New Delhi: With the announcement of Unified Pension Scheme (UPS) for central authorities workers, now personal sector workers are additionally anticipated to get excellent news. There’s a proposal to extend the wage restrict for pension funds beneath the Staff Provident Fund Group (EPFO). It will improve the contribution of workers to the Provident Fund i.e. PF and pension.
Stories counsel that the Union Finance Ministry could quickly take a choice on this. The Labor Ministry has really useful rising the wage restrict from the present Rs 15,000 to Rs 21,000. This proposal was despatched in April.
The Staff’ Pension Scheme (EPS) is managed by the Staff’ Provident Fund Group (EPFO). The wage restrict for EPS from September 1, 2014 is Rs 15,000. Rising the wage restrict will present reduction to the workers and they’re going to get higher advantages. This proposal was despatched in April and the Finance Ministry will quickly take a closing resolution on it.
Wage restrict will improve from Rs 15,000 to Rs 21,000
In keeping with the proposal, the wage restrict might be elevated from Rs 15,000 to Rs 21,000. It will assist in pension and EPF contribution of personal sector workers. With the rise in EPS wage restrict to Rs 21,000, the pension quantity may even improve. It will strengthen the monetary safety of individuals on retirement.
How will the workers profit?
With the rise within the wage restrict, extra workers will come beneath the purview of EPF and EPS schemes. This merely implies that they are going to get extra pension after retirement. The EPF scheme is a social safety community that gives monetary safety to workers after retirement. With the rise within the wage restrict, extra workers will be capable of make the most of this safety.