General Provident Fund and Incentives Under the rules of the General Provident Fund of 1960 (central services), all temporary government officials are eligible to subscribe to the fund after an uninterrupted service of one year, all retirees rehired (except those who can be included in the Contribution Guarantee Fund) and all permanent government officials. However, these rules do not apply to government employees who enter service on or after January 1, 2004. The subscriber is required, at the time of joining the Fund, to make a proposal in the prescribed form that entitles one or more persons to receive the amount that may be credited to him in the Fund in the event of death before the amount has become due or has not been disbursed. A subscriber subscribes to the fund on a monthly basis, except during the suspension period. Subscription to the Provident Fund is stopped 3 months before the date of the retirement pension. Subscription rates can be at least 6% of the subscriber`s remuneration and no longer of his salary. The interest rate varies depending on government communications issued from time to time. The rules provide for advances/disbursements from the fund for specific purposes. The conditions for exiting the fund have been liberalized and the subscriber no longer has to provide proof of withdrawal from the GPF.
When a subscriber retires, instructions are given to immediately pay the balance at retirement. The subscriber does not have to submit a request for final payment of the fund. . Deposit insurance scheme According to the rules of the GPF, the person entitled to the claim will receive an additional amount equal to the average account balance in the 3 years immediately preceding the death of the subscriber upon the death of the subscriber under certain conditions set out in the relevant rule. The additional amount to be paid under this rule should not exceed Rs. 60,000/-. To benefit from this benefit, the subscriber must have served at least 5 years at the time of death. 2. The website also informs that the lump sum to be paid will be calculated by reference to the conversion table. The monthly pension is reduced by the part travelled and the commuting part is reinstated after 15 years from the date of receipt of the value of the commuting pension.
However, the love relief is still calculated on the basis of the original pension – without reducing the part of the commute. Pension Calculator: The conversion factor refers to the age of the next birthday on the day the conversion becomes absolute according to the new table in the Annex to the CCS (Pension Commutation) Rules of 1981. The conversion of the pension means the payment of a lump sum instead of part of the pension voluntarily paid by the pensioner on the basis of a period corresponding to age. This is a purely optional facility that the government makes available to the retiree. The duration is defined according to age as the number of years purchased. If an employee leaving on the next birthday is 59, he or she is entitled to an annual portion of 10.46 of the pension he or she pays. If the pensioner is entitled to the pension of Rs.2000 and decides to commute 33 1/3% of the amount, he is entitled to Rs.65,113 as follows: 2000 x 33.33 x 8.14 x 12/100 Originally, the maximum part of the pension that could be converted was half of the pension and was reduced to 1/3 in 1960. According to G.O. 174 End 21.04.1998, the maximum rate that could be converted from 01.04.1998 is 40% of the pension. From 01.04.2003, the maximum limit for the conversion part of the pension is 33 1/3% of the pension (G.O 74 End 19.03.2003). On 01.04.2003, the Government approved a new table of switching values in accordance with Rule 7 of the Civil Pension Switching Rules of 1944. (G.O 135 End 30.04.2003).
According to this revised table, a pension that is 59 years old on the next birthday of a departing employee is entitled to 8.14 years of a portion of the pension he or she presents. If the pensioner is entitled to the pension of Rs. 2000/= He chooses to commute between 33 1/3% of the amount to which he is entitled, i.e. 65,113 rupees as follows. Conversion of the pension An official of the central administration has the possibility to convert a part of the pension that does not exceed 40% into a lump sum payment. No medical examination is required if the option is exercised within one year of retirement. If the option is exercised after one year, he must undergo a medical examination by the specified competent authority. The lump sum to be paid is calculated by reference to the switching table.
The monthly pension is reduced by the part travelled and the commuting part is reinstated after 15 years from the date of receipt of the value of the commuting pension. However, the love relief is always calculated on the basis of the initial pension (i.e. without reducing the part of the pendulum). The formula for arriving at the commuting value of the pension (CVP) is CVP = 40 % (X) switching factor* (X)12 * The conversion factor refers to the age at the birthday following the day on which the conversion becomes absolute according to the new table in the annex to the 1981 pension commutation rules. iv) All applications submitted to the Accountant General before 07.12.1990 but approved by him after 07.12.1990 will be treated as previous cases and reinstated after 15 years from the date of retirement (G.O.242 End 01.04.1981,302 End 04.05.1981 Letter 108043 / 92 – 1 End 30.10.1992). A retired staff member is entitled to a service allowance (not a pension) if the total qualifying period of service is less than 10 years. The eligible amount is the last claimed base salary of half a month plus DA for each 6-month period of service ended. This one-off lump sum payment is different from the old-age allowance and is paid in excess of the old-age pension. .