New Delhi: A part of the salary of employed employees is deducted as their PF. 12% of his basic salary and DA is deposited in his EPF account. The same contribution is also made by the employer. Out of the 12 percent contributed by the employer, 8.33 percent goes to the employee’s pension account and 3.67 percent goes to the EPF every month.
Pension is available after retirement
This money deposited in the pension account year after year is collected and given as pension after retirement. But if due to some reason the EPF member dies, then the benefit of this pension is given to his family. For this reason it is also called family pension. Know which family members are entitled to pension in case of death of the employee.
EPFO also gives pension to wife and children
According to the rules of EPFO, if the employee has completed 10 years of service, then he becomes entitled to get pension. If he dies after becoming a pension officer, then the benefit of pension received under EPS is given to the spouse (husband/wife) of the deceased employee and a maximum of two children. In such a situation, the wife gets 50 percent of the pension and if the age of the children is less than 25 years, then they are given 25-25 percent. Children include real, legally adopted children. If after the death of the EPFO member, his spouse also dies or he gets married again, then the children get 75 percent of the pension till the age of 25 years. If the child is physically disabled, then 75 percent pension is given to him.
Parents are given pension
If the employee is unmarried, the pension will be given to his parents for life. If either of the employee’s father or mother has died, then whoever is left of the two will be entitled to receive the pension. If there is no one in the family, then whoever is the nominee, he is given the benefit of pension. If after the death of the EPFO member, his spouse also dies or he gets married again, then the children get 75 percent of the pension till the age of 25 years. If the child is physically disabled, then 75 percent pension is given to him.
