Can we estimate how much pension one can get after retirement or can we get these details from the P.F portal? Or is there any formula to calculate the monthly pension that will be paid out by EPFO after retirement? For instance, if pension contribution of 8.33% is being paid on Rs. 15,000/- per month and an employee has put in more than 10 years of service, how do calculate his monthly pension after retirement?
Pension wil be calculated on a specific conditions.
It is calculated as Monthly Pension amount = (Pensionable Salary X Pensionable Service) / 70
If an employee joined before Sep 2014 then
Pensionable salary is 6500 * no of years upto 2014 /70 + 15000 *no of years / 70 (after 2014 to upto current year)
those who joined after 2014 Pensionable salary = 15000 * no of years / 70
Thank you for sharing the pension formula and the explanation. This really helps.