Retired Employees to apply for higher pension under EPS EPFO extended deadline up to May 3, 2023
Background
The Supreme Court declared that members of the Employees’ Provident Fund Organization (EPFO) who are also members of the Employees’ Pension Scheme might contribute more to their pensions if certain conditions are met. This has ended several years of uncertainty caused by judgements issued by multiple high courts that overturned an EPFO notification issued on August 22, 2014 in this regard.
Eligible Employee
The latest Supreme Court judgment – dated November 4, 2022 – has confirmed the following:
a) Any individual who joined the Employees’ Provident Fund (EPF) Scheme on or after September 1, 2014, will not be eligible to join the Employees’ Pension Scheme (EPS) if their basic salary exceeds Rs 15,000 per month
b) The maximum pensionable salary for the purposes of calculating the pension is still Rs 15,000 per month as notified by the EPFO in 2014. This means that even if the basic salary is higher than Rs 15,000 the employer’s contribution to pension will continue to be calculated on a basic salary of Rs 15,000.
Employees who were members of the EPS as of September 1, 2014 and had been making a greater contribution to the EPS – i.e., contribution on their actual wage if it was more than Rs 15,000 per month – received a one-time relief under the judgment. To continue making payments on the greater sum, these employees must now provide the EPFO with a joint declaration, along with their employer. This declaration must be made within four months of the judgment date. November.
New Extended Date for Applying
All eligible members can opt and apply jointly with their employers for higher pension till May 3, 2023 at unified members’ portal of retirement fund body EPFO. Earlier, there were apprehensions that March 3, 2023 is the last date for opting for higher pension.
How to apply?
Late last month, the EPFO activated the URL of the unified members’ portal which states that subscribers seeking a higher pension can apply for it by May 3, 2023.
Steps to apply for higher pension on EPFO portal:
– Visit the member e-Sewa portal – https://unifiedportal-mem.epfindia.gov.in/memberinterface/
– Click on the pension on higher salary: exercise of joint option
– Then, select application form for joint options
– Enter your UAN, name, DOB, Aadhaar number, Aadhaar-linked mobile number and captcha
– Enter the OTP received on your Aadhaar-registered mobile number
– Submit the application
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