- Date : 27/06/2023
- Read: 4 mins
All the basic details about the EPS higher pension option are explained here, as the deadline day is extended by EPFO by a fortnight.
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The EPFO has extended the last date for applying for a higher EPS pension.
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The deadline extension was necessary due to the variety of issues faced by applicants.
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Employees have seen a rejection of higher pension applications by the EPFO.
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The Supreme Court has addressed the issue with its ruling.
Now you can apply for a higher pension under the Employees’ Pension Scheme (EPS). The last date for the application has been extended from 26 June 2023 to 11 July 2023. This extension will allow an additional three months for the employers. The deadline for the employers is 30 September 2023.
Also Read: Good News: Here’s How Much the EPFO Increased The EPFO Interest Rate: Read To Know More
Tale of Two Deadlines
This is the second extension to the deadline made by the Employees’ Provident Fund Organisation (EPFO) in a span of two months. The original deadline of 3 May 2023 was earlier extended to 26 June 2023. It is believed that the extension has been granted in response to the various difficulties faced by applicants.
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Many applicants reported issues faced while processing the application.
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Some have voiced confusion over the amount required to be deposited while applying for a higher pension.
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Problems in processing have been also faced by people who have made changes in their Aadhaar details, which in turn is linked to their EPF Universal Account Number (UAN).
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Employers have faced difficulties in tracing the historical salary data of employees. The higher pension application has a joint validation option by the employee and the employer. So far, 30 employers have refused to validate the joint option.
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Applicants who had withdrawn a portion of their EPF balance earlier faced issues in this application too. This happened because they didn’t have the adequate balance required to apply for a higher pension.
Also Read: How To File EPF e-Nominations And What Are Its Benefits?
The Basic Details of Higher Pension
With the introduction of the EPS in 1995, employees are entitled to a pension on their EPF contribution. Both employees and employers contribute 12% of basic salary and dearness allowance to EPF. Out of the employer’s 12% contribution, 8.33% is allocated to EPS with a maximum cap of Rs 15,000. A new joint option scheme was introduced in 2014-15, which allowed employees to contribute 8.33% of their actual salary instead of the cap of Rs 15,000.
In response to ensuing high court cases filed by employees with regard to the pension amount, the Supreme Court laid down its decision. This gave the employees the option to file a higher pension claim application.
As a part of the Supreme Court ruling, employees who have been a part of EPF before 1 September 2014 and had not exercised the joint option could now exercise it till 3 May 2023. This deadline has since been extended twice.
Also Read: How to Withdraw Money From The EPF Scheme For Home Loan Repayment
Final Words
If you want to claim a higher pension amount, you can do so by visiting the EPFO Unified Member Portal. You have to choose “Pension on Higher Salary: Online application for validation of Joint Option” on the portal and fill out the application form. Make sure you complete these formalities by the newly extended due date.
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