Navigating PF, Pension, and EDLIS Benefits After an Associate's Accidental Death: What Do We Need to Know?

Details Benefit Required for "PF/Pension/EDLIS" Benefit for Accidental Death Case of Associate

Respected Members,

Greetings of the day! With reference to the above-mentioned subject, I need details about the benefits of PF/pension/EDLIS when an associate dies due to a road accident while on duty. Please note that the associate commenced duty on April 28, 2021, and the incident occurred on June 30, 2021.

In this scenario, kindly advise me on the forms and documents that need to be submitted by the employer. The associate's last basic salary was ₹9500, and the gross salary was ₹18570.

EDLIS Benefit

Based on his wages, what amount would be eligible to be paid to his family members according to the EDLIS calculation?

Pension Benefit

Kindly suggest the pension amount to be paid to his family members based on his wages, service period (only two months of service), and Bonus Act calculation.

Documents

What documents are required for processing the associate's PF, Pension, and EDLIS benefits? Please advise on the necessary submission to the employer.

Thank you.

In the unfortunate event of an associate's accidental death while on duty, here are the details and benefits related to PF, pension, and EDLI (Employee's Deposit Linked Insurance) that are applicable:

### PF (Provident Fund) Benefit:

1. Forms Required:
- Form 20 (for PF settlement)
- Form 10D (for Pension withdrawal benefits)
- Form 5IF (for EDLI claim)

2. Documents Required:
- Death certificate of the associate.
- Copy of the police FIR (First Information Report) or accident report.
- Employer's certificate mentioning the accidental death during duty.
- Nomination form if previously submitted by the deceased associate.
- Identity proof and address proof of the nominee.
- Bank account details of the nominee.

3. PF Benefit Calculation:
- The PF amount will include the balance in the associate's PF account at the time of death.
- It will also include the employer's contribution, employee's contribution, and interest accrued until the date of death.

### EDLI (Employee's Deposit Linked Insurance) Benefit:

1. Eligibility:
- EDLI is applicable if the associate was a member of the EPF scheme at the time of death.
- The employer is required to contribute 0.5% of the employee's basic wages up to a maximum of Rs. 15,000 as EDLI premium.

2. EDLI Benefit Calculation:
- The EDLI benefit is calculated as a lump sum amount and is based on the average balance in the PF account of the deceased employee, subject to a maximum of Rs. 7 lakhs.
- The formula for EDLI benefit: (30 times the average monthly wage drawn during the preceding 12 months) + (50% of the balance in the PF account).

### Pension Benefit:

1. Eligibility:
- Pension benefits under EPS (Employee Pension Scheme) are applicable if the associate had completed a minimum service period of 10 years. However, in the case of accidental death, benefits are applicable regardless of the service period.

2. Pension Calculation:
- Since the associate had a service period of only 2 months, the pension benefits will primarily consist of a withdrawal benefit.
- The pension withdrawal benefit will be the return of the associate's and employer's contributions with interest, accumulated up to the date of death.

### Summary of Benefits:

- PF Benefit: Includes PF balance, employer's and employee's contributions, and interest accrued.
- EDLI Benefit: A lump sum amount based on the average balance in the PF account, subject to a maximum limit.
- Pension Benefit: Withdrawal of contributions with interest.

### Important Note:

- It is crucial to coordinate with the company's HR or payroll department to initiate the claims process.
- Ensure all required forms and documents are submitted accurately to avoid delays in processing the benefits.
- The actual calculation of benefits under PF, EDLI, and pension will depend on specific factors such as the associate's salary, service period, and contributions.

By following these guidelines and ensuring all necessary documents are in place, the process for claiming PF, pension, and EDLI benefits can be effectively managed during such a challenging time.