Many retired workers in India have been waiting for good news about their pensions. The Employees’ Pension Scheme 1995, or EPS-95, helps people who worked in companies get money every month after they stop working. In July 2025, the government gave a big update. They said arrears, which means the extra money owed from past months, will start coming to bank accounts soon. This will help lakhs of old people who find it hard to live with small pensions because prices of things are going up. The update also talks about higher pensions and how much people will get. This is like a gift for those who worked hard all their lives.
What is EPS-95 and Who Gets It?
EPS-95 started in 1995 for workers in the organized sector. If you are part of the Employees’ Provident Fund, or EPF, then 8.33 percent of your salary goes to this pension fund. The boss pays it, and the government adds a little more. To get pension, you need at least 10 years of work and be 58 years old. You can take it early at 50, but it will be less. Family also gets help if the worker dies, like widow pension or child pension. About 78 lakh people get this now, but many say the old minimum of 1000 rupees a month is too small for food, medicine, and house costs today.
Big Changes in Pension Amount from 2025
In May 2025, the minimum pension went up to 7500 rupees a month, which is a jump from 1000 rupees. This helps over 6 million people feel safer with money. Then, in July 2025, there is a 4 percent extra ad hoc increase starting from July 1. It means pensions will go up a bit more to fight high prices. For higher pension, if you chose to pay on full salary not just 15000 rupees cap, you get more. The government said no need for workers to pay extra now; it comes from the boss’s share. This all came after court orders and talks with unions.
When and How Much Arrears Will Come?
The big news is about arrears payout. Government said it starts on August 10, 2025, and most will get by August 31. It depends on your bank and EPFO office in your area. The amount is different for each person, based on how many months are pending, old pension, and new one. For example, if old pension was low and now higher, you get the difference for past months. Here is a small table with some examples:
| Pending Months | Old Pension (Rs) | New Pension (Rs) | Estimated Arrears (Rs) |
|---|---|---|---|
| 6 | 2000 | 7500 | 33000 |
| 8 | 3000 | 8000 | 40000 |
| 12 | 4000 | 9000 | 60000 |
These are just ideas; real amount comes from your work years and papers. If you retired before March 2025 and your new pension was okayed but not paid full, you will get it.
Who Can Get It and How to Check?
Not everyone gets arrears. You must have retired under EPS-95 before March 2025. Your new pension must be approved but pending. Papers like Aadhaar and bank must be updated in EPFO. If there was mistake in calculation before, you get fix now. To check, go to EPFO website and see your status. Use UMANG app for phone. Make sure bank is linked. If not, go to nearest EPFO office. Keep KYC done to avoid wait. Call helpline if problem. Many are getting in phases, so be patient but check often.
Why This is Good for Old People
This update brings smile to many families. With 7500 rupees minimum, old people can buy better food and see doctor without worry. The 4 percent extra helps with rising costs like rice and petrol. Arrears mean one-time big money, maybe 30000 or more, to pay old bills or help kids. It shows government listens to pension groups who asked for years. But some say make it even higher, like 9000 rupees. Still, this is step forward for workers who built the country. If you are a pensioner, tell your friends and check your account in August. Stay healthy and happy.