Skip to content

Independent. Unsponsored. Built for India.

Live rates Repo rate 5.50% USD/INR ₹94.91 Gold 24K (10g) ₹1,37,576 All rates
Advertiser disclosure. Some links on this page are partner links. They never change our rankings. Read how

Credsir earns money when you apply for a product through some of the links on this site. That revenue funds the research. It does not buy a placement: our rankings come from a published scoring method that runs on the same data for every product, partner or not. Products we do not earn from appear in these lists whenever they win on the numbers — and several currently do.

Government Services

EPS-95 Pension: Eligibility, Formula and Minimum Pension Under EPS 2026

EPS pays a pension from 58 after 10 years' service: pensionable salary × service ÷ 70, minimum ₹1,000. EPS 2026 replaced EPS-95 on 29 June 2026.

VD

Written by Vikram Desai

Published 1 November 2026·7 min read

On this page9 sections
Credsir Government Services guide cover with a landmark icon

The Employees’ Pension Scheme pays you a monthly pension for life if you complete 10 years of eligible service. It starts at the superannuation age of 58, or from 50 at a reduced rate. The pension is your average salary for the last 60 months (capped at the wage ceiling) × pensionable service ÷ 70, and it cannot be less than ₹1,000 a month.

EPS-95 itself no longer exists as a separate scheme. The Employees’ Pension Scheme, 2026 (G.S.R. 527(E)) replaced it from 29 June 2026 and kept the same formula, contribution and minimum pension. Pensions already sanctioned and service already earned carry over unchanged.

Key facts

Item Rule under EPS 2026
Minimum service for pension 10 years of eligible service (6 months or more rounds up to a year)
Pension age 58 (superannuation); early pension from 50
Formula Pensionable wages × pensionable service ÷ 70
Pensionable wages Average of the last 60 months, capped at the wage ceiling for each period
Wage ceiling ₹15,000 a month from September 2014; raised to ₹25,000 with effect from 17 September 2026 (gazette notification still awaited)
Contribution 8.33% of wages from the employer’s share, plus 1.16% from the Centre
Minimum pension ₹1,000 a month
Early pension cut 4% for each year before 58
Deferred pension Up 4% for each completed year you defer, up to age 60
Service under 10 years Withdrawal benefit after 36 months out of covered work, or a scheme certificate

How EPS differs from EPF

Your employer puts 12% of your wages into the EPFO system each month. Of that, 8.33% of wages up to the ceiling (₹1,250 at the ₹15,000 ceiling) goes to the pension fund; the rest goes to your EPF account. You contribute nothing to EPS from your own 12%. The Centre adds 1.16% of wages up to the ceiling.

The two work differently at the end. EPF is your savings with interest, paid as a lump sum. EPS is a pooled fund that pays a defined monthly pension; there is no individual balance earning interest, and you cannot commute the pension for a lump sum. Our EPF and VPF guide covers the savings side.

If you and your employer opted for the higher pension under the old paragraph 11, the employer’s contribution is 9.49% on wages above ₹15,000. EPS 2026 keeps those cases on the same terms.

Eligibility and service rules

ItemDetails
Membershipanyone who joins EPF with wages at or below the ceiling becomes a member, and existing EPS-95 members continued automatically. Membership ends at 58, on death, when you take the withdrawal benefit or when your pension starts.
Eligible servicecontributory service is rounded to the nearest year, so 9 years 6 months counts as 10.
Service with several employersit adds up, provided your EPS service moves with each job change or you hold a scheme certificate.
Weightageif you retire at 58 with 20 or more years of pensionable service, 2 years are added.
Disablementpermanent and total disablement during employment gives a pension even without 10 years, if at least one month’s contribution was paid.

Pension formula with an example

Monthly pension = pensionable wages × pensionable service ÷ 70. Where different wage ceilings applied during your career (₹6,500 before September 2014, for example), EPFO works out the pension separately for each period and adds the parts.

Case (wages at ₹15,000 ceiling throughout) Working Monthly pension
Retire at 58 with 25 years ₹15,000 × (25 + 2 weightage) ÷ 70 ₹5,786
Same, but defer pension to 60 ₹5,786 + 8% (2 years × 4%) about ₹6,249
Leave at 55 with 25 years, take early pension ₹15,000 × 25 ÷ 70, less 12% (3 years × 4%) ₹4,714

These are simplified. Real figures depend on your actual wages, any past-service pension for membership before 16 November 1995, and whether you contributed on higher wages. The weightage applies only on retirement at 58, which is why the early-pension row has none.

Early pension and Form 10D

If you leave covered employment before 58 with at least 10 years of service, you have two choices. You can draw a reduced pension from any age after 50, cut by 4% for each year short of 58. Or you can take a scheme certificate and claim the full pension later. The ₹1,000 minimum applies after the early-pension cut.

You claim a monthly pension on Form 10D. On the EPFO member portal the claim sits under Online Services > Claim (Form-31, 19, 10C & 10D).

  1. Log in to the member portal with your UAN, and check that your Aadhaar, bank account and date of exit are updated.
  2. Go to Online Services > Claim (Form-31, 19, 10C & 10D).
  3. Verify the last four digits of your bank account.
  4. Select the monthly pension (Form 10D) option and fill in family and nominee details.
  5. Submit with the Aadhaar OTP and note the claim reference.

EPS 2026 requires EPFO to settle a complete pension claim within 20 days. After that, it owes 12% a year interest for unjustified delay. There is no time limit on filing, and arrears are paid when the claim is settled.

Once the pension starts, submit a life certificate every 12 months. Jeevan Pramaan (digital life certificate) works at CSCs, bank branches, post offices through IPPB, and PF offices.

Withdrawal benefit if service is under 10 years

With less than 10 years, you get a lump-sum withdrawal benefit on Form 10C instead of a pension, or you can keep a scheme certificate so the service joins your next job’s service. Under EPS 2026 you can take the withdrawal benefit only 36 months after your last contribution fell due, or at 58 if earlier. Our EPF withdrawal guide covers the claim forms, and the EPFO 3.0 changes page covers the new waiting periods.

The amount is a multiple of your wages at exit from Table IV of the scheme:

Months of service Multiple of wages At ₹15,000 wages
12 1.02 ₹15,300
36 2.98 ₹44,700
60 5.02 ₹75,300
108 to 113 9.33 ₹1,39,950

From 114 months (9 years 6 months), service rounds up to 10 years, so you qualify for a pension instead.

Minimum pension and the ₹7,500 demand

The minimum pension has been ₹1,000 a month since 1 September 2014, and EPS 2026 kept it. Pensioner groups have asked for ₹7,500 plus dearness allowance. On 20 July 2026 the Labour Ministry told the Lok Sabha only that it had received such representations. It announced no increase, so treat any “₹7,500 from this month” message as unconfirmed.

The change actually approved is the wage ceiling. The Cabinet cleared a rise from ₹15,000 to ₹25,000 on 16 September 2026, and the Labour Ministry said the same day that the higher ceiling applies from 17 September 2026. The gazette notification amending the schemes had not been published as at 18 September 2026, so the detail of how EPS wages are worked out at the new ceiling rests on that text. The higher ceiling lifts the maximum contribution and pensionable wage for periods after it applies. Because EPS 2026 calculates pension separately for each wage-ceiling period, earlier years stay at ₹15,000.

You can estimate your PF corpus alongside the pension with the EPF calculator.

Frequently asked questions

Is EPS-95 still valid after EPS 2026?

EPS 2026 replaced EPS-95 from 29 June 2026, but it protects all pensions already sanctioned and all service already earned. Your EPS-95 membership simply continues under the new scheme.

What is the minimum EPS pension in 2026?

₹1,000 a month. It is reduced if you took early pension or commuted pension under the old rules before 26 September 2008.

Has the EPS-95 minimum pension been raised to ₹7,500?

No. As of 17 September 2026 no increase has been notified; the government’s July 2026 reply to Parliament mentioned only that it had received demands.

How is EPS pension calculated?

Average monthly wages over the last 60 months, capped at the wage ceiling, × pensionable service ÷ 70. Twenty or more years of service at retirement adds 2 years.

Can I get EPS pension before 58?

Yes, from age 50 if you have 10 years of service, but the pension is cut by 4% for each year before 58.

What happens to EPS if I have less than 10 years of service?

You can claim a withdrawal benefit on Form 10C after 36 months out of covered employment, or keep a scheme certificate to add the service to a future job.

Will the ₹25,000 wage ceiling raise my pension?

Only for service after it takes effect, and only if your wages are above ₹15,000. The Labour Ministry put the higher ceiling into effect from 17 September 2026; the gazette notification that amends the schemes is still awaited.

Sources

Related articles