EPFO Form 10C: Withdrawal or Pension Claim Under the Employees' Pension Scheme
- adityas41
- Feb 9
- 8 min read
Retirement is a significant milestone in every working individual's life. After years of dedicated service, it's time to reap the benefits of your hard work and enjoy a financially secure post-retirement life. In India, the Employees' Pension Scheme (EPS) under the Employees' Provident Fund Organisation (EPFO) is one of the key pillars of retirement planning for salaried individuals.
The EPS is a social security scheme that provides pension benefits to employees after retirement or to their families in case of the employee's untimely death. To claim these benefits, employees or their nominees need to fill out and submit EPFO Form 10C.
In this comprehensive guide, we'll dive deep into EPFO Form 10C. We'll understand what it is, when it's used, how to fill it out, and the documents required. By the end of this guide, you'll have a clear understanding of the pension claim process under EPS and how Form 10C plays a crucial role in it.
What is EPFO Form 10C?
EPFO Form 10C, titled "Employees' Pension Scheme, 1995," is the form used by EPS members or their nominees to claim pension benefits. It's a versatile form that covers various types of pension claims, such as:
Monthly Pension: Claimed by the employee upon retirement
Disablement Pension: Claimed by the employee in case of permanent disability
Widow Pension: Claimed by the employee's widow in case of the employee's death
Children Pension: Claimed by the employee's children (up to two) in case of the employee's death
Orphan Pension: Claimed by the employee's orphan children in case of the death of both the employee and their spouse
Nominee Pension: Claimed by the employee's nominee in case of the employee's death and absence of eligible family members
Think of Form 10C as a key that unlocks the pension benefits you've earned over your working years. Just like how a key opens a lock, Form 10C initiates the process of claiming your hard-earned pension.
Understanding the EPS
Before we dive into the details of Form 10C, let's take a step back and understand the EPS a little better.
What is the Employees' Pension Scheme (EPS)?
The EPS is a government-run pension scheme that is part of the Employees' Provident Fund (EPF). It was introduced in 1995 to provide retirement benefits to employees in the form of a monthly pension.
Under the EPS, both the employee and the employer contribute a portion of the employee's salary to the pension fund. The employee contributes 12% of their basic salary and dearness allowance (DA), while the employer contributes 8.33% of the employee's basic salary and DA towards the EPS (subject to a salary cap).
Who is eligible for EPS?
All employees who are members of the EPF and whose employers are covered under the EPF Act are automatically enrolled in the EPS. However, there are certain eligibility criteria for claiming pension benefits under the EPS:
The employee should have completed at least 10 years of service
The employee should have attained the age of 58 years
The employee's salary should not exceed Rs. 15,000 per month (this limit was raised from Rs. 6,500 to Rs. 15,000 in September 2014)
How is the EPS pension calculated?
The EPS pension is calculated based on a formula that takes into account the employee's pensionable salary and pensionable service.
Pensionable Salary: This is the average salary drawn by the employee during the last 12 months of service. It includes basic salary and DA, but excludes other allowances and benefits.
Pensionable Service: This is the total number of years the employee has contributed to the EPS. It's calculated from the date of joining the EPS till the date of exit (retirement, death, or permanent disability).
The pension formula is:
(Pensionable Salary x Pensionable Service) / 70
For example, if an employee's pensionable salary is Rs. 10,000 and they have 20 years of pensionable service, their monthly pension would be:
(10,000 x 20) / 70 = Rs. 2,857 per month
This pension is payable for the lifetime of the employee or their spouse (in case of the employee's death).
Now that we have a better understanding of the EPS, let's dive into Form 10C.
When to Use EPFO Form 10C
EPFO Form 10C is used in various situations related to pension claims under the EPS. Let's look at each of these in detail.
1. Claiming Monthly Pension
An employee uses Form 10C to claim their monthly pension upon retirement. They need to fill out the form and submit it to the EPFO office along with the necessary documents.
Here's a step-by-step process:
The employee fills out Form 10C with their personal details, service details, and pension payment details
The employee attaches the required documents (we'll discuss these later)
The employee submits the form and documents to their employer
The employer verifies the form and documents, and forwards them to the EPFO office
The EPFO processes the claim and starts the pension payment
2. Claiming Disablement Pension
If an employee becomes permanently disabled due to an injury or illness and is unable to work, they can claim disablement pension using Form 10C.
The process is similar to claiming monthly pension, with a few additional steps:
The employee needs to get a disability certificate from a government medical board
The employee fills out Form 10C, attaches the disability certificate and other documents, and submits it to the employer
The employer forwards the form and documents to the EPFO
The EPFO processes the claim and starts the disablement pension payment
3. Claiming Family Pension
In the unfortunate event of an employee's death, their family members can claim family pension using Form 10C. The eligible family members are:
Widow
Children (up to two, until they attain the age of 25 years)
Orphan children (in case of death of both the employee and their spouse)
Nominee (in case of absence of eligible family members)
The process of claiming family pension is:
The eligible family member fills out Form 10C with their details and the details of the deceased employee
They attach the necessary documents, including the death certificate of the employee
They submit the form and documents to the deceased employee's employer
The employer forwards the form and documents to the EPFO
The EPFO processes the claim and starts the family pension payment
How to Fill EPFO Form 10C
Now that we know when to use Form 10C, let's understand how to fill it out correctly.
Sections of Form 10C
Form 10C is divided into several sections, each capturing specific information about the claimant and the pension claim. Let's go through each section one by one.
Section I: Personal Details
In this section, the claimant provides their personal details such as:
Name
Date of birth
Gender
Marital status
Address
Aadhaar number
PAN
Bank account details
It's crucial to provide accurate information in this section as it will be used for verification and pension payment.
Section II: Service Details
This section captures the claimant's service details, such as:
Name and address of the establishment (employer)
Employee's account number
Date of joining the EPS
Date of exit from the EPS (retirement, death, or permanent disability)
Reason for exit
Pensionable service (number of years)
This information is used to calculate the pensionable service and the pension amount.
Section III: Family Details
If the claimant is applying for family pension, they need to fill out this section with the details of the eligible family members, such as:
Name
Date of birth
Relationship with the employee
Aadhaar number
This section helps the EPFO identify the rightful claimants of the family pension.
Section IV: Nominee Details
If the claimant is a nominee (in case of absence of eligible family members), they need to fill out this section with their details, such as:
Name
Date of birth
Address
Aadhaar number
Relationship with the employee
This section helps the EPFO verify the identity of the nominee and their right to claim the pension.
Section V: Pension Payment Details
In this section, the claimant provides the details for pension payment, such as:
Bank account number
IFSC code
Name and address of the bank
It's important to provide accurate bank details as the pension will be credited directly to this account.
Section VI: Declaration
In this section, the claimant declares that the information provided in the form is true and correct. They also undertake to inform the EPFO of any changes in the information provided.
The claimant needs to sign the declaration and provide the date and place.
Documents to be Attached
Along with the filled-out Form 10C, the claimant needs to attach certain documents as proof of their identity, service, and eligibility. These documents vary depending on the type of pension being claimed.
For monthly pension, the documents required are:
Proof of identity (Aadhaar card, PAN card, etc.)
Proof of date of birth (birth certificate, school leaving certificate, etc.)
Proof of service (appointment letter, salary slips, etc.)
Bank passbook or cancelled cheque
For disablement pension, in addition to the above documents, the claimant needs to attach:
Disability certificate from a government medical board
For family pension, the documents required are:
Proof of identity and date of birth of the claimant
Proof of relationship with the deceased employee (marriage certificate for widow, birth certificate for children, etc.)
Death certificate of the employee
Bank passbook or cancelled cheque of the claimant
For nominee pension, the documents required are:
Proof of identity and date of birth of the nominee
Proof of relationship with the deceased employee
Death certificate of the employee and their spouse (if applicable)
Bank passbook or cancelled cheque of the nominee
It's important to attach clear and legible copies of these documents to avoid any delays in processing the pension claim.
Submitting Form 10C
Once the claimant has filled out Form 10C and attached the necessary documents, they need to submit it to the EPFO. Here's how:
The claimant submits the form and documents to their employer (or the deceased employee's employer in case of family pension)
The employer verifies the form and documents, and forwards them to the EPFO office
The EPFO processes the claim and may ask for additional documents if required
If the claim is approved, the EPFO starts the pension payment
The claimant can track the status of their claim online through the EPFO portal using their PF account number.
Conclusion
EPFO Form 10C is a crucial link between an employee's years of service and their post-retirement financial security. By understanding when and how to use this form, employees and their families can ensure a smooth transition into the next phase of life.
However, navigating the world of pension claims can be complex and time-consuming, especially during a time of personal transition or loss. That's where Fiscal Flow comes in.
As your trusted compliance partner, Fiscal Flow can guide you through the entire process of claiming your EPS pension. From helping you fill out Form 10C correctly to submitting it with the right documents, our experts ensure that your pension claim is processed smoothly and efficiently.
We understand that each pension claim is unique, and we provide personalized support to address your specific needs and concerns. Our goal is to make the pension claim process as stress-free as possible for you, so you can focus on what matters most - enjoying your well-deserved retirement or supporting your loved ones.
In addition to pension claims, Fiscal Flow offers comprehensive support for all your EPFO compliance needs, including PF registration, PF returns, PF withdrawals, and more. We stay up-to-date with the latest EPFO regulations and ensure that your organization remains fully compliant.
If you need any assistance with EPFO Form 10C or have any questions about the pension claim process, our team is here to help. Get in touch with us today to experience a seamless and hassle-free pension claim journey with Fiscal Flow.
