What is EPS Scheme Certificate? A Complete Guide

When it comes to securing financial stability post-retirement, employees in India have a reliable safety net in the form of the Employees’ Pension Scheme (EPS). However, many individuals remain unaware of a crucial document associated with this scheme—the EPS Scheme Certificate. If you’ve ever changed jobs or are planning for your future pension, understanding this certificate is essential.

In this comprehensive guide, we will break down everything you need to know about the EPS Scheme Certificate, its benefits, eligibility, application process, and how it affects your pension.

1. Understanding EPS and EPS Scheme Certificate

What is EPS (Employees' Pension Scheme)?

The Employees’ Pension Scheme (EPS) was introduced in 1995 by the Employees’ Provident Fund Organisation (EPFO) to provide pensions to employees in the organized sector. Employees contribute to their Employees’ Provident Fund (EPF), out of which a portion (8.33% of the employer’s contribution) is allocated to the EPS.

What is an EPS Scheme Certificate?

An EPS Scheme Certificate is an official document issued by the EPFO that records the service duration and pensionable salary of an employee. It serves as proof of pension eligibility and ensures that employees who change jobs do not lose their accrued pension benefits.

Key Details Mentioned in the EPS Scheme Certificate:

• Employee’s Name
• Date of Birth
• Father’s/Husband’s Name
• Date of Joining and Date of Exit from Previous Employment
• Pensionable Service (Number of years worked)
• Pensionable Salary (Average salary of last 60 months)
• Nominee Details

2. Who is Eligible for an EPS Scheme Certificate?

To receive an EPS Scheme Certificate, you must fulfill the following criteria:

• You must have contributed to the EPS for at least 6 months (180 days of service).
• You must not have withdrawn your EPS balance after leaving your job.
• If you have worked for less than 10 years, you can apply for the certificate instead of pension withdrawal.
• If you have completed 10 or more years of service, the EPS Scheme Certificate is automatically issued, and you are eligible for a lifelong pension post-retirement.

3. Why is the EPS Scheme Certificate Important?

a) Retains Your Pension Benefits

The certificate ensures that your pension benefits remain intact even if you change jobs multiple times. It helps you carry forward your accumulated pensionable service to your new employment.

b) Essential for Pension Withdrawal After 58 Years

If you have the EPS Scheme Certificate and reach the retirement age of 58, you can use it to claim your monthly pension from EPFO.

c) Provides Pension to Nominees

In case of an employee’s unfortunate demise, the nominee/spouse/children can claim survivor benefits using the EPS Scheme Certificate.

d) Can be Combined for Higher Pension

If you have multiple EPS Scheme Certificates from different jobs, you can combine them at the time of retirement to receive a higher pension.

4. How to Apply for an EPS Scheme Certificate?

Step-by-Step Process:

1. Leaving Your Job – When you resign or retire, ensure your employer updates your last working day in the EPFO portal.
2. Submit Form 10C – Download Form 10C from the EPFO portal, fill it out, and submit it through your employer.
3. Verification by EPFO – Once submitted, the EPFO verifies the details and processes the application.
4. Certificate Issuance – If eligible, the EPS Scheme Certificate is sent to your registered address.

Documents Required:

• Aadhaar Card
• PAN Card
• UAN (Universal Account Number)
• Bank Account Details
• Employment Details
• Form 10C

5. What to Do After Receiving the EPS Scheme Certificate?

• If you join a new job, submit the EPS Scheme Certificate to your new employer.
• The new employer will merge your previous pensionable service with the current one.
• If you do not join another job, keep the certificate safe for pension claims in the future.

6. How to Claim a Pension Using the EPS Scheme Certificate?

When you reach the pensionable age (58 years), follow these steps to claim your monthly pension:

1. Fill Form 10D – This form is required to claim the pension.
2. Submit EPS Scheme Certificate – Provide the EPS Scheme Certificate along with other required documents.
3. EPFO Verification – The EPFO office will validate your claim.
4. Pension Start – Upon successful verification, the pension amount will be credited to your bank account monthly.

7. What if You Lose Your EPS Scheme Certificate?

If you misplace your EPS Scheme Certificate, you can apply for a duplicate certificate by:

• Submitting an application to EPFO along with employment details.
• Attaching supporting documents like your UAN, Aadhaar, and PAN.
• Providing an affidavit stating the loss of the original certificate.
• The EPFO will issue a new certificate after verification.

8. FAQs on EPS Scheme Certificate

1. Can I withdraw my EPS amount instead of taking an EPS Scheme Certificate?

Yes, if your service period is less than 10 years, you can withdraw the EPS amount using Form 10C. However, if you plan for long-term benefits, opting for an EPS Scheme Certificate is advisable.

2. Can I merge multiple EPS Scheme Certificates?

Yes, multiple EPS Scheme Certificates can be merged at the time of retirement to ensure a higher pension amount.

3. Is the EPS Scheme Certificate transferable?

Yes, when you change jobs, you can submit your EPS Scheme Certificate to the new employer, who will update your pension records accordingly.

4. What happens if I don’t submit my EPS Scheme Certificate to my new employer?

If you do not submit the certificate, your previous pensionable service period will not be counted, reducing your final pension amount.

5. How can I check my EPS details online?

You can log in to the EPFO portal using your UAN to check your EPS balance and service history.

The EPS Scheme Certificate is a valuable document that ensures employees retain their pension benefits even after changing jobs. Instead of withdrawing your EPS amount early, holding on to the Scheme Certificate can provide a stable source of income post-retirement. Whether you’re an employee planning for the future or an employer guiding your workforce, understanding and utilizing this certificate effectively can significantly impact financial security in later years.

If you haven't yet secured your EPS Scheme Certificate, make sure to check your eligibility and apply today to safeguard your pension benefits