Description on General Providentfund .pdf

A brief Description on General Provided fund

1. GENERAL GENERAL
PROVIDENT PROVIDENT
FUNDFUND
ALPINESKI HOUSE
Satish Kumar Bhdani
ITO, MSTU, Nashik

2. THE GENERAL PROVIDENT THE GENERAL PROVIDENT
FUND (CENTRAL SERVICES) FUND (CENTRAL SERVICES)
RULES, 1960RULES, 1960
ALPINESKI HOUSE
Name of the Rule

3. CAMEINFORCE
ON:1
ST
APRIL
1960
APPLICABLETO:
Allgovernment
employeejoin
ALPINESKI HOUSEALPINESKI HOUSE
employeejoin
serviceonor
before
31.12.2003

4. CONDITIONS OF ELIGIBILITY: (RULE 4)
•All temporary employee will have to subscribe to the G.P.F
compulsorily after 1 year of service
•All re-employed pensioners (other than those eligible for
CPF)
ALPINESKI HOUSEALPINESKI HOUSE
CPF)
•All permanent Government Servant
•TemporaryGovernmentServantsmaysubscribetoGPF
anytimebeforethecompletionofone-yearservice.
ApprenticesandProbationersaretreatedastemporary
GovernmentServantsundertheserules.

5. NOMINATIONS: (RULE 5)
1.SubscribershouldsendthenominationAsubscribershall,atthetime
ofjoiningtheFund,sendtotheAccountsOfficer,throughtheHeadof
Office,anominationconferringononeormorepersonstherightto
receivetheamountthatmaystandtohiscreditinthefund,intheevent
ofhisdeath.
2.Mustbeinfavouroffamilyifhehasfamily:Ifasubscriberwhohas
ALPINESKI HOUSEALPINESKI HOUSE
2.Mustbeinfavouroffamilyifhehasfamily:Ifasubscriberwhohas
familyatthetimeofmakingthenominationshallmakesuchnomination
onlyinfavourofamemberormembersofhisfamily.
3.Shareshouldbespecific:Ifasubscribernominatesmorethanone
person,heshallspecifytheamountorsharepayabletoeachofthe
nomineesinsuchamannerastocoverthewholeoftheamount.
4.NominationinprescribedformEverynominationshallbemadeinthe
formsetforthinFirstSchedule.

6. NOMINATIONS: (RULE 5)
5.Nominationcanbechangedatanytime:Asubscribermayatany
timecancelanominationbysendinganoticeinwriting.The
subscribershall,alongwithsuchnoticeorseparately,sendafresh
nomination.
6.NominationtakeeffectfromthedateitisreceivedbyAccounts
ALPINESKI HOUSEALPINESKI HOUSE
6.NominationtakeeffectfromthedateitisreceivedbyAccounts
Officer:Everynominationmadeandcancellationgivenbysubscriber
shalltakeeffectonthedateonwhichtheAccountsOfficerreceivesit.
Butnomination/cancellationofnominationofasubscriberheldvalid
evenifhediesbeforeitreachestheAccountsOfficer.
7.Nominationcanbechangedafterretirement:Nominationmade
whileinServicecanbechangedevenafterretirementbutbeforethe
paymentoftheamount.

7. NOMINATIONS: (RULE 5)
8.Nomineefacingtrialmaybedeniedpayment:Nominee
facingtrialforthemurderoftheGovernmentServantmaybe
deniedpaymenttilltheCourt‘sdecision.
9.ProvidentFundassetsnottobepaidtonomineewhen
ALPINESKI HOUSEALPINESKI HOUSE
9.ProvidentFundassetsnottobepaidtonomineewhen
thematterissubjudice.

8. SUBSCRIBER‘S ACCOUNT: (RULE 6)
•Anaccountshallbeopenedinthenameofeach
subscriberinwhichshallbeshown.
hissubscriptions;
interest,asprovidedbyRule11,onsubscriptions;
ALPINESKI HOUSEALPINESKI HOUSE
interest,asprovidedbyRule11,onsubscriptions;
advancesandwithdrawalsfromthefund.
NOTE:ProvidentFundAccountNumberstobe
enteredattherighthandtopofpage1ofthe
ServiceBook.

9. CONDITIONS & RATES OF SUBSCRIPTIONS: (RULE 7 & 8)
•AsubscribershallsubscribemonthlytobeFundexceptduring
theperiodwhenheisundersuspension.(Butonhis
reinstatementhehastopayinonelumpsumorininstalmentsthe
amountofarrearssubscriptionpayableforsuspensionperiod).
Asubscribermay,athisoption,notsubscribeduringE.O.L.orH.P.L.
ALPINESKI HOUSEALPINESKI HOUSE
Asubscribermay,athisoption,notsubscribeduringE.O.L.orH.P.L.
Asubscriberneednotsubscribeduringdiesnon.
Subscriptiontobecompulsorilydiscontinuedduringthelast3monthsofservice
onsuperannuation.
Thesubscriptionshallbeexpressedinwholerupees;
Notlessthan6%andnotmorethantotalemoluments.Subscription
maybeanysum,soexpressednotless6%ofhisemolumentsandnot
morethanhistotalemoluments.

10. CONDITIONS & RATES OF SUBSCRIPTIONS: (RULE 7 & 8)
1.Forthepurposeof6%theemolumentsof31stMarch
a)InthecaseofsubscriberwhowasinGovernmentServiceonthe31stMarchofthe
precedingyear,theemolumentstowhichhewasentitledonthatdate:
b)InthecaseofsubscriberwhowasnotinGovernmentserviceonthe31stMarchof
theprecedingyear,theemolumentstowhichhewasentitledonthedayhejoinsthe
Fund.
ALPINESKI HOUSEALPINESKI HOUSE
Fund.
2.NochangeofSubscriptionduetoretrospectivechangeofpay:Rateof
subscriptiononcefixednottobevariedduringtheyearonaccountof
retrospectiveincreaseordecreaseinrateofpayorderedsubsequently.
3.Reducedonceenhancedtwice:Theamountofsubscriptionsofixedmaybe
reducedonceatanytimeduringthecourseoftheyear;
enhancedtwiceduringthecourseoftheyear;or
reducedandenhancedasaforesaid.

11. CONDITIONS & RATES OF SUBSCRIPTIONS: (RULE 7 & 8)
4.Short/Excessrecovery:Shortorexcessrecoveryofsubscriptionmay
beregularisedbyadjustmentinsubsequentmonthsorbyactualcash
payment.
Subscriptionmaybecomelessthan6%duetoroundingoff.
ALPINESKI HOUSEALPINESKI HOUSE
Subscriptionmaybecomelessthan6%duetoroundingoff.

12. INTEREST (RULE 11)
1.Interest,attheprescribedrates,shallbecreditedwitheffectfromthe
lastdayineachyearinthefollowingmanner:-
Ontheamounttothecreditofasubscriberonthelastdayofthepreceding
year,lessanysumswithdrawnduringthecurrentyear–Interestfor
twelvemonths.
Onthesumswithdrawnduringthecurrentyear–Interestfromthe
beginningofthecurrentyearuptothelastdayofthemonthproceeding
ALPINESKI HOUSEALPINESKI HOUSE
beginningofthecurrentyearuptothelastdayofthemonthproceeding
themonthofwithdrawal.
Onallthesumscreditedtothesubscriber‘saccountafterthelastdayof
theprecedingyear–interestfromthedateofdeposituptotheendof
thecurrentyear.
Thetotalamountofinterestshallberoundedtothenearestwholerupee
(fiftypaisecountingasthenexthigherrupee).
2.Ifdelayinthedrawlofpayorleavesalary:Theinterestonsuchdelayed
recoveriesshallbepayablefromthemonthinwhichthepayorleavesalary
wasdue,irrespectiveofthemonthinwhichitwasactuallydrawn.

13. INTEREST (RULE 11)
3.InterestpayableafterthedateofRetirement,deathetc.Interesttothe
endofthemonthprecedingthatinwhichthepaymentismade,or
uptotheendofthesixthmonthafterthemonthinwhichsuch
amount,becamepayablewhicheveroftheseperiodsbeless,shall
bepayabletothepersontowhomsuchamountistobepaid.
NOTE:Paymentofinterestonthefundbalancebeyondaperiodof6
ALPINESKI HOUSEALPINESKI HOUSE
NOTE:Paymentofinterestonthefundbalancebeyondaperiodof6
monthsmaybeauthorisedby–
otheHeadofAccountsOfficeuptoaperiodoneyear;and
otheimmediatesuperiortotheHeadofAccountsOfficeruptoany
periodafterhehaspersonallysatisfiedhimselfthatthedelayin
paymentwasnotpartofsubscriberorthenomineeandin
everysuchcasetheadministrativedelayinvolvedshallbe
fullyinvestigatedaddaction,ifanyrequired,taken.

14. INTEREST (RULE 11)
4.ExcessdrawnfromtheFund:Incaseasubscriberis
foundtohavedrawnfromthefundanamountinexcessof
theamountstandingtohiscreditonthedateofthe
drawl,theoverdrawnamountshallberepaidwithinterest
@2.5%overandabovethenormalrateofintereston
ALPINESKI HOUSEALPINESKI HOUSE
@2.5%overandabovethenormalrateofintereston
theProvidentFundinonelumpsum,ifpossible,or
otherwiseininstalments.
5.ThebalanceonGPFearnsinterestthroughout.The
CentralGovernmentrevisessuchratefromtimetotime.
Fortheperiodbetween1stApriland30thJune2020,
thisratehadbeensetat7.1%.

15. ADVANCES FROM G.P.F. (RULE 12)
Purposes:
1.Illness:Expenditureinconnectionwithillness,confinementordisability
includingthetravellingexpensesoftheofficialandmembersofhisfamily
oranypersonactuallydependentonhim.
2.Education:Costofhighereducationincludingtravellingexpensesofthe
ALPINESKI HOUSEALPINESKI HOUSE
subscriberandmembersofhisfamilyoranypersonactuallydependentonhim
a)foreducationoutsideIndiaforacademic,technical,professionalor
vocationalcoursebeyondtheHighSchoolstage,and
b)foranymedical,engineeringorothertechnicalorspecialisedcoursein
IndiabeyondtheHighSchoolstageifthecourseofstudyisfornotlessthan
threeyears.
1.Obligatoryexpenses:Obligatoryexpensesinconnectionwithbetrothals,
marriages,funeralsorotherceremonies,includingfirstshradhceremony.

16. ADVANCES FROM G.P.F. (RULE 12)
4.Costoflegalproceedings:Institutedbyoragainstthesubscriber,any
memberofhisfamilyoranypersonactuallydependentuponhim(in
additiontoanyadvanceadmissibleforthesamepurposefromanyother
Governmentsource.)
5.Costofdefence:Whenheengagesalegalpractitionertodefendhimself
ALPINESKI HOUSEALPINESKI HOUSE
5.Costofdefence:Whenheengagesalegalpractitionertodefendhimself
inaninquiryinrespectofanyallegedofficialmisconductonhispart.–
[Rule12(1)]
6.ConsumerDurables:Topurchaseconsumerdurables,likeTV,
VCR/VCP,WashingMachine,CookingRange,GeysersandComputer.
7.Pilgrimage:Forpilgrimageandvisitingplacesofeminenceofall
religions.

17. AMOUNT OF ADVANCE PERMISSIBLE
1.Normal:Limitofadvanceupto12monthsofpayorthree-fourthof
theamountatcredit,whicheverisless.Amountofadvancewillbe
recoverableinamaximumof60instalments.Theadvancemaybe
sanctionedbythedeclaredHeadofOffice.–Rule12(1)&13(1).
2.Special:Nolimit.Advancerecoverableinnotmorethan36
ALPINESKI HOUSEALPINESKI HOUSE
2.Special:Nolimit.Advancerecoverableinnotmorethan36
instalmentsifitexceeds3months‘pay.–Rules12(2)&13(1).
3.Consolidationofadvances:Whenanadvanceisgrantedbefore
completerepaymentofanyearlieradvance,theoutstandingbalance
willbeaddedtothenewadvanceandinstalmentsforrecoveryre-fixed
withreferencetotheconsolidatedamount.–Rule12(3).

18. SANCTIONING AUTHORITY FOR ADVANCE
1.Normaladvances:Authoritycompetentto
sanctionadvanceofpayontransfer.Ifthe
applicanthimselfistheauthority,thenthenext
higheradministrativeauthority.–FifthSchedule.
ALPINESKI HOUSEALPINESKI HOUSE
higheradministrativeauthority.–FifthSchedule.
2.Specialadvances:AsinFifthScheduleto
GPF(CS)Rules.
3.Maximumtimelimitoffifteendaysisbeingprescribedfor
sanctionandpaymentofanadvancefromtheFund.Incaseof
emergencieslikeillnessetc.,thetimelimitmayberestrictedto
sevendays.

19. RECOVERY OF ADVANCE
•Recoveryshouldcommencewithissueofpayforthe
monthfollowingtheoneinwhichtheadvancewasdrawn,
e.g.,foradvancedrawninApril,recoveryshould
commencefrompayforMaypayableon31
st
May.–Rule
ALPINESKI HOUSEALPINESKI HOUSE
12(2).
•Whenbalanceofthepreviousadvanceisconsolidatedwith
theamountofnewadvance,therecoveryofprevious
advancewillcontinuetilltherecoveryoftheconsolidated
amountcommences.–GID(10),Rule12.

20. WITHDRAWALS FROM G.P.F. (RULE 15)
Purposes for WithdrawalsPurposes for Withdrawals
1.Education:Costofhighereducationincluding,wherenecessary,the
travellingexpensesofthesubscriberoranychildofthesubscriberfor
a)EducationoutsideIndiaforacademic,technical,professionalor
ALPINESKI HOUSEALPINESKI HOUSE
vocationalcoursebeyondtheHighSchoolstage;and
b)Foranymedical,engineeringorthetechnicalorspecialised
courseinIndiabeyondtheHighSchoolstages.
2.Obligatoryexpenses:Obligatoryexpensesinconnectionwith
betrothaland/ormarriageofthesubscriberorhissonsordaughters
orotherfamilyrelationsactuallydependentonhim.

21. WITHDRAWALS FROM G.P.F. (RULE 15)
Purposes for Withdrawals
3.Illness:Expenditureinconnectionwiththeillnessincluding
thetravellingexpensesofthesubscriberandmembersof
hisfamilyoranypersonactuallydependentonhim.–Rule
ALPINESKI HOUSEALPINESKI HOUSE
hisfamilyoranypersonactuallydependentonhim.–Rule
15(1)(A).
4.ConsumerDurables:Topurchaseconsumerdurables,
likeTV,VCR/VCP,WashingMachine,CookingRange,
GeysersandComputer
5.Housing:Buildingoracquiringasuitablehouseorready-
builtflatincludingthecostofsite.

22. WITHDRAWALS FROM G.P.F. (RULE 15)
Purposes for Withdrawals
6.Repaymentofoutstandinghousingloan:Expressly
takenforbuildingoracquiringahouseorready-builtflat.
7.Purchasingahousesite:Forbuildingahouseorrepaying
ALPINESKI HOUSEALPINESKI HOUSE
7.Purchasingahousesite:Forbuildingahouseorrepaying
anyoutstandingloanexpresslytakenforthispurpose.
8.Constructing:Ahouseonasitepurchaseunderitem6
above.
9.Reconstructing:Ormakingadditions/alternationstoa
house/flatalreadyowned.

23. WITHDRAWALS FROM G.P.F. (RULE 15)
Purposes for Withdrawals
10.Renovatingancestralhouse:Renovating,additionsoralternationsor
upkeepofanancestralhouseataplaceotherthanplaceofdutyortoa
housebuiltwiththeGovernmentloanatplaceotherthanplaceofduty.–
Rule15(1)(B).
ALPINESKI HOUSEALPINESKI HOUSE
Rule15(1)(B).
Iftheancestralhousehasnotbeentransferredinthenameofthe
Governmentservant,he/sheshouldproduceproofthathe/sheisoneof
theinheritors/nomineestoreceivetheshareoftheproperty.–GID(5),
Rule16.
11.Extensiverepairs/overhaulingofhismotorcar–GID(2),Rule15.
12.Purchaseofmotorcar/motorcycle/scooter,etc.GID(1),Rule15.

24. WITHDRAWALS FROM G.P.F. (RULE 15)
Purposes for Withdrawals
13.Makingdeposittobookamotorcar/motor
cycle/scooter/moped,etc.–GID(3),Rule15.
14.Onceinafinancialyeartowardssubscriptionpaidfor
ALPINESKI HOUSEALPINESKI HOUSE
14.Onceinafinancialyeartowardssubscriptionpaidfor
theGroupInsuranceScheme.Rule15(1)(D).
15.Withinoneyearofretirementwithoutassigningany
reason.
16.Conversionofleaseholdpropertyintofreehold.

25. LIMITS OF WITHDRAWAL
1.Inrespectofitems1to4–
a)Normally,Asubscribercanwithdrawanamountequal
to75%oftheoutstandingbalanceinsuchPFor
his/her12months’emoluments,whicheverislower.
ALPINESKI HOUSEALPINESKI HOUSE
his/her12months’emoluments,whicheverislower.
2.Inrespectofitems5to10–
a)Upto90%ofbalanceatcredit:
b)TheamountofwithdrawalplustheGovernmentloanalready
takenshouldnotexceedthelimitsprescribedundertheHBA
Rules.–Rule16(1)andProviso.

26. LIMITS OF WITHDRAWAL
3.Foritem11to13,Threefourthoftheamountat
creditorcostofvehicleswhicheveristheleast.–
GID(2),Rule15.(10yearsoftheservice)
ALPINESKI HOUSEALPINESKI HOUSE

27. LIMITS OF WITHDRAWAL
6.Foritem14,anamountequivalenttooneyear‘s
subscriptionpaidtowardstheGroupInsurance
Scheme.Rule15(1)(D).
ALPINESKI HOUSEALPINESKI HOUSE
7.Foritem15,90%ofthebalanceavailable.And
8.Foritem16,actualcharges.

28. ELIGIBILITY FOR WITHDRAWAL
1.Foritems1to4:Aftercompletionof10yearsof
service(includingbrokenperiods)orwithintenyears
beforethedateofsuperannuation,whicheveris
earlier.–Rule15(1)(A).
ALPINESKI HOUSEALPINESKI HOUSE
earlier.–Rule15(1)(A).
2.Foritems5to10:Anytimeduringtheservice.–
Rule15(1)(B).
3.Foritem11to13:Aftercompletionof10yearsof
serviceorlessthan3yearsbeforeretirement.–GIO
2,Rule15.

29. ELIGIBILITY FOR WITHDRAWAL
NOTE:
1.Onlyonewithdrawalcanbeallowedforthesamepurpose.
Marriageoreducationofdifferentchildrenorillnesson
differentoccasionsorafurtheraddition/alternationtoa
ALPINESKI HOUSEALPINESKI HOUSE
house/flatcoveredbyafreshplan–thesearetreatedasfor
differentpurposes.–Note5,Rule15(1).
2.BetrothalandMarriagearetreatedasseparatepurposes.–
GID(2),Rule16(1).
3.Bothadvanceandwithdrawalshouldnotbesanctionedfor
oneandthesamepurpose.–Note6,Rule15(1).

30. WITHDRAWAL
•Withdrawalwithoutassigninganyreason:(Item15)
Withintwelvemonthsbeforeretirementonsuperannuation,
anemployeecanwithdraw,withoutassigninganyreason,
upto90%oftheamountathiscredit.Thisfacilitycan
ALPINESKI HOUSEALPINESKI HOUSE
upto90%oftheamountathiscredit.Thisfacilitycan
beavailedonlyonce.–Rule15(1)(C).2017Cicular
stipulatesfor2yearsbeforeretirement.
•SanctioningAuthority:Authoritycompetenttosanction
advanceforspecialreasonsasinFifthSchedule.
CompetentauthoritytosanctionisHeadofDepartment.

31. NOTES:
•Asidefromprematurewithdrawals,theoutstandingamount
canalsobereleasedintheeventofasubscriber’sdeath.
Thenomineeisalsoentitledtoanadditionalamount,which
isequaltotheaverageofthreeyearsofPFbalance
ALPINESKI HOUSEALPINESKI HOUSE
isequaltotheaverageofthreeyearsofPFbalance
precedingsuchevent.However,suchadditionalamount
cannotexceedRs.60,000.
•AsperGPFpartfinalwithdrawalrules,thesubscriber
shouldhavebeeninservicefor5yearsormoreforsuch
additionalbenefits.