The Employees' Provident Fund Organisation (EPFO) has said that pensioners who defer withdrawing pension for two years once they reach 58 years of age could get an extra 8.16% in pension amount.
This measure can benefit 40 lakh subscribers of the Employee Pension Scheme, and can also help the government reduce the deficit in the pension fund.
It was only recently that this retirement fund body notified pensioners about this 4% benefit increase in pension for each year, when they defer withdrawing after reaching the age of 58 years but not later than 60 years.
"Members who defer the pension up to 59 years or 60 years of age without contribution will be eligible for a benefit of increase in original pension amount of four per cent in case of one completed year and 8.16% in case of two completed years," an EPFO notification said.
The notification added that the members who continue to contribute to the pension till they reach the age of 60 years will also be eligible for this benefit and the contributory service after 58 years of age shall be included when pensionable service and pensionable salary is calculated.
The new benefits will be effective from April 25, and subscribers who are not already pensioners of EPFO and have completed at least 10 years of service on attaining the age of 58 years shall be eligible.
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