Respected seniors
If employee continuing in service even after completion of 58 years, Shall we continue him to pay both contributions duly transfer of pension fund contribution to PF contribution
or
Do we relive him from the service and re appoint as a consultant.?
Respected seniros which is the right procedure. kindly give your advice
With regards
V.Ramabrahmam
From India, Vijayawada
5If employee continuing in service even after completion of 58 years, Shall we continue him to pay both contributions duly transfer of pension fund contribution to PF contribution
or
Do we relive him from the service and re appoint as a consultant.?
Respected seniros which is the right procedure. kindly give your advice
With regards
V.Ramabrahmam
From India, Vijayawada
Hi, After completion of 58 years , employee can continue his job as consultant. Regards Sandhya
From India, Ranchi
From India, Ranchi
Hi When an person works after 58years he will be designated as Advisor/Consultamnt etc..., The tax will be 10% slab irrespective of the Amount paid. Regards Karthik
From India, Vijayawada
From India, Vijayawada
Yes i agree with mr.prasad. You have to pay 12% on both share. You can submit 10C papers also for getting pension while in service. Thanks with regards, S.GANAPATHY
From India, Coimbatore
From India, Coimbatore
Dear Ramu, You have to transfer the person from On Roll to Off Roll / Consultant or you can also keep him on Retainership Agreement after making his Full N Final settlement.
From India, Mumbai
From India, Mumbai
Hi
the retirement age is as defiened by the company, normally, state and central govt declares the retirement age as 58 /60 yrs. It may keep change as per the govt wish.
based on the age and terms and condtions of appointment, the retirement is determined. once retirement age attains, employment ceases on the day completion of 58/60yrs. All the benefits normally applicable to full time permanaent employee are not applicable since retirement ie pf, gratuity , bonus etc.,
such retiring employees may retained by the company and make use of their services, on a contract or as a consultant for a specific period where he/she would be an employee in the company.
From India, Hyderabad
the retirement age is as defiened by the company, normally, state and central govt declares the retirement age as 58 /60 yrs. It may keep change as per the govt wish.
based on the age and terms and condtions of appointment, the retirement is determined. once retirement age attains, employment ceases on the day completion of 58/60yrs. All the benefits normally applicable to full time permanaent employee are not applicable since retirement ie pf, gratuity , bonus etc.,
such retiring employees may retained by the company and make use of their services, on a contract or as a consultant for a specific period where he/she would be an employee in the company.
From India, Hyderabad
EPF contribution is purely optional after the member has attained the age of retirement at 58 years. In case of new employees joining after they have attained 58 years, they will be exempted employees under the EPF Act and hence no contribution is payable. But they can join the EPF( not the pension scheme) if the employer also is for it.
Sanu Soman
Chennai
From India, Madras
Sanu Soman
Chennai
From India, Madras
Dear Ramabrahmam,
Retirement age should be in compliance with the terms and conditions stipulated in appointment order, Standing Order, Company policy etc. If the retirement age stipulated as above is 60 years, how can you expell him from service before. As long as he continue in service, PF is applicable.
But after attaining the age of 58 years, no remittance should be made to pension fund; but full contibution has to be paid to PF account. Even if the retirement age is 58 years, there may be a non contributory period with regards to Pension Fund. For example, if date of birth is 2.1.1961, the completion of 58 years will be on 1.1.2019. At the same time retirement date will be 31.1.2019. For the period 2.1.2019 to 31.1.2019, no cntribution is to be paid to Pension Fund. Instead he can avail both pension and salary for the said period. Accordingly the entire contribution has to be remitted to PF account.
Abbas.P.S
From India, Bangalore
Retirement age should be in compliance with the terms and conditions stipulated in appointment order, Standing Order, Company policy etc. If the retirement age stipulated as above is 60 years, how can you expell him from service before. As long as he continue in service, PF is applicable.
But after attaining the age of 58 years, no remittance should be made to pension fund; but full contibution has to be paid to PF account. Even if the retirement age is 58 years, there may be a non contributory period with regards to Pension Fund. For example, if date of birth is 2.1.1961, the completion of 58 years will be on 1.1.2019. At the same time retirement date will be 31.1.2019. For the period 2.1.2019 to 31.1.2019, no cntribution is to be paid to Pension Fund. Instead he can avail both pension and salary for the said period. Accordingly the entire contribution has to be remitted to PF account.
Abbas.P.S
From India, Bangalore
Hi Friends, In this case, what about ESIC, if the payment is below Rs.15000/- ? regards, grettapl
From India, Mumbai
From India, Mumbai
Dear Sir,
The employee can continue in service after 58 years as an employee for a particular period, or as a consultant.
In such case, the management is at liberty to dispense the PF contribution because he is exempted from P.F.
In case the management wants to contribute, they can do so. But in such case, they have to remit both contributions
of P.F. in Employees P.F. Account only. Pension contribution should not be there.
D.Gurumurthy
LL., HR & IR Consultant
Hyderabad.
From India, Hyderabad
The employee can continue in service after 58 years as an employee for a particular period, or as a consultant.
In such case, the management is at liberty to dispense the PF contribution because he is exempted from P.F.
In case the management wants to contribute, they can do so. But in such case, they have to remit both contributions
of P.F. in Employees P.F. Account only. Pension contribution should not be there.
D.Gurumurthy
LL., HR & IR Consultant
Hyderabad.
From India, Hyderabad
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