Dear Members, Few of our employees who have attained 58 years of age are requesting that they be exited form EPS so that they can start drawing EPS Pension (they do not want to defer Pension till 59 or 60); while continuing PF contribution till age 60 which is our company's compulsory retirement age.
My doubt is regarding the "reason for exit" while exiting EPS ... Should it be "Retirement" or should it be "Superannuation"?
Many people whom I have spoken with have advised me to give "superannuation" as the reason for EPS Exit. But, My own understanding is that Superannuation means the person has vacated the post he/she is holding, and therefore exit reason "superannuation" would mean he cannot continue PF contribution from Age 58 to Age 60.
What is the right thing?
Would appreciate some input on this.
From India, Kochi
45My doubt is regarding the "reason for exit" while exiting EPS ... Should it be "Retirement" or should it be "Superannuation"?
Many people whom I have spoken with have advised me to give "superannuation" as the reason for EPS Exit. But, My own understanding is that Superannuation means the person has vacated the post he/she is holding, and therefore exit reason "superannuation" would mean he cannot continue PF contribution from Age 58 to Age 60.
What is the right thing?
Would appreciate some input on this.
From India, Kochi
Retirement and superannuation could mean the same, but retirement is a broader term and implies giving up employment at any point of time, superannuation means attaining the prescribed age of retirement. So if the retirement is on attaining superannuation, either term can be used but if it is premature or compulsory retirement, it won't be correct to use the term superannuation.
From India, Mumbai
From India, Mumbai
I feel this is dishonesty. If one does not want to retire, he ought to receive payment and honour his liabilities towards PF and EPS. He wants PF to be contributed, but not EPS. Is it proper? He can either continue contributing to both or stop contributing to both and receive salary only.
Vibhakar Ramtirthkar.
From India, Pune
Vibhakar Ramtirthkar.
From India, Pune
I do not think there is any dishonesty in exiting EPS and then start drawing pension while continuing to be a contributing member of EPF. The system or, rules if you may, permits this.
Though the PF member stands to gain 8.16% additional pension if he/she defers EPS exit till Age 60, not many are interested as they see present cash in flow to be more valuable than what they will get in future.
As summed up by KK!HR, the appropriate EPS Exit reason would be "retirement".
Regards,
Arun
From India, Kochi
Though the PF member stands to gain 8.16% additional pension if he/she defers EPS exit till Age 60, not many are interested as they see present cash in flow to be more valuable than what they will get in future.
As summed up by KK!HR, the appropriate EPS Exit reason would be "retirement".
Regards,
Arun
From India, Kochi
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