Similar to government sector employees who get regular cash flows as pension money to meet expenses during sunset years, the Supreme Court has now allowed private sector employees enrolled with the EPFO until September 2014, to opt for the regular cash flow as pension instead of the otherwise lump sum payment on their discretion.

Since the year 1995, there has been in place a pension scheme or EPS in which the maximum contribution of 8.33% of the employee's basic salary or Rs. 541 whichever was lower was to be mandatorily made by the employer which thus limited the pension amount. And if the employee wishes for the maximum contribution then intimation in this regard has to be made to the EPFO.

It is to be noted that some of the companies' run their independent EPF trusts and whether such trusts are eligible to provide you with a higher pension is yet to be known.

Also, remember now on after you leave your current job, any interest earning on the EPF money shall now no more be tax free in your hands.

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