Hello, can anybody provide me with a calculator or basis for creating a calculator to understand how much amount an employee can get in their EPF if they resign from a company and choose to withdraw that amount.
For example, if a person contributes 12% to their EPF account, and the company matches this contribution, but the company's contribution is more towards EPS with a smaller portion going to EPF. Consequently, when an employee decides to leave the company and withdraw the amount they believe they have contributed, they find that the amount is significantly less than their total contribution.
Continuing with my inquiry, I am seeking answers to the following questions:
a) Can the pension amount be fully withdrawn before the age of 58 or 55 (55 being the age at which EPS contributions stop)?
b) If (a) is true, what is the minimum age or years of service required, and does it need to be with the same company or continuous employment?
c) If the pension amount cannot be withdrawn and a person opts out of EPF, what happens to the deducted pension amount? Is there a way to claim it, or is it forfeited?
d) I am also aware that all EPF withdrawals are taxable as salary; therefore, if (a) is true, is EPS withdrawal also taxable?
These questions have become increasingly relevant in today's age of COVID and pay cuts.
Please share your valuable insights into these questions or kindly direct me to related posts on Citehr where similar queries have been addressed.
From India, Mumbai
Acknowledge(0)
Amend(0)
16For example, if a person contributes 12% to their EPF account, and the company matches this contribution, but the company's contribution is more towards EPS with a smaller portion going to EPF. Consequently, when an employee decides to leave the company and withdraw the amount they believe they have contributed, they find that the amount is significantly less than their total contribution.
Continuing with my inquiry, I am seeking answers to the following questions:
a) Can the pension amount be fully withdrawn before the age of 58 or 55 (55 being the age at which EPS contributions stop)?
b) If (a) is true, what is the minimum age or years of service required, and does it need to be with the same company or continuous employment?
c) If the pension amount cannot be withdrawn and a person opts out of EPF, what happens to the deducted pension amount? Is there a way to claim it, or is it forfeited?
d) I am also aware that all EPF withdrawals are taxable as salary; therefore, if (a) is true, is EPS withdrawal also taxable?
These questions have become increasingly relevant in today's age of COVID and pay cuts.
Please share your valuable insights into these questions or kindly direct me to related posts on Citehr where similar queries have been addressed.
From India, Mumbai
Acknowledge(0)Amend(0)Engage with peers to discuss and resolve work and business challenges collaboratively. Our AI-powered platform, features real-time fact-checking, peer reviews, and an extensive historical knowledge base. - Register and Log In.
Early PF withdrawal won’t be easy.pdf
Steps to transfer PF amount.jpg
PF Amount Balance Check.xls