EPFO offers up to Rs 50,000 benefit on your EPF account: Here's how to avail
Employees contribute a portion of their salary to the Employees' Provident Fund Organisation (EPFO) account. The employer matches this contribution. This accumulated sum proves beneficial post-retirement, but can also be withdrawn earlier under certain conditions. A lesser-known EPFO rule offers a bonus of up to Rs 50,000 for loyal subscribers.
FollowEmployees deposit a part of their salary into the EPFO account, matched by their employer. This becomes useful after retirement, but can be withdrawn earlier. Few know about the rule offering a bonus up to Rs 50,000 under specific conditions.
EPFO offers a Rs 50,000 bonus upon fulfilling certain conditions. The CBDT recommended the Loyalty-cum-Life Benefit scheme, granting up to Rs 50,000 directly to eligible employees.
This bonus is for those contributing consistently for two decades (20 years) to their PF account. Subscribers with regular contributions for 20 years receive an additional Rs 50,000.
To avail this benefit, maintain contributions to the same EPF account even after job changes. 20 years of continuous contribution qualifies for the Loyalty and Life benefits. Inform past and present employers about continuing the existing EPF account.
Under Loyalty-cum-Life Benefits, basic salaries up to Rs 5,000 get Rs 30,000. Salaries between Rs 5,001 and Rs 10,000 get Rs 40,000. Salaries above Rs 10,000 receive Rs 50,000.
EPFO secures employees' financial future with pension savings plans, ensuring long-term security. The 2023-24 interest rate is 8.25%. To get the Rs 50,000 benefit and boost retirement funds, fulfill the EPFO conditions.
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