With just less than a week left for individuals to apply for higher pensions under the Employees’ Pension Scheme (EPS), the Employees’ Provident Fund Organisation (EPFO) has issued new details for scrutiny of information and wage details submitted by the employee and employer for higher pension.
Deadline to opt for a higher pension is May 3
The last date to submit the application for the higher pension under the EPS is 3 May 2023.
Confusion over EPFO note on higher pension
As per Amit Gupta, MD, SAG Infotech, EPFO in India has not been able to provide any explanation for the issue of a rise in pension applications. The EPFO published a notification stating that the member was responsible for establishing eligibility and that the process for asking for a higher pension was not automated. However, the announcement was vague regarding the eligibility requirements and the process for verifying eligibility, which led to members’ confusion.
Documents to submit
The documents that an eligible employee must submit include an agreement to allow the transfer of funds from the provident fund to the pension fund, proof of the employer’s share in the provident fund on higher wages exceeding the standard wage ceiling of ₹5,000/ ₹6,500, and a joint option form with a declaration from the employer and employee for a higher contribution to the EPS as high as 8.33% of the actual wages in the future.
Who all are eligible for higher pensions now?
1) Employees who were members before 1 September 2014, and continued to be a member on or after that date
2)Employees and employers who had contributed on salary exceeding the standard wage ceiling of ₹5,000 or ₹6,500.
“In the cases where FO details and employers’ details match, the dues will be calculated and an order will be passed by APFC/RPFC-II/ RPFC-I for depositing/transferring the dues. In the cases where there is a mismatch, the same will be informed to the employer and the employee/pensioner by APFC/ RPFC-II. They will be given a time of one month to complete the information,” EPFO said in its circular.
“In cases where the submitted information is not complete or seems erroneous or any information in application/ joint option form needs correction request or is not found eligible, APFC/RPFC-II will seek information from the employers under intimation to the employees/pensioners within one month. If complete information is received, the case shall be processed further as at 3 above. However, if, complete Information is not received within one month, the order will be passed on merit by the APFC/RPFC-II/RPFC-1,” it added.
How to apply for a higher pension
All eligible employees will have to submit an application in the prescribed form on the EPFO portal along with the necessary documents as mentioned above in the copy.
The link can be accessed at the UAN Member e-SEWA portal (https://unifiedportal-mem.epfindia.gov.in/memberinterface/).
The application will be verified by the employer post-submission by the EPFO officer.
If all details are correct, then dues will be calculated and an order will be passed for transferring the dues.
In case of a mismatch, the same will be communicated to the employer and employee by EPFO and they will be given a time of one month to complete the information. PF deposits interest rate for FY23 to 8.15%