EPFO Rules for Pension: Some part of the salary of every employee is deposited in the PF account. According to the rules of EPFO, if an employee works for 10 years then he gets the right to get a pension. Explain that 12% of the basic salary (basic salary) of every employee goes to PF. Out of this, 8.33% is deposited in Pension Account (EPS) and 3.67% in PF. However, many times it happens that one leaves the job midway, or his job is lost due to some reason. If he joins the job again after the gap, then this question often comes to his mind after leaving the job in the middle, will he get the benefit of a pension? Come, let us know what are the rules of EPFO regarding this.
What is the rule related to working for 10 years?
According to the rules of EPFO, if a person joins the job again after a gap of a few years after the job, then his previous years will be added to the job period itself. To take advantage of the pension scheme of EPF, it is necessary for the employee to work for at least 10 years in total. Even if someone leaves the job and changes the company, his UAN number remains the same and it gets transferred from one company to another. In this case, only the tenure of the total job done by the employee is counted after removing the job gap in between.
10 years are counted excluding the gap period:
Suppose a person worked in a company for 7 years and then took a gap of one year. Then after this, if he worked again for 4 years, then the total period of his job would be counted as 11 years only. In such a situation, he will be considered eligible to get a pension from EPF.
Gets a grace period of 6 months:
Not only this, the rule of EPFO states that if a person has worked for only 9.5 years, then in such a situation he is given a grace of 6 months, and his service period is counted as equal to 10 years. That means he is entitled to get a pension.
Benefits of pension after retirement:
Explain that the pension fund of EPFO ensures pension after retirement. However, employees must keep in mind that it is very important to have at least 10 years of service to get a pension. In such a situation, if you are an EPFO subscriber and you have taken a break from the job, you can still take advantage of the pension scheme by doing a total job of 10 years or more.
