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If you are employed, you must be contributing to EPFO ​​every month. According to the rules, if you contribute to EPFO ​​for at least 10 years, then you become entitled to get a pension from EPFO ​​after retirement. This pension is given to the employee under EPS i.e. Employee Pension Scheme from EPFO. But suppose a person takes a break from the job after working for 5 years and joins the job again after 2 years and starts contributing to EPFO ​​again.

In this situation, how will the tenure of his contribution to EPFO ​​be calculated? Will the tenure be calculated afresh with the new job or will the tenure be calculated by adding the new job to the period of the previous job without paying attention to the gap between the jobs? Know what is the rule in this case.

Understand what happens after a long gap.

If there is a long gap in getting a new job after leaving an organization, then there is no need to worry. In such a situation, whenever you start working somewhere again, keep your UAN number the same as it was in the previous company. With this, if you change jobs, money will be transferred to the same account by your new company. Also, the total period of your previous job (Service Period) will be added to your new job. In such a situation, you will not need to complete 10 years of job again.

Understand with an example.

For example, if you work in a company for 5 years. After that, you leave your job and after about two years you join another job again. If you add the same UAN number in the second job also, then your 5 years of job do not go to waste. The two years in between are removed and the calculation starts from the time of joining the new job. In this way, if you complete 5 years again in another company, then your 10 years will be considered completed and that person will be considered eligible to avail the benefits of the Regular Pension Scheme.

If 10 years of service is not completed

If your job period is not 10 years and you do not intend to work further, then you can withdraw the amount deposited in your Pension Account even before the age of retirement. In this case, you do not get any interest on the withdrawal of the pension amount, rather the pension benefit is decided under a formula. This formula depends on the total period of your job and the last salary.

Disclaimer: This content has been sourced and edited from ZEE Business Hindi. While we have made modifications for clarity and presentation, the original content belongs to its respective authors and website. We do not claim ownership of the content.