitting the transfer of money from the provident fund to the pension fund, evidence of the employer’s contribution to the provident fund based on higher wages exceeding the standard wage ceiling of ₹5,000/₹6,500, and a joint option form. This form includes a declaration from both the employer and employee, indicating their agreement to contribute a higher amount to the EPS, up to 8.33% of actual wages in the future. It is essential to have information about epfo member passbook.
Who all are eligible for higher pensions now?
- Employees who joined before September 1, 2014, and remained members on or after that date
- Employees and employers who made contributions based on salaries surpassing the standard wage ceiling of ₹5,000 or ₹6,500.
“In instances where the FO and employer details match, the dues will be calculated, and an order will be issued by APFC/RPFC-II/RPFC-I for depositing or transferring the dues. If there is a mismatch, the employer and employee or pensioner will be notified by APFC/RPFC-II and given one month to provide the complete information,” the EPFO stated in its circular.
The circular further explained, “In situations where the provided information is incomplete, appears incorrect, or requires corrections in the application or joint option form, APFC/RPFC-II will request additional information from the employers while informing the employees or pensioners within one month. The case will proceed as outlined in step 3 above if the complete information is received. However, if the full information is not received within a month, the APFC/RPFC-II/RPFC-1 will decide based on the case’s merits.”
How to apply?
All eligible employees must submit an application using the prescribed form on the EPFO portal and the required documents mentioned earlier in the text.
The form can be found on the UAN Member e-SEWA portal (https://unifiedportal-mem.epfindia.gov.in/memberinterface/).
Upon submission, the application will be verified by the employer and an EPFO officer.
If all the details are accurate, the dues will be calculated, and an order will be issued for transferring the dues.
In the event of a discrepancy, the EPFO will notify the employer and employee, providing a one-month window to complete the necessary information.
Interest Rate on Provident Fund Deposits Set at 8.15% for Fiscal Year 2023
The Employee Provident Fund Organization (EPFO) has increased the interest rate on employee provident funds to 8.15% for the 2023 fiscal year. This represents a slight uptick compared to the prior year and maintains the EPF interest rate as the highest within the small savings category.
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