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If you are employed and contribute to EPFO, it ensures your security after retirement. According to EPFO ​​rules, if you contribute for 10 years, you become eligible for pension under the Employee Pension Scheme (EPS). But the question arises that if there is a job break in between, will the earlier service period be counted?

EPFO rules

If a person rejoins a company after leaving the job and keeps his UAN active, then the service period of his previous job is added to the new job. For example, if you worked in one company for 5 years and took a break of 2 years, then started a job in another company, then 5 years of service period will be counted in the new job.

For this, it is important that your UAN remains the same in the new company also. With this, the data of your PF account and pension scheme will remain linked. This way, your total period of service will be added up, and you will not need to complete 10 years again.

10 years of service is necessary for pension

If the tenure of 10 years is not completed, you can make withdrawals from your pension account before retirement. In this situation, you do not get interest on the withdrawal amount, but the amount is calculated based on a formula, which depends on your job tenure and final salary.

Under this rule, your pension plan remains safe even if there is a break in the job, and you can become entitled to a regular pension. Therefore, always keep your UAN active when you change jobs.