Dear Seniors, What are the benefits under EDLI Scheme, Please provide in detail that what the nominees/dependents will get benefits after the death of the member, what would be the calculation at that time under EDLI Scheme.
From India, Pune
4From India, Pune
Sir,
EDLI is an insurance benefit which is paid to the PF members who die while in service. The benefit is linked to the provident fund amount lying at credit and the maximum benefit is restricted to Rs.1,00,000/- if the employee worked with the same employer for less than 12 months. However, if an employee worked with the same employer for 12 months or more he will be entitled to get the benefits of average wages for last 12 months multiplied by 20. The maximum average wage can be Rs.6500 only. so the maximum benefit would be Rs.130000/- The benefit will be paid to the same nominees/legal heirs who are eligible to receive the provident fund amount of the deceased member.
Regards
Pradheep
From India, Vellore
EDLI is an insurance benefit which is paid to the PF members who die while in service. The benefit is linked to the provident fund amount lying at credit and the maximum benefit is restricted to Rs.1,00,000/- if the employee worked with the same employer for less than 12 months. However, if an employee worked with the same employer for 12 months or more he will be entitled to get the benefits of average wages for last 12 months multiplied by 20. The maximum average wage can be Rs.6500 only. so the maximum benefit would be Rs.130000/- The benefit will be paid to the same nominees/legal heirs who are eligible to receive the provident fund amount of the deceased member.
Regards
Pradheep
From India, Vellore
Dear Sachin,
All employers to whom the Employee's Provident Fund and Miscellaneous Provisions Act, 1952 applies, have a statutory liability to contribute to Employee's Deposit Linked Insurance scheme, 1976 to provide the benefit of Life Insurance to all their employees. EDLI is an insurance benefit which is paid to the PF members who die while in service.
As per Employees’ Deposit Linked Insurance (Amendment) Scheme 2011
Method of calculation is as follows:
Higher of the below mentioned would be paid to the nominee of the deceased:
Payout to the nominee of the deceased would be higher if the average monthly wages drawn (subject to a maximum of INR 6500) during the 12 months preceding the month in which he died, multiplied by 20 times
OR
An amount, equal to the average balance in PF account of the deceased during preceding 12 months period.
If average balance is below Rs.50,000, Rs.50,000 is paid
If average balance is above Rs.50,000, in this case Rs.50,000 + 40% of the balance above Rs.50,000 subject to maximum of Rs.1,00,000 is paid
Maximum amount Payable is INR 130,000
Example:
Mr. Rao was working with ABC Ltd., died on 15th April 2011. His date of Joining was 1st April 2008 and his current basic salary was Rs 6500 per month. His average PF balance for the preceding 12 months was Rs.1,50,000.
Step-1: Calculation based on wages
12 month average pay = 6500
20 times of the same = 6500×20 = 1,30,000
Step-2: Calculation based on PF balance
Average balance in PF account = 1,50,000
Hence, 50,000 + (1,00,000×40%) = 90,000
Higher of the two i.e. Rs.1,30,000 is paid as benefit.
Regards,
Avinash K.
From India, Mumbai
All employers to whom the Employee's Provident Fund and Miscellaneous Provisions Act, 1952 applies, have a statutory liability to contribute to Employee's Deposit Linked Insurance scheme, 1976 to provide the benefit of Life Insurance to all their employees. EDLI is an insurance benefit which is paid to the PF members who die while in service.
As per Employees’ Deposit Linked Insurance (Amendment) Scheme 2011
Method of calculation is as follows:
Higher of the below mentioned would be paid to the nominee of the deceased:
Payout to the nominee of the deceased would be higher if the average monthly wages drawn (subject to a maximum of INR 6500) during the 12 months preceding the month in which he died, multiplied by 20 times
OR
An amount, equal to the average balance in PF account of the deceased during preceding 12 months period.
If average balance is below Rs.50,000, Rs.50,000 is paid
If average balance is above Rs.50,000, in this case Rs.50,000 + 40% of the balance above Rs.50,000 subject to maximum of Rs.1,00,000 is paid
Maximum amount Payable is INR 130,000
Example:
Mr. Rao was working with ABC Ltd., died on 15th April 2011. His date of Joining was 1st April 2008 and his current basic salary was Rs 6500 per month. His average PF balance for the preceding 12 months was Rs.1,50,000.
Step-1: Calculation based on wages
12 month average pay = 6500
20 times of the same = 6500×20 = 1,30,000
Step-2: Calculation based on PF balance
Average balance in PF account = 1,50,000
Hence, 50,000 + (1,00,000×40%) = 90,000
Higher of the two i.e. Rs.1,30,000 is paid as benefit.
Regards,
Avinash K.
From India, Mumbai
Dear Sachin
Please refer https://www.citehr.com/472707-calcul...pf-scheme.html thread. The similar lots of threads are available in this site for ready reference. Before raising such query you are advised to do research by typing the important key words in the Find Information box which is available in the top of this page.
From India, Kumbakonam
Please refer https://www.citehr.com/472707-calcul...pf-scheme.html thread. The similar lots of threads are available in this site for ready reference. Before raising such query you are advised to do research by typing the important key words in the Find Information box which is available in the top of this page.
From India, Kumbakonam
Earlier every EPF member has a life coverage of minimum 150000 Rs and maximum of 600000Rs. Bue according to the latest EDLI amendment 2018 which was made on 15 February 2018 the minimum life coverage of EPF member has increased to 250000. This amendment will be in force for next 2 years from 15 Feb 2018. It is a good news for all the EPF members.
From India, New Delhi
From India, New Delhi
Earlier every EPF member has a life coverage of minimum 150000 Rs and maximum of 600000Rs. Bue according to the latest EDLI amendment 2018 which was made on 15 February 2018 the minimum life coverage of EPF member has increased to 250000. This amendment will be in force for next 2 years from 15 Feb 2018. It is a good news for all the EPF members.
Jolly Gambhir
From India, New Delhi
Jolly Gambhir
From India, New Delhi
Community Support and Knowledge-base on business, career and organisational prospects and issues - Register and Log In to CiteHR and post your query, download formats and be part of a fostered community of professionals.
Flexi Benefits Plan.doc