I’m 56 years outdated. I misplaced my job in 2017 and began working once more in 2019. I get a consolidated sum as fee now. I’ve a provident fund (PF) steadiness of ₹20 lakh and wish to know the next: Will I get pension for the stated quantity? And when will it begin? Also, if I withdraw your entire quantity and make investments it through a scientific withdrawal plan (SWP), what are the choices obtainable contemplating my age? I’m searching for a month-to-month revenue of ₹30,000 after my retirement on the age of 60.
—T.Okay. Muralidharan
We have assumed that you’re not a world employee. We have additionally assumed that along with your present employer, you aren’t contributing to PF.
From a PF mechanism perspective, the place an worker grew to become a member of a PF scheme previous to 1 September 2014, the entire contribution made in the direction of PF is bifurcated between PF contribution and pension contribution. An worker’s contribution is totally deposited in PF, whereas the employer’s contribution is bifurcated between PF contribution and pension contribution.
The quantity contributed in the direction of PF may be withdrawn as a lump sum or partially for specified functions. Accordingly, you may at your will withdraw your PF steadiness in response to your requirement and rules on this regard.
In relation to pension contribution, when you have contributed to pension for lower than 10 years, you may solely withdraw the pension steadiness as a lump sum. However, when you have contributed to pension for 10 years or extra, you shall obtain a scheme certificates after the completion of 10 years and additional you shall obtain the month-to-month pension when you attain 58 years of age.
With respect to the second a part of your question, you might be requested to attach with a monetary adviser.
Parizad Sirwalla is companion and head, international mobility companies, tax, KPMG in India.
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