Higher Pension diversion calculator And online Application Error FAQ

EPFO body has now published the Pension Refund Calculator and the Application Error FAQs.

The Excel Tool introduced by EPFO has got 5 spread sheets:

  • Sheet1: Need to inputs the EPF Wages by the employees in Col E. Rest all will be taken care by the Tool.
  • Sheet2: Calculation of 8.33% is auto arrived by the Tool. Interest Calculation on the cumulative balance is calculated by the tool.
  • Sheet 3: Summary of 8.33% is shown for the employee to understand what is the Outgo of PF Amount from his PF Corpus into the Pension Account.
  • Sheet 4: Additional contribution of 1.16% as per Honourable SC Judgment exceeding Rs. 15000/- wages from Sep 2014 is auto calculated by the tool. Interest on the Cumulative balance is arrived.
  • Sheet 5: Summary of 1.16% is shown for the employee to understand what is the Outgo of PF Addl Amount from his PF Corpus into the Pension Account.

Important Note:

  1. The EPFO is yet to explain how the higher pension will be calculated. It is expected to soon release a separate circular with details of the method of calculation of higher pension. Current Pension Formula is Average 60 Months Pension Wages X No. of Years of Exp / 70 which is expected to Change for Higher Pension calculations.
  2. Only the Wage information can be entered in the file and rest all will be auto populated by the Pension calculator tool.