Dear Experts,

I resigned from my service after 11 years in 2011, and have received the Scheme Certificate. As I understand, I can use this Scheme Certificate after attaining an age of 50 yrs either for a one time withdrawal benefit or for monthly pension. Is my understanding correct?

If yes, I have the following two queries:

1. The Scheme Certificate mentions the following amounts:

Pensionable Salary: 6403

Last Salary : 6500

What is the difference between them, and which of these will be used to calculate the pension?

What will be the formula for calculating monthly pension (I had started service in 1998)?

2. I have now joined my new employer. They have their own PF trust, and deduct 541/- for EPS from my monthly salary.

Should I submit the Scheme Certificate from my past service with my new employer?

Do the years that I work for my new employer only get added to my Pensionable Service (currently 11 years as per the Scheme Certificate) if I submit this Scheme Certificate with them now?

Or, can I get the benefit of aggregated Pensionable Service by accumulating individual Scheme Certificates (assuming I get another one from my current employer) at the time of redemption?

Warm Regards,


As my view below:
Once u complete 10 years contribution in EPF,u can get pension amount after 50 to 58 age.If u withdraw ur 58 age u get full benfit i.e full interest with pension amount u will get.
Each month (6500*8.33)=541 Rs u have been receiving for pension.
U can protect ur scheme certificate safe otherwise submit to ur present employer.ur new pf pension is separate no need to merge with previous pension A/C.

From India, Madras
Dear Krishna,
From the above details it is clear that your last drawn salary is Rs. 6500 and pensionable salary is Rs. 6403. The difference between these two is that, pensionable sary is the average of last twelve months' salary including last drawn salary. If you completeted 10 years or more service in EPF, you are eligible for only monthly pension. Accordingly one time withdrawal benefit is not applicable.
For 11 years service, pension is 6403x11/70 = 1006 at 58 years' age. If you claim pension between 50 to 58 years' age, you will lose 4% on pension for each year.
You may either surrender the existing scheme certificate or club both scheme certificates to get accumulated total service. Note that to get pension before 58 years' age, you should get relieved from PF applicable service.

From India, Bangalore
Dear Sirs,
Thank you very much for the inputs.
I need some more guidance.
1. It is hard for me to understand how they calculated 6403/- as my Pensionable Salary. I have been contributing 541/- monthly to EPS for so many years now. Would you recommend me to follow up on this?
2. What is right time to surrender the scheme certificate? Should I surrender it now to my current employer or later on directly to the EPFO once I become eligible for pension (after attaining an age of 50 or 58 yrs.)?
3. Assuming I leave my current employer after a few years (but before completing 10 yrs with them), and opt for another scheme certificate. Will I be able to get the two scheme certificates merged by directly approaching the EPFO later on?
Warm Regards,

Dear Krishna,
If the contribution to pension fund for the last twelve months is Rs. 541, i.e 6500x8.33%, then your pensionable salary would be 6500, not 6403. Kindly contact the Regional PF Commissioner in this regard. The other two points can also be cleared from him.

From India, Bangalore

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