EPFO Scheme: For senior citizens, a monthly pension serves as their primary source of income after retirement. In today’s world, a pension of just Rs 1,000 is hardly sufficient. With inflation on the rise, the government has decided to offer some relief to pensioners. They are now contemplating an increase in the pensions for employees enrolled in the pension scheme.
How much will pensions increase?
Reports suggest that the government is actively considering raising the minimum pension for employees to Rs 7,500. This demand has been consistently voiced by labor unions, who contend that the current pension amount fails to cover basic necessities. Additionally, this proposal has garnered support from a parliamentary committee, which adds to its credibility. Although a final decision has yet to be reached, it is anticipated that a resolution will be forthcoming, and whatever is decided will prioritize the welfare of pensioners.
If this proposal is approved, it will positively impact those receiving pensions under EPS-95, many of whom belong to lower income brackets. For these individuals, even a modest increase in pension could greatly assist in managing daily expenses, medical costs, and the effects of rising inflation.
It’s important to highlight that the EPFO is continually enhancing its operations. Over the years, it has worked to simplify its previously complex processes. Now, with the introduction of digital systems and automation, the procedures have become much more efficient and user-friendly. However, at present, the focus remains solely on the decision regarding pension increases. We will have to wait and see if financial relief is on the horizon for the people.
Withdrawing funds from the EPFO is set to become more straightforward. Alongside the pension increase, there are initiatives aimed at streamlining the process for withdrawing funds from the EPFO. Soon, ATM withdrawals may be an option, enabling individuals to access their EPF funds quickly and without hassle. Moreover, there is a proposal to offer 8.25% interest on PF deposits, although this is still awaiting approval.
PF money can be withdrawn from ATM
In addition to pensions, the EPFO is now working to make it easier for its members to access funds. ATM-based PF withdrawals may soon be introduced, allowing members to withdraw their funds without delay if needed. Additionally, a proposal to provide an interest rate of 8.25% on the accounts has been submitted to the Finance Ministry for approval. Once approved, the interest amount will be credited directly to subscribers’ accounts.
Work becomes smooth with the new portal ‘E-PRAAPTI’
The EPFO has launched a new portal, “e-Praapti,” to reactivate inactive accounts. Users can easily link their old accounts using Aadhaar-based access. As a result of these digital changes, 66.8 million claims are now being processed without uploading check images. These improvements will undoubtedly be a major relief for PF account holders.
