EPFO Higher Pension: Whatever additional or outstanding amount EPFO determines for higher pension, it will be deducted from the amount available in the PF account. EPFO has received 17.49 lakh applications for higher pension.
The Employees’ Provident Fund Organization (EPFO) has started the process of collecting additional contributions or dues from higher pension applicants. It is being told that in the first phase, the organization has issued demand letters to 32,951 applicants for a total of Rs 1,974 crore. This information was given in the recent meeting of the Central Board of Trustees of EPFO. During this, the retirement fund manager said that it may take some time to settle all the applications for higher pension. Overall, EPFO has received 17.49 lakh applications for higher pension.
Out of these, investigation of 6 lakh 29 thousand applications has been completed and the process of issuing demand letters to them has been started. At the same time, in about 5 lakh 27 thousand applications, employers have also been written to for additional details or correction of discrepancies. About 3,618 applications have been rejected.
Only those who deposit the money will be eligible: It is being told that the financial impact of higher pension and the process of implementing it were also discussed in detail in the meeting. EPFO has appointed a financial advisor to resolve the issue, who is closely evaluating all aspects.
Demand letters for higher pension fund dues are being issued to the applicants only after analysis or study of all the applications. The higher pension system will be implemented only after disposal of all the applications. Applicants who deposit the money will be eligible for higher pension.
Applicants will get time: It is being told that whatever amount will be determined as additional payment, it will have to be paid along with interest. Information regarding this will be given to the shareholders opting for higher pension. Applicants will be given time to deposit the money and give consent for the transfer of funds.
These options will be available for payment: Whatever additional or outstanding amount EPFO determines for higher pension, it will be deducted from the amount available in the PF account. If sufficient amount is not available in the PF account then the member has to deposit directly or through the employer.
Still confused on many things: According to experts, EPFO members are still not clear about the exact process. Many employees are not able to know how the pension will be calculated. Although EPFO has released a calculator regarding this, most of the employees are not able to understand it. Members are also not aware whether they will have the option to opt out of the higher pension scheme in case the amount demanded is too high.
Chance for verification till 31st December: EPFO is verifying the documents received from the employees after the application. Salary details and other important information are being sought from the concerned employees and employers. Time has been given till December 31 to submit all the required documents or upload them on the website and complete the verification process.
