The Employees Provident Fund & Miscellaneous Provisions Act, 1952.
- Objective:
1.1 The purpose is to make some provisions for the future of the employees after he/she retires. This would also benefit the employee’s dependents in case of an early death.
- Applicability
2.1 As per the Provident Fund (PF) rule, it is mandatory to apply for PF if the basic salary of an employee is Rs 6500 or less. In India Infoline, PF is optional for those employees whose basic salary is more than Rs.6500 /- i.e. employee will decide whether he wants to enjoy the facility of PF or not .
2.2 In order to avail the facility employees have to update the status in IWIN. Once the application for opting for PF is made it cannot be discontinued.
- Contribution
2.1 12% of Basic Salary - employee contribution
2.2 12% of Basic Salary –employer’s contribution which includes
2.3 8.33% - Pension contribution and 3.67% - Employer PF contribution.
*** Additional EDIL + Admin Cost(0.51 % of basic) is borne by the employer
- PROCEDURES FOR APPLYING FOR PROVIDENT FUND:
4.1 All New Joinees willing to opt for the PF should submit the nomination declaration Form 2. NSSN(National Social Security Form) to avail of the PF benefit.
- PROCEDURES FOR WITHDRAWAL :
5.1 Provident Fund:
The Provident Fund can be withdrawn only after 60 days from the date of leaving the organization. Normal PF withdrawal processing takes 45days from submission of PF form in PF office. Normally the entire PF withdrawal procedure takes three & half months.
5.2 PENSION:Pension withdrawal procedure is same as that of PF withdrawal. Employees who have completed minimum six months to less than 10 years in the organization is eligible for Pension withdrawal benefit
5.3 FORMS FOR WITHDRAWAL: Form 19 is to be filled for the PF withdrawal. Form 10C is required for Pension withdrawal.
- BENEFITS:
6.1 Employee’s Pension Scheme Benefit:
To avail of the Pension benefit, employees must have contributed to the Provident Fund for a minimum 10 years. The employee has to fill Form 10D to avail pension benefit. After completion of 58 years of age, employee will get a monthly pension.
6.2 Employee Deposit Link Insurance Scheme Benefit:
EDLI benefit can be enjoyed by active employees of India Infoline only. A death coverage of Rs. 2.00 lakhs is given with the LIC.
6.3 PF transfer benefit:
If any employee wishes to transfer his/her PF contribution from his previous employer’s PF account to India Infoline the PF account number will have to entered in Form 13 and submitted to India Infoline.
6.4 PF against Loan:
Form 31 is for PF against Loan (PF Refund ).This enables employees to available a refund on the PF amount. Only those employees who have completed minimum 5years in the organization is eligible for PF against Loan benefit.
6.5 Permanent Total Disablement Pension Benefits:
An employee who meets with an accident during employment and as a result thereof is permanently and totally disabled to do all work which he was capable of performing at the time of the accident is entitle to get permanent total disablement pension for his life time. To entitled ,the employee need not have rendered any pensionable service but he must have made atleast one month’s contribution to the Pension Fund
- Benefit to the family member incase of the death of the employee:
7.1 Benefits to the family - On the death of member –
Widow Pension Benefit - :
(1) If the member passes away while in service and has paid at least one month’s contribution to the Pension Fund.
(2)After leaving the service but before attending the age of 58 years having rendered eligible service to be entitle for receiving pension and till his death he has not claimed reduced pension after the age of 50 years.
- PF Related Forms :
1 / NSSN Form / National Social Security Number
2 / Pf Form No. 2 / PF Nomination & Declaration
3 / PF Form No.19 / PF Withdrawal Form
4 / PF Form No 10C / Pension Withdrawal form
5 / PF Form No.13 / PF Transfer Form
6 / PF Form No.10D / Widow Pension Form
7 / PF Form No. 20 / Death
8 / PF Form No. 5(If) / While in service death
9 / PF Form No. 31 / PF Against Loan
Should you need any further clarification, please do write to
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