Employee Pension Scheme (EPS) came into force on 16th November 1995. This scheme applies to all the employees of factories and other establishments to which the Employees Provident Funds and Miscellaneous Provisions Act, 1952 applies. 

COMMERCIAL BREAK
SCROLL TO CONTINUE READING

The Provident Fund under the Employees' Provident Fund Scheme, contributions payable by the employer each month, a part of the contribution representing 8.33 per cent of the employee’s pay shall be remitted by the employer to the Employees’ Pension Fund within 15 days of the close of every month. The Central Government will also contribute at the rate of 1.16 per cent of the pay of the members of the Employees' Pension Scheme and credit the contribution to the Employees' Pension Fund. 

However, if the pay of the member exceeds Rs 15,000 per month the contribution payable by the employer and the Central Government be limited to the amount payable on his pay of Rs 15,000 only. 

Eligibility Criteria 

1. For availing the pension benefits under the EPS 95 Pension scheme the employee must serve a minimum of 10 years in service. 

2. The age of retirement is 58 years. 

3. Member can also withdraw his/her EPS at a reduced rate from the age of 50 years 

4. If an employee has completed less than 10 years of service. but more than 6 months’ service, then he/she can withdraw the EPS amount on being unemployed for more than two months

See Zee Business Live TV Streaming Below:

5. If any employee becomes disabled totally and permanently, then he/she is entitled to a monthly pension irrespective of the fact that he has not served the pensionable service period and is payable for his lifetime. However, the member may have to undergo a medical examination to check whether he is unfit for the job that he was doing before becoming disabled. 

6. A member’s family also becomes eligible for Pension benefits in case of death of the member while in service. 

Benefits under EPS'95  

* Pension to the nominee for entire life paid on the death of the member in case there is no family as defined under EPS'95. 

* Lifelong pension equal to monthly widow pension paid to dependent father/mother on the death of member provided there is no family or nominee of the member. 

Steps to submit EPS nomination digitally 

Step 1 Visit EPFO website >>Click on Services >> For Employees  

Click ‘Member UAN/Online Service (OCS/OTCP). 

Step 2 Login with UAN and Password. 

Step 3 Select E—Nomination under 'Manage Tab. 

Step 4 Provide details Tab will appear on the screen. Click ‘Save ‘. 

Step 5 Click 'Yes' to update Family Declaration. 

Step 6: Click Add Family Details. (More Than one nominee can be added) 

Step 7 Click 'Nomination Details to declare the total amount of share. Click 'Save EPF Nomination'. 

Step 8 Check ‘E-sign' to generate OTP. Submit ‘OTP' send on 8 mobile numbers linked with Aadhaar e-nomination is now registered with EPFO. After e-nomination, no need to send any document to the employer or ex-employer.