EPFO's Big Relief: New Guidelines Protect Employees from Incorrect Pension Deductions

• EPFO issued new guidelines to address confusion and errors in pension deductions made by employers.
• Employers often made two types of errors: depositing EPS for ineligible employees or failing to deposit for eligible ones.
• If money was wrongly deposited into EPS for an ineligible employee, it will be recalculated with interest and transferred to their PF account, and service period corrected.
• If an eligible employee's EPS was not deposited, the correct contribution with interest will be transferred to their EPS account, and service period added.
• EPFO assures employees will not suffer financial loss; all adjustments will include interest, ensuring accurate pension records for retirement benefits.

Why It Matters: EPFO's new guidelines ensure employees are protected from employer errors in pension deductions, with all corrections made with interest.