look news india
EPFO Contribution Limit: If you are also a salaried class and PF is deducted from your salary every month, then this news is for you. Yes, steps are being taken by the government for the convenience of the employees. On one hand, news is coming that the Labor Ministry is preparing to make changes in PF contribution. The effect of this will be that there will be an increase in the pension of the employees after retirement. Apart from this, there is also news that the government is planning EPFO 3.0. Under this, many new facilities can be provided to the subscribers.
PF money will not be withdrawn from ATM!
CNBC Awaaz report claimed that the government may announce the scheme of EPFO 3.0 in the context of PAN 2.0. Under this, along with increasing the pension contribution of the employees, the employees can also get the facility to withdraw PF money from ATM. For the convenience of PF subscribers, the Labor Ministry is planning to issue such cards, through which they will be able to withdraw PF money from ATMs in the coming time. This scheme may be implemented by May-June next year.
let me tell you There has been a demand from employee organizations for a long time to increase the amount of pension received under EPFO. Keeping this in mind, the Labor Ministry may allow EPFO members to make higher contributions for higher pension. For this, the Ministry is considering making changes in the Employees’ Pension Scheme 1995 (EPS-95). At present, 12 percent of the basic salary of an EPFO member is deposited in the EPF account. The employer also has to contribute the same amount. Of this, 8.33 percent goes to EPS-95, the remaining 3.67 percent is deposited in the EPF account.
If more contribution is made in EPS-95 account then it will affect the pension in future. Therefore, the option of allowing higher contribution in EPS is being considered by the Labor Ministry. Under the change, employees may be allowed to contribute more in EPS-95 to increase pension. Apart from improving social restrictions, the Modi government at the Center is also focusing on creating new employment opportunities.
Some media reports have also claimed that the government is considering removing the 12 percent limit applicable for PF contribution. Under this, many new facilities can be provided to employed people. It is being claimed that employees can be given the option to contribute according to their savings. Under this, employees will get the last chance to deposit more than a limit in the EPFO account. However, the employer’s contribution will be determined according to the salary.