PF Contribution if anyone of the employee attains the age of 58

What will be the procedure for PF if anyone of the employee attains the age of 58

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Hi @C0025

As of now if you’re using greytHR, automatically PF deductions from employee side will stop, but employer still needs to remit from the employer side.

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Hi,

On attaining age 58, employer’s contribution of 8.33 % to pension fund (EPS) for an ‘on roll employee’ who is an existing member will cease. Both employer and employee may continue to contribute to provident fund (PF), i.e. employee’s contribution @ 12 % and employer’s contribution @12%.

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Would like to bring one more interesting aspect here. The member can even avail pension and continue employment or delay pension.

  1. The member who continues in service even after 58 years can avail the Pension from the age of 58. If a pensioner, who has availed the early pension, may take up employment thereafter and in such cases he will not be eligible to join the Pension Scheme. And the 8.33% contribution from Employer side will go towards EPF fund.

  2. The member has option to delay the pension beyond 58 years: 1) Member can opt for receiving pension after attaining 59 or 60 years of age but pension contribution stops after 58 years. In this scenario quantum of pension is increase by 4% per year beyond 58 years. 2) Member can opt for receiving pension after attaining 59 or 60 years of age but pension contribution continues after 58 years. In such a scenario the quantum of pension shall be higher than the first case cited above.

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Shares from both sides will go to provident (savings) fund automatically. Employees have to apply for pension. Nothing special to be proceeded with.

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