EPFO Pension Calculator: This is the formula that decides the pension! Know the maximum amount you can earn..

If you are a salaried person and contribute to EPFO ​​every month, then you must know about its Employee Pension Scheme. In common language, it is called EPS. EPS is the scheme through which you get a pension after retirement. This pension is calculated under a certain formula. If you are also a salaried person, then you must know how much maximum pension you can get from EPFO.

Not everyone gets a pension; this condition has to be fulfilled.

Not everyone gets a pension from EPFO. If you want a pension, then you have to contribute to it for at least 10 years. Based on your total duration of job and contribution, it is decided how much pension you will be given.

Formula to calculate pension
The formula to calculate the pension received from EPFO ​​is- EPS Average Salary x Pensionable Service/ 70. Here, the average salary means basic salary + DA. Which is calculated on the basis of the last 12 months. Maximum pensionable service is 35 years. The maximum pensionable salary is 15 thousand rupees. Due to this, the maximum pension share is 15000 x 8.33 = 1250 rupees per month.

What is the maximum pension?
If we understand EPS pension calculation on maximum contribution and years of service, EPS 15000 x35 / 70 = 7,500 rupees per month. In this way, you can get a maximum pension of up to 7,500 rupees from EPS.

This is the minimum pension.

Minimum pension can be taken up to 1,000 rupees. You can also calculate your pension amount through this formula.

The minimum pension is insufficient.
Experts believe that the minimum pension of Rs 1,000 that is being received from EPFO ​​is insufficient to meet the basic needs in today's times of inflation. Therefore, there has been a demand to increase it for a long time.

Understand these rules as well.

Under the rules of EPS, the employee is entitled to a pension at the age of 58 years. However, if he wants, he can get a pension even before 58. There is also an option of Early Pension for this, under which pension can be received after 50 years. But in such a situation, the earlier you withdraw money from the age of 58, the pension you will get will be reduced by 4 percent for every year.

How much of your income goes to EPS?
Let us tell you that 12 percent of Basic + DA of employees working in the organized sector is deposited in EPF every month. The same amount is also deposited by the employer/company. But the employer/company's share is divided into two parts. 8.33% goes to the Employee Pension Scheme (EPS) and 3.67% goes to EPF every month.

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