pension and provident fund

1. Is pension fund and provident fund the same?
2. How is PF and pension calculated?
3. What is PF amount and pension amount?
4. Can you transfer from a provident fund to a pension fund?
5. Can I check my provident fund balance?
6. Which is better pension or provident fund?
7. What is the formula for pension calculation?
8. How is basic pension calculated?
9. How provident fund is calculated?
10. How do I withdraw my pension amount?
11. How much pension can I get?
12. How many years of service is required for full pension?

Is pension fund and provident fund the same?

A provident fund is a retirement fund run by the government. A pension plan is a retirement plan run by an employer. Pension funds operate much like annuities. Provident funds operate more like 401(k) or savings accounts.

How is PF and pension calculated?

Effective from September 1, 2014, the contribution will be made as follows: 8.33% of Rs 15,000 = Rs 1250. Kasturirangan says, "The formula to calculate the EPS pension is as follows: Monthly pension amount= (Pensionable salary X pensionable service) /70."

What is PF amount and pension amount?

The total PF amount comprises the contribution made by you and your employer plus accrued interest. Under EPF Act 1952, you can withdraw the full PF amount if you retire from your service after having attained the age of 58 years and you can also claim the EPS amount (Employees' Pension Scheme amount) at the same time.

Can you transfer from a provident fund to a pension fund?

If your money was in a pension fund and your new employer has a provident fund, then you cannot move that money across without paying tax thereon, which may not be what you want at this stage. If you would be moving from a provident to a another provident fund or to a pension fund, then you can transfer free of tax.

Can I check my provident fund balance?

To check your EPF account balance on the EPFO portal, you must have an active Universal Account Number (UAN). To check your balance, you will have to visit https://passbook.epfindia.gov.in/MemberPassBook/Login.jsp and enter your UAN and password. The website allows you to view and download your EPF account statement.

Which is better pension or provident fund?

The advantage of a pension fund is that, although a smaller amount, you will receive a monthly income for the rest of your life. And, there is no risk of spending it all in one go with a lump sum payout. With a provident fund, the member has more flexibility and is given the entire cash lump sum all at once.

What is the formula for pension calculation?

So, upon applying the formula, (15000 * 35 / 70) = Rs. 7,500 per month is the maximum pension that one can earn through EPS.

How is basic pension calculated?

1. Date of Retirement. (dd/mm/yyyy)
2. Total Qualifying Service.
3. Sum of Last 10 months' Emoluments (Basic Pay + NPA + SI +DP)
4. Average Emoluments(in Rs.)
5. Basic Pension Amount (in Rs.)
6. Sum of Last Month Emoluments (Basic Pay + NPA + SI + DP) (in Rs.)
7. Normal Family Pension ( in Rs.)
8. Enhanced Family Pension (in Rs.)

How provident fund is calculated?

The employee contributes 12 percent of his or her basic salary along with the Dearness Allowance every month to the EPF account. For example: If the basic salary is Rs. 15,000 per month, the employee contribution shall be 12 % of 15000, which comes to Rs 1800/-. This amount is the employee contribution.

How do I withdraw my pension amount?

Withdraw with Aadhar Card:

1. Activate your UAN (Universal Account Number)
2. Fill your bank account details and your Aadhar card number on the UAN portal.
3. Submit a filled Form 11 (new) to your employer.
4. Submit a filled Composite Claim Form (Aadhar) to the concerned EPFO office along with a cancelled cheque.

How much pension can I get?

Latest Age Pension rates (from 20 March 2021)

Single: $952.70 per fortnight (approximately $24,770 per year) Couple (each): $718.10 per fortnight (approximately $18,670 per year) Couple (combined): $1,436.20 per fortnight (approximately $37,341 per year)

How many years of service is required for full pension?

The minimum eligibility period for receipt of pension is 10 years. A Central Government servant retiring in accordance with the Pension Rules is entitled to receive pension on completion of at least 10 years of qualifying service.