Benefits Under EPFDr. G C Mohanta, BE(Mech), MSc(Engg), MBA, PhD(Mgt)

Professor

Major Benefits Under EPF Provident Fund Benefits Pension Benefits Death Benefits

1. Provident Fund benefits

Employer & employee contributes to employee’s PF @ 12% each ( 10% in case of sick industrial co.

EPFO guarantees Employer’s contribution and credits interest

Member can withdraw from these accumulations to cater to financial exigencies

On resignation, the member gets back his PF contribution, Employer Contribution and Interest

2. Pension Benefits

1. Pension to Member 2. Pension to Family (on death of member)

3. Pension Scheme Certificate After attaining the age of 50 or above,

the member can apply for Pension by surrendering the Certificate

Pension Benefits

4. Withdrawal Benefit If not eligible for pension, member can withdraw

the amount accumulated in his pension account 5. No amount is taken from Member to give

Pension to the Member Employer and Govt. contributes to Pension fund

@8.33% and @1.16% respectively 6. EPFO guarantees pension to members,

even if the Employer has not contributed to Pension Fund

3. Death Benefits

Provident Fund Amount to Family (or to Nominee)

Pension to Family (or to Nominee) Capital Return of Pension Insurance (EDLI) amount to Family (or to

Nominee) No amount is taken from Member for this

facility, employer contributes for this Nominee is nominated by the member

through declaration at his office

How to become EPF Member

To become EPF member, you have to work in an establishment which is covered under EPF

If 20 or more employees are working in the establishment, EPFO will cover that establishment

If Employer and Employees desires, an establishment can opt for EPF coverage with employees less than 20

How to withdraw money from EPFYou can withdraw total money from EPF

Account, when you resign or retire & apply for settlement of PF

You can withdraw partially or get partial advance for some admissible purposes during your service

How to get Pension If you have attained the age of 50 years or

more Completed a total service of 10 years or more Not getting any other EPF Pension You have to apply to the EPF Office through

your last employer for Pension

When You Can Apply for Pension1. On superannuation- At 58 years’ age or more and atleast ten years

of service 2. Before superannuation- Age between 50 and 58 years and at least ten

years of service, - Member should not be in service3. Death of the member, while in service or

Death while not in service4. Permanent disabilityNo pensioner can receive more than one EPF Pension

How to settle EPF account

• When you resign or retire from an establishment and apply for settlement of PF

• If the member dies, Family members/Nominee have to apply for settlement of PF

Employees' Deposit Linked Insurance (EDLI)

• On death of a member, the Family Members or Nominee can claim for EDLI Benefit

• Maximum amount payable is Rs. 60,000/-• The nominee(s) have to apply through the

Employer• No amount is taken from the Member for this

facility• Employer contributes for this • Average PF Balance, salary and service are the

factors considered for the calculation of this amount

Advances/ Withdrawals from EPF for following purposes :

Marriage Education Medical Treatment Purchase or construction of Dwelling house Repayment of Housing Loan Purchase of Plot Addition/Alteration of House Repair of House Lockout in companyWithdrawal Prior to Retirement Other Advances