Use this sheet to estimate your EPS pension (fill only green cells)

No of years of service 33
Year of retirement 2028
Choose
2028 15000 300000
2027 15000 300000
Annual EPS
2026 15000
contribution in
2025 15000
2024 15000

Pensional salary 15,000

Monthly EPS Pension 7,500

The maximum EPS contribution was 6500 a year before Sep 1st 2014 and 15000 a year after that.

If you want to do a more exact calculation, you need to tabulate the last 60 months (before retirement) estimated EPS contribu
Take their average and divide by 12 to get the annual average.
Multiply annual average by no of years (add 2 to service if it is 20 or above) and divide by 70 to get the monthly EPS pension
 Annual EPS contribution
15000
15000
15000
15000
15000

fore retirement) estimated EPS contribution

by 70 to get the monthly EPS pension

 EPS Pension Projection

After how many years will you retire (has to be at least 5 33

and not more than 33)
Current annual basic + DA 1033020
Avg rate at which the above will increase each year 0%

Total EPS contribution at full salary 2,839,669

Total EPS contribution at salary ceiling 495,000

EPS monthly pension at full salary 43,025

EPS monthly pension at salary ceiling contribution 7,500

Extra corpus given to EPS for extra pension over the

service period 2,344,669
Had this money remained in EPF you would have got upon
retirement (this is in addition to the corpus from your
contributions 11,199,464

Is this good or bad?

Amount paid for higher pension (actual amount) 2,344,669

Actual amount paid after accounting for EPF return it will
generate 8,854,795

If you take 11,199,464

you will only get a monthly pension of 55,997.32

So if you are going to buy an annuity with your EPF corpus (at least employers contribution) then it makes sense to increase
provided you understand that your spouse will only receive half that money if you die and after she dies the money is lost
In an annuity scheme you can opt for return of purchase price

If you are going to invest the EPF money, then it make sense not to increase EPS contribution. To fight inflation, you must b
a large corpus and invest it instead of getting a pension

Suppose you invest 11,199,464

and assume an inflation of (during retirement) 5%
The corpus will last for about 24.15

On the other hand if you opt for constanly monthly

pensionof 43,025
If you do not opt for enhanced EPS pension, you will be able to generate an inflation protected income for
If you opt for ehnahced EPS pension, your pension will lose 50% of its purchasing power due to inflation in

Now decide which is better

 EPS
nsion Projection year salary contribution
at full salary

1 1,033,020 86,051
Past service plus future service
should be at least 10 years 2 1,033,020 86,051
3 1,033,020 86,051
4 1,033,020 86,051
5 1,033,020 86,051
6 1,033,020 86,051
7 1,033,020 86,051
8 1,033,020 86,051
9 1,033,020 86,051
10 1,033,020 86,051
11 1,033,020 86,051

12 1,033,020 86,051

8%
EPF return assumed 13 1,033,020 86,051
14 1,033,020 86,051
15 1,033,020 86,051
16 1,033,020 86,051
17 1,033,020 86,051
18 1,033,020 86,051

19 1,033,020 86,051
20 1,033,020 86,051
and buy an annuiry at the rate of 6% 21 1,033,020 86,051
This is about 1.30 of the revised EPS pension 22 1,033,020 86,051
23 1,033,020 86,051
mployers contribution) then it makes sense to increase EPS contribution 24 1,033,020 86,051
money if you die and after she dies the money is lost 25 1,033,020 86,051
26 1,033,020 86,051
27 1,033,020 86,051
crease EPS contribution. To fight inflation, you must build 28 1,033,020 86,051
29 1,033,020 86,051
30 1,033,020 86,051
at a rate of (after tax) 6% 31 1,033,020 86,051
and if draw an initial amount = 43,025 per month 32 1,033,020 86,051
years 33 1,033,020 86,051
34
At the above inflation, the money Note that each year
will lose 50% of purchasing power inflation will lower the
in 13.51 purchasing power 35
ate an inflation protected income for 24.15 years
purchasing power due to inflation in 13.51 years
 If EPS
contribution was
EPS pension EPS contribution EPS Pension with not increased,
for full EPS salary ceiling EPS this would amt
contribution at 15,000 ceiling contribution would grow in
EPF
15000 76,735

15000 159,608
15000 249,111
15000 345,775
15000 450,171
15000 562,920
15000 684,688
15000 816,197
15000 958,228
15000 1,111,621
15000 1,277,285

15000 1,456,202

15000 1,649,433
15000 1,858,122
15000 2,083,507
15000 2,326,922
15000 2,589,810
15000 2,873,730

15000 3,180,363
15000 3,511,527
15000 3,869,183
15000 4,255,453
15000 4,672,623
15000 5,123,168
15000 5,609,756
15000 6,135,271
15000 6,702,827
15000 7,315,788
15000 7,977,786
15000 8,692,743
15000 9,464,897
15000 10,298,824
15000 11,199,464
43,025 7,500

43,025 7,500