The Employees Provident Fund Organization (EPFO) under the Ministry of Labor runs PF and pension schemes for companies and employees working in the organized sector. For PF, employees deposit a part of their salary every month and the same amount is collected by the company. Some of the part of the company deposited in the PF also goes to the Employee Pension Scheme (EPS). It is through this that employees get pension after retirement. EPS benefits not only the employee but also his family. If the EPF member dies due to some reason in the coronary period, then his family i.e. wife or husband and children also get the benefit of pension. It is also called family pension.
When to get pension?
Employee is required to work continuously for 10 years to avail pension. Only the company contributes to this pension scheme. This accounts for 8.33 per cent of the company’s 12 per cent contribution to the PF. The government also contributes the pension, which is not more than 1.16% of basic salary. The EPF member is entitled to pension even if he is fully disabled other than retirement. EPF is required to have served 10 years for family pension. An employee is entitled to pension only if he / she has been employed for 10 years. It is treated like a family pension.
Who gets a family pension ..
After the death of a member of 1 EPS scheme, his wife or husband gets a pension.
2 If the employee has children, then his 2 children also get pension till the age of 25 years.
3 If the employee is not married then his / her nominee gets pension.
4 if there is no nominee. After the death of the employee, his parents are entitled to pension.