EPFO Higher Pension 2025: The Employees’ Provident Fund Organisation (EPFO) has announced that around 22,000 members will soon receive higher pensions under the Employees’ Pension Scheme (EPS) 1995. This update follows a Supreme Court ruling that allows eligible employees to receive increased pension benefits by making additional contributions. Additionally, over 1.65 lakh members have been issued notices asking them to deposit extra amounts to qualify for the enhanced pension scheme.
This decision presents a significant opportunity for employees who have contributed to the EPF based on higher wages to secure a better retirement income. However, understanding the eligibility requirements, how to apply for the higher pension, and tracking the status of your pension is crucial. In this article, we will provide a detailed guide on everything you need to know about the EPFO Higher Pension 2025, including eligibility criteria, the application process, and how to check your updated pension status.
Overview Table
| Aspect | Details |
| Total Members Eligible for Higher Pension | 22,000 |
| Demand Notices Issued | 1,65,621 |
| Total Applications Received | 17.48 lakh |
| Deadline for Joint Option Submission | January 31, 2025 |
| Official Website for Status Check | epfindia.gov.in |
| Maximum Pensionable Salary for Contributions | Above ₹15,000 |
22,000 EPFO Members to Receive Higher Pension
The recent decision by the EPFO to provide higher pensions to 22,000 members is a result of the Supreme Court’s directive from November 2022. The court allowed eligible employees to opt for higher pensions by contributing more to the EPS if they earned above the statutory salary limit of ₹15,000 per month. As a result, the EPFO has begun issuing demand notices to over 1.65 lakh members, asking them to make additional contributions to qualify for higher pensions.
This move aims to ensure financial security for retirees by offering a substantially increased pension amount. However, to benefit from this scheme, employees need to follow a specific application process and meet certain eligibility criteria.
What is the Higher Pension Scheme?
The Higher Pension Scheme under the EPS 1995 is designed to provide better pension benefits to employees who contributed to the EPF on higher wages. Normally, pension calculations are based on a salary cap of ₹15,000 per month. However, the revised scheme allows employees who contributed above this limit to receive a higher pension by transferring a portion of their EPF contributions to the EPS.
To qualify for the higher pension, employees must also pay an additional 1.16% of their salary above ₹15,000 to the pension fund. This contribution ensures the sustainability of the enhanced pension benefits. The scheme is particularly beneficial for long-term contributors who want to secure a higher monthly pension after retirement.
Who is Eligible for a Higher Pension?
Not all EPFO members can opt for a higher pension. To be eligible, members must meet certain conditions related to their employment period, contributions, and other factors.
Employment Period
Employees must have been active members of the EPFO before September 1, 2014. This is because the amendments to the EPS made after this date introduced new limitations on pension benefits and contributions.
Joint Option Submission
To qualify for the higher pension, employees must have submitted a joint option form signed by both themselves and their employers. This form serves as an official request to divert a portion of the EPF contributions to the EPS for securing a higher pension.
Higher Wage Contributions
Eligible employees must have contributed to the EPF based on their actual salary, exceeding the ₹15,000 monthly cap, before September 1, 2014. Contributions made only on the statutory limit do not qualify for the enhanced pension scheme.
Additional Contribution Requirement
Employees opting for the higher pension must contribute an additional 1.16% of their salary exceeding ₹15,000 to the EPS. This additional contribution is crucial for maintaining the financial health of the pension fund while providing higher benefits to eligible members.
Steps to Check Your Updated Pension Status
If you have applied for the higher pension, you can follow these methods to check your status:
1. Check Your Pension Status on the EPFO Portal
- Go to the official EPFO website: epfindia.gov.in.
- Click on the “Pensioner’s Portal” option under the “Online Services” section.
- Select “Know Your Pension Status.”
- Enter your Pension Payment Order (PPO) number, date of birth, and the captcha code.
- Click “Submit” to view your updated pension status.
This method is straightforward and provides real-time updates directly from the EPFO’s database.
2. Use the UMANG Mobile App
- Download the UMANG app from Google Play Store or Apple App Store.
- Log in using your mobile number and set a security PIN.
- Navigate to EPFO services and select “Pension Payment Status.”
- Enter your PPO number and view the updated pension details.
The UMANG app is convenient for those who prefer accessing services on mobile devices.
3. Check Pension Status via SMS
- Send an SMS to 7738299899 with the text: EPFOHO UAN ENG.
- Replace “ENG” with your preferred language code, such as “HIN” for Hindi.
- Ensure that your UAN is linked to your mobile number.
This option is useful for those who may not have internet access.
4. Contact EPFO Customer Support
- Call the EPFO toll-free number: 1800-118-005.
- Provide your PPO number and other necessary details.
- Request information about your pension status.
Speaking directly to customer support can help resolve specific queries or concerns.
How to Apply for a Higher Pension
If you have not yet applied for a higher pension but are eligible, follow these steps:
- Gather all necessary documents, such as salary slips showing contributions above the ₹15,000 limit and the joint option form.
- Download the Higher Pension Joint Option Form from the EPFO website.
- Fill in the form with accurate details and attach the required documents.
- Submit the form to your employer for verification.
- The employer will forward the verified form to the EPFO for further processing.
- Once submitted, you can track the application status through the EPFO portal or UMANG app.
Implications of the Higher Pension Scheme
Advantages
- Ensures a higher monthly pension, providing better financial security during retirement.
- Offers clarity on pension benefits following the Supreme Court’s ruling.
- Helps long-term EPFO members make the most of their contributions.
Challenges
- Requires additional contributions, which may impact the EPF balance.
- Limited eligibility as only employees who contributed above ₹15,000 before 2014 qualify.
- Longer processing times due to a high volume of applications.
Frequently Asked Questions (FAQs)
When is the last date to apply for a higher pension?
The deadline for submitting the joint option form was January 31, 2025.
Will opting for a higher pension reduce my EPF balance?
Yes, a portion of your EPF balance will be transferred to the EPS.
How can I confirm if my application for a higher pension is approved?
Check the status on the EPFO portal or UMANG app, or contact EPFO customer support.
Can I switch back to the regular pension after opting for a higher pension?
No, once approved, the higher pension option cannot be reversed.
Is the higher pension taxable?
Yes, pension income is taxable under current tax laws.
Conclusion
The EPFO Higher Pension 2025 is a beneficial scheme for employees who have contributed above the salary ceiling, offering a chance to secure a higher pension for retirement. Understanding the eligibility criteria, application process, and how to check your updated pension status can help you make informed decisions. For accurate and timely information, it is advisable to keep checking the EPFO website and consult with your employer if needed.
