Loading page
All-in-one HR platform · v2.0
14-day free trial · No credit cardhello@HrMagix.com
All-in-one HR platform · v2.0
14-day free trial · No credit cardhello@HrMagix.com
Pensionable salary times pensionable service, divided by 70, once ten years of service are complete, with the salary capped at the EPF wage ceiling.
Part of the employer's PF contribution goes to the Employees' Pension Scheme 1995, which pays a monthly pension from age 58. This EPS pension calculator applies the scheme formula to the figures you enter.
It applies the 1995 scheme rules: the ten-year condition, rounding of service, two years' weightage for 20 or more years, the reduction for early pension from 50, the increase for deferment to 60, and the ₹1,000 minimum pension. Higher-pension cases and pre-2014 service on the ₹6,500 ceiling are outside it.
Enter your figures, then press Calculate
Your 5 inputs become a full breakdown, with every step of the working shown beneath the headline figures.
The Employees' Pension Scheme sets a fixed formula. The method applies it to the pensionable salary and service you enter and states what the estimate leaves out.
Monthly pension = Pensionable salary × Pensionable service ÷ 70 (salary capped at ₹15,000 for most members)
The average monthly pay (basic and DA) on which contributions were made over the last 60 months of membership, capped at the statutory wage ceiling for members not covered by a higher-pension option.
Years of contributory service, with six months or more counted as a full year.
A monthly pension needs at least ten years of pensionable service. Below that, a withdrawal benefit is paid instead.
Salary times service (plus any weightage), divided by 70, adjusted for age at start and raised to the ₹1,000 minimum.
What this does not include
Asked often enough about this calculation to be worth answering beside it.
Monthly pension = pensionable salary × pensionable service ÷ 70. For most members the pensionable salary is capped at the EPF wage ceiling of ₹15,000 a month.
It depends on service. At 35 years, ₹15,000 × 35 ÷ 70 gives ₹7,500 a month. Service beyond that adds proportionally on the same formula.
A monthly pension is not payable. You can claim a withdrawal benefit through the EPFO, or carry the service forward to a new employer through a scheme certificate.
From 50, as a reduced early pension. The pension is reduced by 4% for each year short of 58. Set the age field to see the reduced figure.
Not reliably. Higher-pension cases use pay above the ceiling and their own averaging rules. Switch off the cap only for a rough indication, and confirm with the EPFO.
A calculator applies a rule to figures you type in. A payroll run applies it to your actual employee record, your locations and your verified declarations, which is where Professional Tax, LWF and TDS also resolve.
14-day free trial · Full access to all 12 modules · Zero implementation fee · Cancel anytime