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New Delhi: The Employees Provident Fund Organisation (EPFO) has finally released an Excel-based calculator for estimating due pensions on higher wages to apply for higher EPS pension.
In order to get higher EPS pension, the calculation sheet can be used to make an estimate of the dues a member will have to pay from their EPF balance or their own savings. The EPFO calculator provides details of the dues payable month-on-month from November-December 1995 till February-March 2023.
“The EPFO has released a much-awaited calculator for the calculation of higher pension contributions. Members who are still considering opting for the higher pension or those who have already filed the application will now know how much will be transferred from their EPF to EPS account,” Sowmya Kumar, Partner, INDUSLAW, told Financial Express.
Apart from that, the EPFO has also extended the last date to apply for higher EPS pension.
Using the EPFO calculation, applicants eligible for higher pensions can make an informed decision.
With the release of the calculator, the EPFO intends to enable eligible applicants of higher pensions to make an informed decision. The link to the calculator is available on the Members SEWA portal.
“This clarity from the EPFO is very welcome, especially for those who were still deciding on whether or not to opt for the higher pension amount,” said Kumar.
The calculation will crystallize the actual amount (including the 1.16 per cent additional contribution from the employer’s contribution and the EPFO declared interest) that will be transferred from the EPF to the EPS account and depending on the circumstances, will also inform the employees if they need to make additional payments.
The EPFO calculation sheet requires the employees to input the monthly wages from the time they joined the EPS Scheme. It presupposes that the employee has the requisite data ready to input into it. However, it may be difficult for all employees to gather this data.
“For employees who have been in service for several years and are now close to retirement, gathering this data could be cumbersome and will require some administrative support,” said Kumar.
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