Good news for EPS pensioners
New Delhi, 28/4: The way of getting more pension for them is clear. The government has started the provision of full pension after 15 years of retirement. After the news published in the English business newspaper Economic Times, under this rule, the pension will be started from next month or May. Let me tell you that this rule was withdrawn in 2009. For those who choose this option, the entire pension is restored after some time. In this case, the period is 15 years. The government issued a notification to restore the entire pension in February. This move will benefit 630,000 pensioners every month.
What is the rule? As per the rules of the Employees Pension Scheme (EPS), EPFO members who retired before 26 September 2008 can get a maximum of one-third of their pension as a lump sum. The remaining two-thirds of the pension they get as monthly pension.
This step will be especially beneficial for those EPFO pensioners who have retired before September 26, 2008 and have opted for partial withdrawal of pension. After 15 years from the date of choosing the option of commuted pension, they will get the benefit of full pension again.
Government will have a burden of Rs 1500 crore – According to ET’s news, it will cost the government Rs 1500 crore. Notifications for the scheme were released in February, but it took a few months to change the software. Now the government is ready to give full pension.
What happens: If the commutation-PF account holders are entitled to receive a pension amount every month after their retirement, a lump sum in advance is called the communication of pension.
Before 26 September 2008, there was a rule that PF account holders could withdraw one-third of their 100-month pension in lump sum after retirement. After 15 years there was a provision for reinstatement of the entire pension.
What is the facility of advance pension?- Under this facility, a part of the pension is given in lump sum in advance to the pensioner. After that, one-third of his monthly pension is deducted for the next 15 years. After 15 years, pensioners are eligible for full pension. The proposal to restore the full monthly pension was approved by the Central Board of Trustees of EPFO on August 21, 2019. The new changes will make this feature even more attractive.
