Your EPF corpus is your retirement nest egg. The higher this corpus, the better. It depends on your age, contributions, basic salary and the EPF interest rate that the EPFO declares every year.
The Employees’ Provident Fund (EPF) has been one of the best investments to build a tidy retirement corpus. Investments earn us tax deduction benefits, interest and returns are tax free and it’s easy to invest. Over 6 crore people invest in EPF and its corpus is over Rs 10 trillion. Moneycontrol’s EPF guide gives you the nuts and bolts of EPF and offers a glimpse of what the future holds for an investment that every salaried employee loves.
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The deadline for employees to file their joint applications to claim pension on their actual, instead of statutory salary, is June 26.
Higher pension on actual salary: In order to avail of this, you will need to transfer funds from your PF to your EPS account, computing which is a challenge. Plus, there are other challenges when it comes to claiming what you’ve contributed. Also, the pension rules can change in future
Higher EPS pension: The long-awaited method of computing higher pension on actual salary for those who choose this option is out. The last date to file joint application to claim higher pension is June 26
Higher EPS pension deadline: The deadline to apply for higher pension on actual basic salary instead of the statutory limit of Rs 15,000 has been extended to July 11. Here’s everything you need to know about eligibility, the procedure and calculation. Is it worth your while?
While higher pension is desirable, numerous rules and grey areas make the decision-making process a complex affair. Here is a list of things you need to be aware of.
Employees and employers have to submit a joint declaration before May 3 for employees to be eligible for higher pension in line with the Supreme Court’s November 2022 verdict.
By June 26, employees will have to decide whether they want to apply for a pension on a higher salary. The process is cumbersome and riddled with ambiguities, making it difficult for employees to make a choice.
If you are faced with a financial crunch due to the COVID-19 crisis, you can now dip into your employee provident fund (EPF) corpus. The Employees’ Provident Fund Organisation has opened up withdrawals from the account after receiving government approval. Read on to find out answers to all your questions on withdrawing from the EPF account
Most of the salaried employees love EPF due to tax-free and secure returns, ease of investing and withdrawal benefits. But there is a way to increase the contribution towards EPF and voluntarily contribute more towards the retirement corpus. So, should one opt for VPF? Watch the video to find out.
National Pension System and Employee Provident Fund, both the retirement options are overseen by the government but they differ from each other on various parameters. So, which one is better? And how much money can one withdraw upon reaching the retirement age? Watch the video to find out
While higher pension contributions would mean higher pensions for the employees, they should keep their current age, stage of employment, risk appetite, health condition, cash flow requirements, and tax impact, in perspective while deciding on whether or not to contribute to the EPS scheme on higher salary.
Employees contributing over Rs 2.5 lakh to their EPF account will feel the pinch of tax on interest on the excess amount this year, as the rules will be implemented when EPFO credits interest for FY 2021-22.
You link the two through the EPFO member portal. Activate your UAN if you haven’t already and log into the account.