What is Superannuation benefit fund and how to check it online?

What-is-Superannuation-benefit-fund-and-how-to-check-it-onlineWhat is Superannuation benefit fund and how to check it online?

This article is on based request from Kiran on “Suggest a topic”.

Superannuation is a retirement benefit provided by employer. Companies have been making this benefit as part of the salary structure (CTC-Cost to company). Companies can create Superannuation fund account with any of the insurance companies like LIC, ICICIprulife etc.  Employers are finding the ways and means to provide retirement benefits to employees to reduce attrition (resignations) so that employees can stay longer period with them. Along with PF and NPS, they are finding Superannuation as one more tool to provide retirement benefits to their employees.

Also read: What is gratuity and how it is calculated?

Features of Superannuation benefit fund?

  • Companies can open superannuation benefit fund with any of the approved agencies like LIC, ICICIprulife etc
  • Employer need to contribute to maximum of 20% of the salary to Superannuation fund. Generally companies are making this part of the CTC itself. Means, the amount paid on this Superannuation is coming from employee salary itself. There is no specific contribution from employees like it is done for PF account.
  • Returns on Super Annuation fund are almost same as Provident Fund interest rates. The interest amount would be credited to members account every year.
  • If an employee resigns and moves to another company, he can transfer the amount to the new company provided the new company is having approved superannuation fund. In case new company does not provide superannuation fund facility, the employee can withdraw the amount, however necessary tax would be applicable.

How Superannuation fund is calculated?

  • Less than 1 year of service – NIL
  • 1 to 2 years of service – 50% of contribution + interest received from fund
  • 2 to 3 years of service – 75% of contribution + interest received from fund
  • 3+ years of service – 100% of contribution + interest received from fund

Means, if you stay beyond 3 years of service, employer would contribute to 100% of the amount allocated for Superannuation. If an employee works for less than 3 years, though it is part of CTC structure, the employee would not really get benefited.

What are the tax benefits of superannuation benefit fund?

a) Retirement: One third of the superannuation accumulated (contribution + interest) can be taken as tax free amount in lump sum payment and balance need to be used to buy annuities.

b) Resignation: In case of resignation of the employee, he would get equated interest amount to his account for his share. Beyond 3 years, he can opt for pension or contribution can be transferred to new employer who may have approved super Annuation fund. In case the facility is not available with new employer, he can withdraw and necessary income tax would be applicable based on individuals income tax slab.

c) Contribution: Superannuation contribution more than Rs 1 Lakh is treated as taxable perquisite in the hands of employee. Means such amount would attract tax and necessary tax would be deducted by employer.

How to check superannuation benefit fund online?

Below is the sample example on how to check superannuation benefit fund online for LIC and ICICI. But before that, you should check with your HR / Payroll department /Finance department about the super Annuation policy number and website details.

How to check Super Annuation fund with LIC or ICICIPrulife online?

  • Visit website licindia.com or ICICIprulife.com
  • Click on register option.  Update Policy number / DOJ / DOB / Premium amount. I understand majority of Date of birth (DOB) are not updated in LIC records, hence you should indicate as “01/07/1960” or “07/01/1960” in case It is not working.
  • Visit “Group Scheme” info
  • Go to “members” section
  • You can see accumulated balance of your superannuation fund.

Also Read: Complete guide in New Pension Scheme (NPS) in India

The above process is only indicative and you may have further steps involved in it depending on the company where Superannuation fund is maintained. In case there are any additional steps, please provide the same, I would incorporate as part of above steps.

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Suresh
What is Superannuation benefit fund and how to check it online

Suresh KP

60 comments

  1. If i delete the enrollment will that cancel the Annuity deduction and will i get the money back?

    1. You can’t do that. Pls talk to your HR / Payroll if you would like to stop superannuation contribution. Also you can withdraw entire amount within prescribed limits if you move out of the company or if your company is getting merged into another company that do not provide superannuation option.

  2. Super Annuity plan contribution whether excempted under which section
    ..I have full exception of 1.5 lakhs under 80 cc. Pl reply.

  3. D/sir,
    As I was a member of this LIC superannuation scheme by my company. I had resigned from my company and my pension was started since 2016 and the amount was crediting to my bank a/c every month, but suddenly it has been stopped crediting since last 3 months (from nov’2021).

    My request could you pls provide suggestions that how can I check with Lic ? Or could you please provide the current link by which I can check online status of my super Annuation scheme ?

    Pls reply back and help me.
    Thanks,

    1. I have not received monthly annuity amount of Rs.9573for the month of June 2022 . what is the reason

  4. Hi Sir,

    I took superannuation plan in my previous organization. When resigned withdrawn 1/3 rd amount. Remaining amount (Rs. 96,000)they kept in life long annuity.
    and they just giving monthly pension as Rs. 483 only to me.

    Not interested to take monthly pension. Also every year i need to provide Existence letter from gazetted officer. This is not so good to me.

    Kindly advise how can i withdraw my annuity amount instead to get monthly.

  5. I retiered in June 2020. I received 1/3 of accoumulate amount yestrtday What I will get be amount of pension on monthly (Balance amount is approx Rs. 11.5 Lac).
    Kindly confirm.
    Regards.

  6. I have a P&GS Policy (GSI-Assurance No4) from my employer @ LIC,ND. On my retirement in 1998 I got commutated 1/3rd and started getting Regular Monthly Pension since then. Q1: Can I get the balance 2/3rd lying with LIC and close the account? Q2: If I choose to continue what will happen to the balance corpus standing to my credit? Q3: On my death, will the Corpus money be paid to the Nominee?

    1. Hello BK Chowdhary, This would depend based on the annuity plan which you have taken. If you have taken simple life long pension annuity plan, you would just get pension income for life long. check what plan you have taken.

      1. Dear Sir,

        I have resigned from an MNC in 2020 and want to understand how to claim this as I am getting reminders from my Co.

        Where do I choose my Pension plans. I was never asked about this.
        What option is best and under circumstances?
        I finished 18 years with MNC
        I still have many years for retirement.

        I dont know which option to choose ..1/3 , or 1/2 or 100% . How does one determine this ? Pls advise.

        Thanks

        1. If you do not need pension plan now and need only after retirement, best way is to transfer superannuation to NPS Tier-1. Once you move to Tier-2 NPS, it is in your control. You can get pension once you retire and as per the option you might chose at that time. Pls approach your payroll / HR dept to transfer to NPS

      1. Hi Suresh, request you to remove such comments as these can harm people as you have already mentioned in your reply / remarks to that message. Please, get it removed

  7. Old portal is not open as per your guideline “licindia.com”.

    Hence unable to check the group insurance amount.

  8. I have a 4 digit lic number from my ex employer. How can I know the exact member number ( lic site says it should be between 7 to9 digits)

    1. For me also same. 4 digit lic number given by my employer. However LIC site says need 7 to 9 digits. Any suggestions?

  9. LIC has not now launched new customer portal. I see my personal policied registered earlier are visible. But my superannuation policy is not visible. I could see it previous version of portal. Any suggestion.

      1. LIC says these features are not available in the current portal and will be enabled shortly. You can always access the same by logging on to old portal.

          1. Click on “Pension and Group schemes”. This will launch the old portal where you can check the group policy registered.

  10. sir 

    help me to withdraw my superannuation fund from last employer. This company has been closed . What is the procedure.Where i should contact to know the exact balance in my account.

    I had worked with two company but both company locked out. 

     

  11. Whether Public Sector Company (Wholly owned by GOI) employees are considered at par with Central Govt. employees as far as Leave Encashment is concerned????

  12. Dear sir

    How i am check SA fund and they asking customer ID and date of commancement what is this pl explain

  13. I have worked with 02 companies in past and I had left both companies as :
    First company : Feb 1987-Dec 1996 again joined same company Aug 2007- Sep 2011
    2nd company : 2002- Aug 2007
    in both company I have had superannuation account under group scheme but I do not know the exact amount balance in my account . where I should contact or meet to get the superannuation data .

    Please help

  14. My present employer does not have superannuation fund facility and my previous employer has refused to pay the superannuation fund saying that as per policy employee who has not completed minimum 15 yrs of continous service or attained 48yrs of age is not eligible.

    Kindly guide me on this.

  15. Hi, I have 13L in a SA Fund. I have resigned, and will not be working for any other company in future. I don’t want to take an Annuity plan. Can I take the whole SA Fund and pay tax on it?

  16. I am retring in the month of Dec14 if withdraw full copntribution amount of super annaution have I to pay tax on it please

  17. Very useful.

    My question is as of now (2014) a person retires with a SA corpus of Rs 30 Lakhs and goes for annuity with full corpus, how much monthly pension he can expect?

  18. I am a Kidny Transplant Patient . Could in get my superannuation amont before retirement ?

    Please Reply

    ARVIND KUMAR GUPTA

  19. Hi,

    I have transfered to one company to another company (internal transfer). I have contributed for past  7 years.  That company does not have a superannuation scheme.  Whether I can withdraw the amount, or retain the amount in the Fund, till the superannuation age.  In case of retain how much interest should i get ?.  

  20. Very helpful article.
    I have a query – I have joined my firm 3 years ago and did not opt for SA funds and the scheme was taken off, until last month where my employer has again opened this scheme for its associates. Will it be a feasible option for me to chose the SA funds now, as I might switch my job in next an year or so.

    Also as I see the contribution will be solely from my end and nothing from employer..am I understanding it correct?

  21. Does any one has idea, if one can make partial withdrawal from Superannuation fund while still in services of same company? 

  22. Hi, This is employee choice and we have freedom to choose how much amount contribute to SA policy. 500 pm is mandatory as I have choosen this SA.

    Question is , is it better to contribute 15% of basis to SA ( we get immediate tax benefit on this contribution) or pay the tax on this amount and invest in good mutual funds ? 

      1. Thank you for your reply… Sorry , I have missed one point. even now I am following second option investing in MF but from this year onwards , moved to 20% tax bracket. Where I am thinking … 

  23. I am 60 years of age, now my superannuation fund is Rs 3000000.00. Could any body advice where to invent so that I will get max. pension.

     

  24. Very useful article!

    As you mentioned maximum 20% of the salary can be contributed as Superannuation. But in our company maximum 15% of the salary(Basic) is allowed as a contribution and upto one lakh is not taxable. Please confirm.

    Regards!

    Ajay K Gupta

    Reliance Industries Ltd.

    Jamnagar

  25. Thanks for the prompt reply and clarifying my doubt.
    You mean to say that salary is structured in such a way that it is employer who is paying for the superannuation.
    Does it show up in Form 16? If yes where
    If there is a choice should one go for it?

    1. Yes it would show up in Form-16 as this is benefit provided by employer. Some employers are showing up only on resignation of resource (super annuation accumulation is paid and tax deducted). I heard some showing every year and deducting tax. This is paid as per company policy and I don’t think employees has an option to say Yes or No.

  26. Very useful.

    I have a doubt  in Features of Superannuation benefit fund?

    There is no specific contribution from employees like it is done for PF account.

    Shouldn't it read employer

    1. Kirthi, What I have indicated is correct. In PF, there is employer and employee contribution. However in Superannuation this is a benefit provided by employer and no contribution from employee. This is what it meant. 

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