BUSINESS

Would you want to contribute more to the EPF? These are the most recent EPFO guidelines for submitting digital joint requests

In accordance with EPF Scheme, 1952, Paragraph 26, subscribers to the Employees’ Provident Fund Organization (EPFO) who want to contribute more than the statutory limit must submit a combined request and authorization (6). An ET report states that the CBT approved a structure to enable Joint Requests under Paragraph 26(6) of the EPF Scheme, 1952, during the 234th Meeting on October 31, 2023.

With the goal of saving time and paper, all new cases will be filed and handled online using this format going forward.
EPFO circular about fees and contribution caps
In order to avoid complications for all parties concerned, the EPFO circular dated January 30, 2024 specifies that in the event that an employee leaves their position or passes away before October 31, 2023, and the employer has paid administrative charges on the employee’s contribution exceeding the statutory limit, it is considered that the employee was permitted to contribute above the statutory limit.
Exemption for current EPF contributors who exceed the legal contribution limit
Current members are exempt from filing their joint requests in the prescribed manner right away if they are currently contributing more than the statutory maximum and their employers are covering the administrative costs associated with such payments. This is limited to situations covered by EPF Scheme, 1952, Paragraph 26(6).
exceeding the legal contribution limit in the EPF program
The EPF Scheme, 1952’s Paragraph 26(6) addresses contributions on earnings that exceed the statutory ceiling. The employer’s and employee’s joint choice must be presented to and approved by EPFO in order to contribute to the provident fund on increased salaries.
decision of the Supreme Court: Possession of a larger pension from EPS
An employee is entitled to a greater EPS pension if they resigned before to September 1, 2014, and they were contributing more to their EPF account, as per the Supreme Court’s judgment of November 4, 2022. Nevertheless, the EPFO denied their plea for a larger EPS pension. Additionally, they qualify if they were EPS or EPF members on September 1, 2014, and remained so thereafter.

Related Articles

Back to top button