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Ramalingam

Ramalingam Kalirajan  |9737 Answers  |Ask -

Mutual Funds, Financial Planning Expert - Answered on Jun 06, 2024

Ramalingam Kalirajan has over 23 years of experience in mutual funds and financial planning.
He has an MBA in finance from the University of Madras and is a certified financial planner.
He is the director and chief financial planner at Holistic Investment, a Chennai-based firm that offers financial planning and wealth management advice.... more
Asked by Anonymous - Jun 02, 2024Hindi
Money

Sir, I am 60 yrs old and my pf and pension contribution stopped last month as I retired. Both pf and pension were contributed to my account for two years after I turned 58. I am trying to claim my pf amount and activate pension, would there be any additional issues in doing so? If yes, please suggest ways

Ans: Understanding Your PF and Pension Contributions Post-Retirement
First of all, congratulations on your retirement after a dedicated 16 years of service. Claiming your provident fund (PF) and activating your pension are significant steps towards ensuring your financial stability. Understanding the process and potential issues is crucial for a smooth transition. Let’s dive into the specifics to address your concerns.

Provident Fund (PF) Claim Process
The process of claiming your PF is relatively straightforward. Your employer should have completed necessary formalities. If you face any issues, here are the key steps and considerations:

Steps to Claim PF
Submit Claim Form: Submit the PF claim form through the online EPFO portal or offline via your employer. This form is crucial for initiating the withdrawal process.

Employer Verification: Your employer verifies your details and forwards the claim to the EPFO. Ensure your employer has submitted all necessary documents.

EPFO Processing: The Employees’ Provident Fund Organisation (EPFO) processes the claim. This might take a few weeks. Regularly check the status on the EPFO portal.

Common Issues and Solutions
Incorrect Details: Ensure all your personal details are correct in the EPFO records. Any discrepancies can delay the process.

Incomplete Documents: Make sure all required documents are complete and correctly filled. Missing documents can lead to claim rejection.

Employer Delay: Sometimes employers delay the verification process. Regular follow-ups can expedite the process.

Activating Your Pension
Activating your pension is a crucial step towards securing your post-retirement income. Understanding the eligibility criteria and process is essential.

Pension Eligibility Criteria
Age Requirement: You are eligible for pension once you reach 58 years. Since you are now 60, you meet this requirement.

Service Duration: You must have completed a minimum of 10 years of service. With 16 years of service, you meet this criterion comfortably.

Steps to Activate Pension
Submit Pension Claim Form: Similar to the PF claim, submit the pension claim form. This can be done online or offline through your employer.

Verification and Processing: Your employer verifies the form and forwards it to the EPFO. The EPFO processes the claim and activates your pension.

Pension Payment: Once activated, the pension amount is credited to your designated bank account regularly.

Potential Issues with Post-58 Contributions
Your concern about employer contributions to your pension post-58 years is valid. Let's explore this in detail.

Regulatory Guidelines
EPFO Guidelines: The EPFO allows contributions to the pension scheme up to 58 years. Contributions beyond this age require specific conditions.

Employer Compliance: Employers should ideally stop contributing to the pension fund post-58. Contributions beyond this can complicate the withdrawal process.

Possible Complications
Claim Rejection: If the EPFO identifies contributions post-58 without proper conditions, it might complicate your claim. Proper documentation can mitigate this risk.

Documentation Issues: Ensure that your employer provides necessary documentation to justify post-58 contributions. This can include special permissions or extensions.

Solutions and Recommendations
Addressing potential issues proactively can smoothen your claim process. Here are some steps to consider:

Verify Contribution Details
Check Records: Verify your PF and pension contribution records. Ensure there are no discrepancies in the contribution timeline.

Employer Clarification: Seek clarification from your employer regarding post-58 contributions. Obtain any special permissions or extensions in writing.

Documentation and Communication
Document Everything: Keep a record of all communications and documents related to your PF and pension contributions. This helps in case of any disputes.

Regular Follow-ups: Regularly follow up with your employer and EPFO. This ensures that your claim process is on track and any issues are addressed promptly.

Seek Professional Guidance
Certified Financial Planner (CFP): Consult a CFP for personalized guidance. They can provide expert advice on navigating the PF and pension claim process.
Ensuring Financial Security Post-Retirement
Beyond claiming your PF and activating your pension, ensuring long-term financial security is crucial. Let’s explore some strategies.

Diversify Your Investments
Diversification spreads risk across different assets, enhancing your financial stability. Consider the following:

Mutual Funds: Invest in mutual funds for potential higher returns. Diversified funds can balance risk and returns effectively.

Fixed Deposits: Fixed deposits offer stability and guaranteed returns. They can be a safe investment for post-retirement income.

Regular Income Streams
Ensuring regular income streams post-retirement is essential. Here are some options:

Systematic Withdrawal Plans (SWP): SWPs from mutual funds provide regular income. You can withdraw a fixed amount periodically.

Senior Citizens Savings Scheme (SCSS): SCSS is a government-backed scheme offering regular interest payouts. It is a safe and reliable option.

Health and Emergency Funds
Having an emergency fund is crucial for unexpected expenses. Consider the following:

Health Insurance: Ensure you have adequate health insurance coverage. Medical expenses can be a significant burden post-retirement.

Emergency Savings: Maintain an emergency fund equivalent to 6-12 months of expenses. This provides a financial cushion in emergencies.

Estate Planning
Planning your estate ensures your assets are managed and distributed as per your wishes. Consider these steps:

Create a Will
Legal Document: A will is a legal document specifying asset distribution. Ensure it is legally compliant and clearly written.

Executor: Appoint a reliable executor to manage your estate. This ensures your wishes are carried out effectively.

Nomination and Legal Heirs
Nomination: Ensure all your financial accounts have nominations. This simplifies the transfer process for your heirs.

Legal Heirs: Clearly define legal heirs in your will. This avoids disputes and ensures smooth asset distribution.

Emotional and Social Well-being
Retirement is not just about financial security. Emotional and social well-being are equally important.

Stay Active
Physical Activity: Regular physical activity keeps you healthy and active. Engage in exercises suitable for your age and health condition.

Social Engagement: Stay socially active by participating in community activities. This helps in maintaining a positive mindset.

Pursue Hobbies
Hobbies and Interests: Pursue hobbies and interests that you enjoy. This keeps you engaged and provides a sense of fulfillment.

Volunteering: Consider volunteering for causes you care about. It gives a sense of purpose and helps in giving back to the community.

Continuous Learning
Lifelong learning keeps your mind sharp and engaged. Consider the following:

Courses and Workshops: Enroll in courses and workshops on topics of interest. Many institutions offer online and offline options.

Reading and Research: Regular reading and research keep you informed. It can be a rewarding and fulfilling activity.

Conclusion
Navigating the PF and pension claim process post-retirement can be challenging but manageable. Ensuring proper documentation, regular follow-ups, and seeking professional guidance are key. Diversifying investments, planning for regular income, and ensuring emotional well-being contribute to a secure and fulfilling retirement. Remember, this phase of life is a new beginning. Embrace it with a positive mindset and proactive planning.

Best Regards,

K. Ramalingam, MBA, CFP,

Chief Financial Planner,

www.holisticinvestment.in
DISCLAIMER: The content of this post by the expert is the personal view of the rediffGURU. Users are advised to pursue the information provided by the rediffGURU only as a source of information to be as a point of reference and to rely on their own judgement when making a decision.
Money

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R P

R P Yadav  | Answer  |Ask -

HR, Workspace Expert - Answered on Feb 20, 2024

Listen
Career
Hello Sir, the retirement age in my company is 60 years .At the moment I am 59 years old and retiring after 2 months I have epfo account and the company is depositing every month contribution to pf account and pension account. I want to know that the pension contribution deposited is ok or it should have been stopped after i attained the age of 58 years. What steps should i take if it should have been stopped after i attained the age of 58 years as i am about to retire soon. will it be possible to withdraw pf amount or my claim will be rejected as contribution to pension account has been continued even after i attained 58 years of age
Ans: Hello! Let’s address your concerns regarding your EPF (Employees’ Provident Fund) pension contribution. Here are some important points to consider:

Employee Pension Scheme (EPS):
EPS is a component of the EPF system that provides pension benefits to employees.
Both you and your employer contribute to the EPF account, with a portion specifically allocated to the EPS.
Retirement Age and Pension Contribution:
The retirement age in your company is 60 years.
As per the EPF Act, any individual who retires after completing their service can receive the pension amount by following the proper procedure.
The pension contribution continues until retirement, even if you have crossed the age of 58.
Withdrawal Options:
After retirement, you have the following options:
Full Withdrawal: You can withdraw the entire sum from your EPF account, including both the EPF and EPS contributions.
Monthly Pension: If you have worked for at least ten years and reached 50 years of age, you are eligible for a reduced monthly pension. The pension rate decreases by 4% every year until you reach 50.
Partial Withdrawal: If you have served for less than ten years but more than six months, you can withdraw your pension contribution. Additionally, if you have been unemployed for approximately two months, you can withdraw it.
No Monthly Pension: In some cases, individuals reach the retirement age of 58 but have not served for ten years or more (e.g., joining the organized sector after age 48). While you won’t receive monthly payments, you can still withdraw the entire amount from your EPS account in a single payment.
Documents Required for Withdrawal:
To withdraw the pension contribution, you’ll need the following documents:
Address proof
Bank account statement
Two revenue stamps
Identity proof
EPF Withdrawal Limitations:
There are certain limitations if you want to take money out of your EPF account before retirement. For specific situations (such as a wedding ceremony or medical emergency), you can withdraw a portion of your EPF corpus1.
Next Steps:
As you approach retirement, ensure that you have the necessary documents ready.
Contact your company’s HR or the EPFO office for guidance on the withdrawal process.
Remember that the pension contribution continuing beyond age 58 is standard practice, and it won’t affect your eligibility for withdrawal.
Wishing you a smooth transition into retirement!

..Read more

Ramalingam

Ramalingam Kalirajan  |9737 Answers  |Ask -

Mutual Funds, Financial Planning Expert - Answered on Jun 06, 2024

Money
Sir, I am 60 yrs old and my pf and pension contribution stopped last month as I retired. Both pf and pension were contributed to my account for two years after I turned 58. I have worked in this organization for 16 years. I am trying to claim my pf amount and activate pension, would there be any additional issues in doing so? Will my claim be rejected if even after 58 years, the employer contributes pension amount? If yes, please suggest ways
Ans: Understanding Your PF and Pension Contributions Post-Retirement
First of all, congratulations on your retirement after a dedicated 16 years of service. Claiming your provident fund (PF) and activating your pension are significant steps towards ensuring your financial stability. Understanding the process and potential issues is crucial for a smooth transition. Let’s dive into the specifics to address your concerns.

Provident Fund (PF) Claim Process
The process of claiming your PF is relatively straightforward. Your employer should have completed necessary formalities. If you face any issues, here are the key steps and considerations:

Steps to Claim PF
Submit Claim Form: Submit the PF claim form through the online EPFO portal or offline via your employer. This form is crucial for initiating the withdrawal process.

Employer Verification: Your employer verifies your details and forwards the claim to the EPFO. Ensure your employer has submitted all necessary documents.

EPFO Processing: The Employees’ Provident Fund Organisation (EPFO) processes the claim. This might take a few weeks. Regularly check the status on the EPFO portal.

Common Issues and Solutions
Incorrect Details: Ensure all your personal details are correct in the EPFO records. Any discrepancies can delay the process.

Incomplete Documents: Make sure all required documents are complete and correctly filled. Missing documents can lead to claim rejection.

Employer Delay: Sometimes employers delay the verification process. Regular follow-ups can expedite the process.

Activating Your Pension
Activating your pension is a crucial step towards securing your post-retirement income. Understanding the eligibility criteria and process is essential.

Pension Eligibility Criteria
Age Requirement: You are eligible for pension once you reach 58 years. Since you are now 60, you meet this requirement.

Service Duration: You must have completed a minimum of 10 years of service. With 16 years of service, you meet this criterion comfortably.

Steps to Activate Pension
Submit Pension Claim Form: Similar to the PF claim, submit the pension claim form. This can be done online or offline through your employer.

Verification and Processing: Your employer verifies the form and forwards it to the EPFO. The EPFO processes the claim and activates your pension.

Pension Payment: Once activated, the pension amount is credited to your designated bank account regularly.

Potential Issues with Post-58 Contributions
Your concern about employer contributions to your pension post-58 years is valid. Let's explore this in detail.

Regulatory Guidelines
EPFO Guidelines: The EPFO allows contributions to the pension scheme up to 58 years. Contributions beyond this age require specific conditions.

Employer Compliance: Employers should ideally stop contributing to the pension fund post-58. Contributions beyond this can complicate the withdrawal process.

Possible Complications
Claim Rejection: If the EPFO identifies contributions post-58 without proper conditions, it might complicate your claim. Proper documentation can mitigate this risk.

Documentation Issues: Ensure that your employer provides necessary documentation to justify post-58 contributions. This can include special permissions or extensions.

Solutions and Recommendations
Addressing potential issues proactively can smoothen your claim process. Here are some steps to consider:

Verify Contribution Details
Check Records: Verify your PF and pension contribution records. Ensure there are no discrepancies in the contribution timeline.

Employer Clarification: Seek clarification from your employer regarding post-58 contributions. Obtain any special permissions or extensions in writing.

Documentation and Communication
Document Everything: Keep a record of all communications and documents related to your PF and pension contributions. This helps in case of any disputes.

Regular Follow-ups: Regularly follow up with your employer and EPFO. This ensures that your claim process is on track and any issues are addressed promptly.

Seek Professional Guidance
Certified Financial Planner (CFP): Consult a CFP for personalized guidance. They can provide expert advice on navigating the PF and pension claim process.
Ensuring Financial Security Post-Retirement
Beyond claiming your PF and activating your pension, ensuring long-term financial security is crucial. Let’s explore some strategies.

Diversify Your Investments
Diversification spreads risk across different assets, enhancing your financial stability. Consider the following:

Mutual Funds: Invest in mutual funds for potential higher returns. Diversified funds can balance risk and returns effectively.

Fixed Deposits: Fixed deposits offer stability and guaranteed returns. They can be a safe investment for post-retirement income.

Regular Income Streams
Ensuring regular income streams post-retirement is essential. Here are some options:

Systematic Withdrawal Plans (SWP): SWPs from mutual funds provide regular income. You can withdraw a fixed amount periodically.

Senior Citizens Savings Scheme (SCSS): SCSS is a government-backed scheme offering regular interest payouts. It is a safe and reliable option.

Health and Emergency Funds
Having an emergency fund is crucial for unexpected expenses. Consider the following:

Health Insurance: Ensure you have adequate health insurance coverage. Medical expenses can be a significant burden post-retirement.

Emergency Savings: Maintain an emergency fund equivalent to 6-12 months of expenses. This provides a financial cushion in emergencies.

Estate Planning
Planning your estate ensures your assets are managed and distributed as per your wishes. Consider these steps:

Create a Will
Legal Document: A will is a legal document specifying asset distribution. Ensure it is legally compliant and clearly written.

Executor: Appoint a reliable executor to manage your estate. This ensures your wishes are carried out effectively.

Nomination and Legal Heirs
Nomination: Ensure all your financial accounts have nominations. This simplifies the transfer process for your heirs.

Legal Heirs: Clearly define legal heirs in your will. This avoids disputes and ensures smooth asset distribution.

Emotional and Social Well-being
Retirement is not just about financial security. Emotional and social well-being are equally important.

Stay Active
Physical Activity: Regular physical activity keeps you healthy and active. Engage in exercises suitable for your age and health condition.

Social Engagement: Stay socially active by participating in community activities. This helps in maintaining a positive mindset.

Pursue Hobbies
Hobbies and Interests: Pursue hobbies and interests that you enjoy. This keeps you engaged and provides a sense of fulfillment.

Volunteering: Consider volunteering for causes you care about. It gives a sense of purpose and helps in giving back to the community.

Continuous Learning
Lifelong learning keeps your mind sharp and engaged. Consider the following:

Courses and Workshops: Enroll in courses and workshops on topics of interest. Many institutions offer online and offline options.

Reading and Research: Regular reading and research keep you informed. It can be a rewarding and fulfilling activity.

Conclusion
Navigating the PF and pension claim process post-retirement can be challenging but manageable. Ensuring proper documentation, regular follow-ups, and seeking professional guidance are key. Diversifying investments, planning for regular income, and ensuring emotional well-being contribute to a secure and fulfilling retirement. Remember, this phase of life is a new beginning. Embrace it with a positive mindset and proactive planning.

Best Regards,

K. Ramalingam, MBA, CFP,

Chief Financial Planner,

www.holisticinvestment.in

..Read more

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Sir what are the undergraduate course which can be pursue from Indian Statistical Institute.
Ans: The Indian Statistical Institute offers three flagship three-year undergraduate programmes: Bachelor of Statistics (Honours) at Kolkata, Bachelor of Mathematics (Honours) at Bengaluru and the newly introduced Bachelor of Statistical Data Science (BSDS) at Kolkata, all requiring completion of 10+2 with Mathematics and English. Admissions to B.Stat and B.Math are through the ISI Admission Test held annually (offline, two sections: multiple-choice and subjective), followed by interview; BSDS seats are allocated based on JEE Main or CUET scores and a brief aptitude screening. Eligibility mandates only passing 10+2 with Mathematics and English, with no minimum percentage threshold, and both programmes offer stipends of ?5,000/month for UG students. ISI’s rigorous curriculum covers probability, statistical methods, linear models, data structures, machine learning and computational techniques, delivered by PhD-qualified faculty in specialized labs. Graduates secure roles in analytics, research institutions, government agencies and industry, with placement rates routinely exceeding 80% through ISI’s Placement Cell and students often proceeding to master’s or doctoral studies globally.

Recommendation: For a career focused on theoretical foundations and versatile statistical roles, pursue B.Stat at Kolkata to leverage ISI’s pioneering heritage and high placement consistency; choose B.Math at Bengaluru for deep mathematical training and comparable placements; opt for BSDS if you seek an early edge in data-science careers through JEE/CUET-based entry and industry-oriented data labs. All the BEST!

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Asked by Anonymous - Jul 15, 2025Hindi
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Prioritise SMVDU Jammu for its NIRF-ranked, design-focused curriculum and intimate cohort environment; next, choose GNDU Amritsar for its NAAC A++ status, expansive zoned campus and strong live-project integrations; lastly, opt for GNDEC Ludhiana for its established autonomy, TEQIP-backed infrastructure and robust urban-design studio training when campus connectivity and funding-driven quality upgrades are paramount. All the BEST for Admission & a Prosperous Future!

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Srm KTR cse vs Upes cse?
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Financial Planner - Answered on Jul 15, 2025

Asked by Anonymous - Jul 12, 2025Hindi
Money
Hi, Me and My wife earn earn 2 lacs per month after taxes (Both Salaried). Im 34 and she is 31. We have a 1 Year old son. Current investments are as follows. MF: 2 Lacs (Sip 25k per month. PPFAS: 10K, ICICI Prud Large Cap Direct: 3k, Motilal Oswal midcap: 2k, LIC MF Gold ETF: 5K, Nippon inida Small cap: 5k) FD: 4 Lacs EPF: 7 Lacs PPF: 1.5 LPA (Started in april this year 12500 per month) Expenses ( 50 k per month) Liabilities. Home loan: 40 months remaining 35k EMI. We wish to achieve following goals. 1. 60Lacs in next 16 years for childs education. 2. 60Lacs in next 10 years for new home. 3. 2Cr in next 20 years for retirement. Please suggest suitable plan and investment change if any to achieve above goals.
Ans: Hello, to achieve 1.2Cr in the next 10 years, you need to have SIPs worth 50k today which will yield a CAGR of 15% to achieve the target. Another 20k SIP to achieve the 2Cr retirement target, which totals to 70k SIPs starting today. Your financials look very stable with the income you'll have, but the investment decisions w.r.t the mutual funds, the PPF and EPF are wrong since they will not yield optimum returns in the long run. As far as tax planning and safety is concerned, there are other better avenues to put your money which will be more effecient than your current decisions. Also, as far as your mutual funds are concerned, these look very "safe" and selection looks a lot based on past returns.
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Nayagam P

Nayagam P P  |8839 Answers  |Ask -

Career Counsellor - Answered on Jul 15, 2025

Janak

Janak Patel  |60 Answers  |Ask -

MF, PF Expert - Answered on Jul 15, 2025

Asked by Anonymous - Jul 12, 2025Hindi
Money
Hi Sir/Madam, I'm 35 yrs old married man, no children, Working as Qa analyst from past 13yrs. I'm earning 1-Lack per month. I have no emis and no good savings. But rent is 25k per month I may go for house loan maybe 20-Lakhs to support my parents house But I'm worried about my future due to working in IT as QA and uncertainty about job security Can you please suggest me how can I save money and pension plan Any suggestions will be really helpful
Ans: Hi,

Based on the information provided, its difficult to provide specific responses. Even then, let me try to guide you with some pointers.

Savings -
As I understand your income and expenses do not leave any saving at this time. With 1 lakh income and 25K rent, you have 75k for other expenses. So first start by looking at these, create a budget for various expenses and see if there is any potential to make adjustments and arrive at saving a few thousands. Even a saving of 2k every month has a potential to build 10 lakhs in 15 years. So no amount is too small. Start small and keep looking for ways to save more with time.
Rent is also something to think about. Is there anyways to reduce it, a smaller house or another area or something that can work for you. When you consider new place keep in mind the over all expense you will incur not just rent, e.g. travel expenses. Overall there should be a benefit in terms of real savings in hand every month.

Loan -
Going for a loan to support your parents house will put additional burden on your budget. Do they live in the same city, if so is there an option to live with them. This can help service EMI with the rent saved.

Empower your spouse -
Another option to consider is your spouse's potential to contribute to the household income. You can encourage her towards something that she can start either a job or something on her own, may be tuitions or any other interests, anything that can generate a little more income to support/increase your savings.

Career -
As for your own future in IT, I can understand it may look challenging. Look for additional skills you can develop on the job. Many organizations have career growth options with trainings and new areas of focus where they would prefer an existing employee they can train and utilize. So look within your organization and even outside. Developing new skills can be 1 way to stay relevant in IT. Keep yourself updated with new tools and techniques to get an edge over others.
Also consider any other areas of interest/expertise you have or can develop for an alternate career. I have been in the IT industry too for a long time. Somewhere in the middle of my IT career I developed interest towards finance and specifically personal finance area and pursued it with passion and eventually I started it as a profession/business.
So look for your areas of interest.

Thanks & Regards
Janak Patel
Certified Financial Planner.

...Read more

DISCLAIMER: The content of this post by the expert is the personal view of the rediffGURU. Investment in securities market are subject to market risks. Read all the related document carefully before investing. The securities quoted are for illustration only and are not recommendatory. Users are advised to pursue the information provided by the rediffGURU only as a source of information and as a point of reference and to rely on their own judgement when making a decision. RediffGURUS is an intermediary as per India's Information Technology Act.

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