When Should GPF Deduction Stopped from Employee

When should GPF Deduction stopped from employee is a common question from the majority of employees. Here is the answer to check when to stop and start…

The General Provident Fund subscription may stopped based on the situation of release form the employment. The GPF subscription automatically stopped 3 months prior to the date of retirement as per the Provident Fund rule.

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In other cases, the provident fund contribution in GPF stopped if the employee has been under suspension or removal from employment due to any reason. These are only two reasons when the GPF subscription stopped by the employee. Apart from these the monthly contribution from the employee salary may automatically deducted.

General Provident Fund subscription also continued after the age of retirement, when the individual wishes to GPF. The contribution into the GPF after retirement based on subscribers and deducted from their pension account or any account which firmly provided. The Government does provide enough benefits for employees to secure their years from the date of retirement.

  1. When can I stop GPF contributions before retirement?

    In case of voluntary closing of GPF contribution can only done before the 3 months of retirement. You cannot stop or opt out of GPF contribution scheme as it is for the pension fund for every individual.

  2. When the employee will start GPF subscription

    The employees after appointment on permanent basis may allowed to subscribe to General Provident Fund before completion of one year service.

  3. Can I continue my GPF account after retirement?

    After your retirement, you will start receiving your pension on monthly basis. So in that sense, you will not be able to close the account but withdraw amount for certain reasons

  4. What is maximum limit of GPF subscription?

    If you have opted for GPF subscription, then you start with 6.5% of your basic salary. But you can go as high as 100% of your basic salary if required.