The EPFO (or Employees’ Provident Fund Organisation) has launched an excel-based calculator for eligible EPFO employees to calculate the dues that they have to contribute/pay to receive higher pension at the time of retirement.
I had written about this topic in detail earlier. You can read it using the link – Should you Choose higher EPS Pension & contribute Lumpsum from EPF?
Now let’s see what is the new calculator provided by the EPFO.
EPFO’s Additional Contribution Calculator for Higher Pension
If you are an employee and want to know how to download EPFO’s Additional Contribution Excel Calculator for Higher Pension, then here is what you need to do –
Go to Member Sewa portal of the EPFO (Link – https://unifiedportal-mem.epfindia.gov.in/memberInterfacePohw/member)
The calculator is available under the ‘Important links’ head as of 26-Jun-2023.
Or you can use the link given below to download the calculator, which has already been downloaded from EPFO site (on 26-Jun-2023):
Note as per the EPFO Sewa portal – The dues calculated through the calculator is a ball park estimate. Actual dues calculated on the basis of records by the concerned Regional Office of EPFO will be authentic.
The employees can now easily calculate the money they have to pay (via shifting from EPF or from their own pockets) to receive a higher pension from the Employees’ Pension Scheme (EPS).
To use this calculator properly, one needs to know the actual EPF joining date. Then one needs to enter the salary amount from the EPF joining date or November 1995, whichever is later.
The salary details have to be filled in till the date of retirement or till February 2023, whichever is earlier. Once all the salary data is entered, it will calculate the additional EPS contribution that one has to pay to make up for the shortfall from the date of joining the EPS to the date of retirement/till date, as the case may be. In addition, the calculator will also calculate the total accrued interest till 31 March 2023, on this missing part of the contribution as per the historical EPF interest rates.
Now as per the EPFO, both these amounts need to be recovered from the EPF account, provided it has sufficient balance or it has to be transferred to the EPS account.
Related Reading 1 – As per Circular in June 2023, EPFO’s New Formula for Higher Pension on Actual Salary
EPFO has also released Higher EPS pension FAQ to answer employee queries. Use this link to download the same.