The Government of India has taken a big step for pensioners. Under the EPS 95 Pension Scheme, now the amount of pension and bonus will be sent directly to the bank account of the beneficiaries. This step has been taken with the aim of making the pension distribution process fast, transparent and simplified. EPS 95 (Employees’ Pension Scheme 1995 provides financial security to millions of retired employees. The new changes made in this scheme will give a lot of relief to pensioners.
In this article, we will give detailed information about EPS 95 Pension Scheme, its new updates, eligibility, profit and process. Also, we will also tell how this update will make the lives of pensioners easier.
What is EPS 95 Pension Scheme?
EPS 95 (Employees’ Pension Scheme 1995 is a pension scheme run by the Government of India, which is run by the Employees Provident Fund Organization (EPFO). The objective of this scheme is to provide financial assistance to private and government sector employees after retirement.
Brief details of EPS 95 Pension Scheme
| Description | Acquaintance |
| Name of the scheme | Staff pension scheme (EPS) |
| Beginning year | 1995 |
| Operator institution | Employee Provident Fund Organization (EPFO) |
| Beneficiary | Private and government sector staff |
| Main advantage | Monthly pension after retirement |
| New update | Pension and bonus in direct account |
| Eligibility | EPF contributor |
| Minimum service | 10 years |
New update in EPS 95: Money will come directly to account
The government has decided to adopt the digital payment system under the EPS 95 scheme. This means that now the amount of pension and bonus will be deposited directly in the bank accounts of the beneficiaries. The beneficiaries will get the following benefits from this new system:
- Rapid payment: Now pensioners will get timely payment.
- Transparency: The role of middlemen will end, which will reduce the chances of fraud.
- Facility: There will be no need to go to the bank; The money will come directly to the account.
Benefits of EPS 95 Pension Scheme
There are many advantages related to EPS 95 scheme, which make it extremely useful for employees:
- Monthly income guarantee: Regular income is ensured after retirement.
- Security to the family: The family also benefits when the member dies.
- Low contribution, more benefits: Employee contributes less in this scheme but more benefits are received.
- Provision of bonus: Now bonus will also be given under the new update.
EPS 95 Pension Eligibility
It is necessary to fulfill certain conditions to take advantage of this scheme:
- The employee should be a member of EPF (Employees’ Provident Fund).
- The minimum service period should be 10 years.
- Employee’s age should be at least 58 years (pre-pension options available).
- EPF contributed regularly by the employer.
How is the EPS 95 pension amount determined?
The pension amount received in the EPS 95 scheme depends on the service period and final salary of the employee. It is determined by the following formula:
= × 70
,
70
Example: If the last salary of an employee was ₹ 15,000 and served for 20 years, he would have a monthly pension:
15,000 × 2070 = ₹ 4,285.71
70
15,000 × 20
= ₹ 4,285.71
How will the new digital process work in EPS 95?
Under the new update, EPFO has started working on digital platforms. For this, beneficiaries have to follow the following procedures:
- Update KYC: Update your Aadhaar card and bank account information on the EPFO portal.
- Digital sign up: Login on the EPFO portal and select digital payment options.
- Get confirmation: Once KYC is verified, your pension will be sent directly to the bank account.
Provision of EPS 95 bonus
The government has made provision to add bonus to the EPS 95 scheme. This bonus will be available to those employees who have served for a long time or whose age is over. This step will provide additional financial assistance to senior citizens.
Bonus receiving process
- Login on the EPFO portal.
- Check your service record and contribution details.
- If you are eligible, the bonus amount will be deposited in your account.
Important documents related to EPS 95
The following documents are required to avail this scheme:
- Aadhar card
- Bank account statement
- EPF Membership Number
- Service certificate or experience letter
- Passport Size Photo
Questions related to EPS 95 scheme (FAQs)
Can all EPF members take advantage of this scheme?
Yes, employees who are members of EPF and have completed the minimum service period can avail the scheme.
Is this scheme only for government employees?
No, this scheme is available to employees in both private and government sectors.
Is pre-pension option available?
Yes, if you are over 50 years of age, then you can choose the pre-pension option but it will reduce the amount.
Will the bonus be available every year?
The bonus will only be given to eligible employees under special circumstances. It will not be regular.
conclusion
The EPS 95 pension scheme provides financial security to millions of employees after retirement. The scheme has been made more effective by the new updates made by the government such as digital payment system and bonus provision. This will not only increase transparency but will also ensure timely payment.
Disclaimer:
This article has been written only for the purpose of giving information and the information given in it is based on government announcements and media reports. Please get information from official sources before taking any decision as plans may change from time to time.
