EPFO subscribers can opt for higher pension now; can ask for 8.33% deduction from total PF contribution

Giving a chance to employees to opt for a higher pension just a fortnight before the end of the 4-month deadline by the Supreme Court, the Employees’ Provident Fund Organisation (EPFO) has issued a fresh set of instructions for employees who had not opted for pension contributions at a higher wage than wage ceiling and continued to be in service on or after September 1, 2014.

In a circular dated February 20, the EPFO in a set of instructions to its field officers said joint option (by employees and employers) for higher pension contribution can be exercised by: one, the employees and employers who had contributed on salary exceeding the prevalent wage ceiling of Rs 5,000 or 6,500; two, did not exercise joint option under the proviso to Para 11(3) of the pre-amendment scheme (since deleted) while being members of EPS 95; and three, were members prior to 01.09.2014 and continued to be a member on or after 01.09.2014.