Presentation on theme: "EMPLOYEES PROVIDENT FUNDS AND MISC. PROVISIONS ACT 1952"— Presentation transcript:
1 EMPLOYEES PROVIDENT FUNDS AND MISC. PROVISIONS ACT 1952
2 Introduction SCHEMES UNDER THE ACT. EMPLOYEES PROVIDENT FUNDS SCHEME, 1952EMPLOYEES DEPOSIT LINKED INSURANCE SHEME, 1976EMPLOYEES PENSION SCHEME, 1995
3 PF SCHEME APPLICATION: To every establishment employing 20 or more employees.Wages:basic wagesdearness allowance andretaining allowance, if any
4 PF SCHEME CONTRIBUTIONS: EMPLOYEES @ 12% EMPLOYER @ 12% FAMILY: In case of Male: wife, children, dependent parents and deceased sons widow and childrenIn case of Female: Husband, children, dependent parents and hus dep. Parents and deceased sons widow and children
5 PF SCHEME COVERAGE: From day one joining in employment POWER TO EXEMPT Trust Maintenance by Trustees of Orgn.TRANSFER OF ACCOUNTS:On Re-employment from Exempted establishment to Un-exempted and visa-versa.
6 PF SCHEME RATE OF INTREST: 9.5 % P.A. VOLUNTARY CONTRIBUTION: In multiples of Hundreds (Max. limit of one month basic+da)DECLARATION & NOMINATIONFORM 2Distribution of amountFresh nomination on attaining family.
7 PF SCHEME WITHDRAWALS: For purchase of a dwelling house/flat or for construction of house including purchase of siteMin. Criteria: 5 years of Contributory period.Incase of Construction: 24 months/employers & employee share together with interest or actual cost of const. Whichever is lower
8 PF SCHEME WITHDRAWALS: Incase of acquisition of ready built house/flat:36 months contributions/employers & employee share together with interest or actual cost of construction whichever is lowerNo withdrawal is allowed if it is for joint family except jointly with spouse.
9 PF SCHEME WITHDRWALS Grant of Advances in special cases incase factory is locked up or closed down for more than 2 monthsAdvance for illnessHospitalization is lasting for more than one month or major surgical operation or suffering from TB/ Leprosy etc.
10 PF SCHEMEWITHDRWALSGrant of Advances for Marriages or post matriculation edu of children ( 15% of own share)Incase of own marriage or son/daughter/ sister/ brother or for post matriculation study of children.Min criteria: 7 years of contributory period.Grant of adv. In abnormal conditionsMovable /Immovable property has been damaged by nature calamity.
11 PF SCHEME WITHDRWALS Withdrawal which one year before retirement 90% of amount standing in his account.Circumstances which lead to payable to a memberOn retirementOn retirement on account of perm disablementImmediately before migrationOn Retrenchment.
12 EDLI SCHEMEObj: For providing life insurance benefits to the employees.Contributions:Employer and Govt will 0.5% of wages.(Max wage limit is Rs. 6500/-)Benefit:Equivalent to fund accumulations or 12 months average bal or % of excess of with limit of RS /-
13 EPS SCHEME COMMENCEMENT OF SCHEME: w.e.f 16/11/1995 OBJECTIVE: For purpose of providing forSuperannuation pensionRetiring Pensionpermanent total disablement pensionwidow or widower’s pensionchildren pension/orphan pension
14 EPS SCHEME ELIGIBILITY FOR PENSION: An employee who completed min 10 years membership.Employees attaining age of 58 yrs and who completed 10 yrs.On attaining 58 yrs of age, the employers contr. Will go to PF account, if he/she continues in emp.In case of death, spouse and two children upto age of 25 yrs are eligible for pension.
15 EPS SCHEME CONTRIBUTIONS: 8.33% of employers contribution be diverted 1.16% of Govt Contribution (max wage: Rs.6500)Pensionable Service:Contributions received or receivableService Weight-age of 2 yrs incase of 20 years or more pensionable service.
16 EPS SCHEME PENSIONABE SALARY: Avg. of 12 months salary Non contributory days be excludedMax wage limit is RS. 6500/-Monthly Pension:Retirement Pension: 20 yrs or more of service on attaining 58 yrs.Short Service Pension: yrs service.
17 EPS SCHEME Monthly Pension formula: Pensionable serviceX Pensionable salary/70Options : (Return of Capital)90% of pension- nominee will get 100 times as lumpsum on death of member90% of pension- widow will receive 80% of original pension and 90 times of original pension87.5% of pension for fixed 20 yeas. 100 times at end of 20 yrs if he alive or to nominee if not alive
18 EPS SCHEME WITHDRAWALS: Employees who put in less than 10 yrs service are eligible incase not employed elsewhere.employee has option to obtain “Scheme Certificate” instead of withdrawalPENSION AT AN EARLY DATE: 3% less for every year of short fall of 58 yrs.)Emp who put in 10 yrs service and ceased to be in employment may opt from 50 yrs of age.
19 EPS SCHEME FORMS: FORM 2: To be used for furnishing Nominee Details. FORM 10C: To be used for claiming Withdrawal BenefitsFORM 10D: To be used for claiming Monthly Pension
20 EPS SCHEME DO’S FOR MEMBERS: Instructions should be gone through before filling the forms.Bank Details to be furnished correctlyForms be attested by EmployerClaims should be sent to concerned RPF OfficeClaims/Clarifications routed thr Ex-Employer
21 EPS SCHEME DON’TS FOR MEMBERS: Do not close Bank Account Don’t approach any middle/consultant for settlement of claim.Don’t contact any other official other than PRODon’t hand over claim form to any un-authorised person.
23 badari narayana [email@example.com] Dear Rajeev,Pls find them here under.These were prepared some time back...It may need someupdation.. like latest amendment in ESI Act enhancingwage ceiling from Rs.6500 to Rs pmPls note my official mail id also:regardsBadarinarayana