I run a private security agency. I pay PF for my employees. Till now I have been paying pension for all employees including those enrolled after 2014.
Two of my employees are over 65 years of age and I have paid pension contribution for them too.
Kindly advice on the implications of the same. Am I liable for any penalty?
13th November 2018 From India, Pune
Pl.confirm whether you are remitting EPS contribution also along with PF contribution to the EPFOffice. (Your wordings "Till now I have been paying pension for all employees including those enrolled after 2014." creates confusion. If you are contributing/remitting Emp.Pension Scheme contribution to the PF office there is no obligation on you to pay any pension directly other than monthly 'pension' under the EPS. So make this clear.
Secondly if the employee concerned is 65 yrs old there is no need to remit Pension contribution and such employees are eligible to draw pension from EPS scheme after 58 yrs. under which pension has to be remitted to the bank a/c. of the employee concerned. And the responsibility on employee's part is only to the extent of submission of 'Life Certificate' to the EPFO either through your bankers or directly to the bank. Pl.clarify.
14th November 2018 From India, Bangalore
Dear Mr Kumar S,
Thank you for the reply. I was wrong in my wording. I am paying the pension contribution as you said. I shall redraft my query.
I am dividing the employer contribution into pension and epf even for those enrolled after 2014 as also for those over 65 yrs of age. Can EPFO fine me for it. I know Who are over 65 and have stopped the pension contribution from this month but how do I identify those who ever enrolled after 01 Sep 2014 (assuming that is the cut off date for stopping pension contribution). All employees are contractual and they have little knowledge of their own date of epf enrolment.
15th November 2018 From India, Pune
Dear friend,
If you are remitting regularly I am sure you must know your code and employees EPF UAN a/c No. with this you can easily check their a/c online. Pl.try and revert. If you are remitting manually thru' bank a/c there also these codes are essential.
15th November 2018 From India, Bangalore
Sir,
I do have the UAN Nos. I personally do the ECR upload and pay the Challans online.
However, the employees come to me on a 2 year contract. Most of them have been employed earlier but not with me. I only obtain their UAN No from them and add them using Register Member option on the site but I am not aware of their date of commencement. How do I resolve this.
Please advise about the implications of dividing employer contribution into EPS and EPF.
16th November 2018 From India, Pune
Dear Member,
Please note that an Employee who has attained 58 Years can continue to be Member of EPF, provided he has not withdrawn his PF Accumulations.An Employee, who has attained 58 Years can not become member of EPF for First Time
Similarly, Employer can contribute @8.33% to EPS till Employee attains 58 Years.Thereafter, Contribution to EPS to be Stopped forthwith.In case an Employee has been member of EPS for 10 Years on attaining 58 Years, for such Members EPS contributions can be remitted for 2 more Years/till 60 Years.Thereby Member will get Enhanced Pension after attaining 60 Years
You are mechanically covering Employees under EPF based on having UAN.In respect of Employees who have attained 58 Years ensure that they have not withdrawn EPF Accumulation.For such Employees you can continue to contribute/Cover under EPF
Similarly, you have to find out Employees who have attained 58 Years have 10 Years EPS Membership, to continue their Membership for 2 more years
As suggested by Mr Kumar, verify your records & revert for corrective action
24th November 2018 From India, New Delhi
Sir,
A few queries. If a new member cannot be added after 58 years, how do we pay his PF contribution. If I employ such a person and not pay PF then I commit a wrongdoing. Does it not indirectly mean that no one beyond 58 can get a gainful employment for the first time in his life.
Two, my query on 58 pertained to EPS contribution. I have been paying EPS contribution for all employees irrespective of age or date of joining. I need to know what are the implications for this and that if I can abruptly stop the EPS contribution to those it is NA from next month onwards and pay full amount in A/c No 1 for PF.
25th November 2018 From India, Pune
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