EPFO: People who contribute for 10 years are entitled to get pension from EPFO after retirement. Usually this pension is available from EPFO at the age of 58 years. But if you want, you can claim pension even before the age of 58.
EPFO: If you are employed, then you must be contributing to EPF every month. People who contribute for 10 consecutive years are entitled to get pension from EPFO after retirement. Usually this pension is available from EPFO at the age of 58 years. Pension is calculated on the basis of pensionable service of the member. But if a person wants, he can take pension before or after 58 years. For this there is an option of Early Pension. But in such a situation you do not get the pension which can be received at the age of 58. Know the rules related to EPFO pension.
This is the rule of Early Pension
If your age is between 50 years to 58 years, then only you can claim for Early Pension. But in this you get less pension. The earlier you withdraw money from the age of 58, the lesser will be your pension at the rate of 4% for every year. Suppose an EPFO member decides to withdraw the reduced monthly pension at the age of 56, then he will get 92% (100% – 2×4) of the basic pension amount. To get Early Pension, you have to fill the Composite Claim Form and select the option of Form and 10D for Early pension.
Increased pension will be available at the age of 60
If the employee is still in job after 58 years, then he can stop his pension for two more years i.e. till the age of 60 and can continue his contribution to the pension fund till the age of 60. In such a situation, the employee gets the option of taking more pension. According to the rule, after the age of 58, pension is given at an additional rate of 4% every year. In such a situation, if the employee takes pension at the age of 59, then he is given pension at an additional rate of 4%, while at the age of 60, he is given pension at an additional rate of 8%.
What will happen to the pension fund if the job is less than 10 years?
If your job period is less than 10 years and after that you have not made any contribution to EPFO, then you are not entitled to pension. In such a situation, you have two options. First – If you do not want to do the job, then you can withdraw the pension amount along with the PF amount. The second option is that if you think that you will join the job again in the future, then you can take a pension scheme certificate. In such a situation, whenever you join a new job, you can link the previous pension account to the new job through this certificate. With this, whatever is shortfall in the 10-year job period can be made up in the next job and one can become eligible to get pension at the age of 58.
