Employees’ Pension Scheme (EPS)

byPaytm Editorial TeamNovember 5, 2025

Meaning

This scheme is a crucial component of social security for organized sector employees.

Definition

EPS, the Employees’ Pension Scheme, is an EPFO initiative in India. It ensures a regular pension for employees after retirement or disability, and for their families upon demise.

How It Works

Employers contribute 8.33% of an employee’s salary (capped at ₹15,000) from their EPF contribution to EPS. Eligibility for a monthly pension starts at 58 years, requiring a minimum of 10 years service.

Benefits

It provides a stable post-retirement income, disability pension, and family pension, offering essential financial security.

You May Also Like

IFSC CodeLast Updated: October 21, 2025

Definition IFSC stands for Indian Financial System Code. IFSC Code is a unique alphanumeric code used to identify…

UPI Bank ClearingLast Updated: November 14, 2025

Meaning UPI Bank Clearing is the process through which banks verify and approve UPI transactions before final settlement.…

BHIMLast Updated: July 11, 2025

Introduction BHIM is a government-developed UPI mobile application that enables fast, easy, and secure digital payments directly from…

Jeevan Jyoti Bima YojanaNovember 5, 2025

Meaning Pradhan Mantri Jeevan Jyoti Bima Yojana (PMJJBY) is a government-backed life insurance scheme.Overview This annual renewable policy…