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GPF Rules

Original Rule Text

THE GENERAL PROVIDENT FUND (CENTRAL SERVICES) RULES, 1960 RULES CONTENTS PAGES 1 Short title and commencement 1 2 Definition 2-3 3 Constitution of the Fund 4 4 Conditions of eligibility 5 5 Nominations 6-7 6 Subscribers’ accounts 8 7 Conditions subscriptions 9 8 Rates of subscriptions 10-11 9 Transfer to foreign service or deputation out of India 12 10 Realization of subscription 13 11 Interest 14-16 12 Advances from the fund 17-18 13 Recovery of advances 19 14 Wrongful use of advance 20 15 Withdrawals from the fund 21-24 16 Conditions for withdrawal 25-27 16-A Conversion of an advance into a withdrawal 28 17 Payment towards insurance policies and family pension funds 29 18 Number of policies that can be financed from the fund 30 19 Payment of difference between substituted payments and minimum subscription 31 20 Reduction of subscription in certain cases 32 21 Government not to make payments to insurer on behalf of subscribers 33 22 Assignment of policies 34-35 23 Bonus of Policies 36 24 Re-assignment of policies 37-38 25 Procedure on maturity of policies 39 26 Procedure on cessation of interest of the subscriber in the Family Pension Fund 40 27 Lapse or wrongful assignment of policies 41 28 Duty of accounts officer when he receives notices of assignment, charge or encumbrance of policies 42 29 Wrongful use of money withheld or withdrawn 43 30 Restriction of the provisions relating to financing of policies to existing subscribers in respect of existing policies 44 31 Final withdrawal of accumulations in the fund 45-46 32 Retirement of subscriber 47

What This Means

The General Provident Fund (Central Services) Rules, 1960, provide a comprehensive framework for managing the GPF accounts of central government employees in India. These rules cover everything from who is eligible to contribute to the fund, how much they can contribute, and how the fund is managed, including interest accrual and withdrawals. The rules also address specific situations like transfers to foreign service, availing advances, and using the fund to pay for insurance policies.

This explanation was generated with AI assistance for educational purposes. Always refer to the official gazette notification for authoritative text.

Key Points

  • •Defines eligibility criteria for government employees to subscribe to the GPF.
  • •Outlines the process for nominations, ensuring funds are distributed according to the subscriber's wishes.
  • •Specifies the conditions for subscriptions, including rates and methods of realization.
  • •Details the rules for availing advances and withdrawals from the fund, including recovery procedures.
  • •Covers the final withdrawal process upon retirement or resignation.

Practical Example

Ramesh, a newly appointed clerk in the Ministry of Finance, wants to understand how the GPF works. He learns from the rules that as a permanent employee, he's eligible to subscribe to the fund. He decides to nominate his wife, Priya, as the beneficiary. After working for five years, Ramesh needs money for his sister's wedding. He checks the GPF rules and finds that he can apply for an advance from his GPF account, subject to certain conditions and recovery schedules. He applies for an advance of ₹50,000, which is approved, and the amount is recovered from his subsequent salary installments.

This explanation was generated with AI assistance for educational purposes. Always refer to the official gazette notification for authoritative text.

Frequently Asked Questions

Who is eligible to subscribe to the General Provident Fund?▼
Generally, all permanent central government employees are eligible to subscribe to the GPF.
Can I nominate someone to receive my GPF amount in case of my death?▼
Yes, the rules provide for nomination. You can nominate one or more persons to receive the amount standing to your credit in the fund.
What is the rate of interest on GPF deposits?▼
The rate of interest is declared by the government from time to time. It is usually aligned with other similar savings schemes.
Under what circumstances can I withdraw money from my GPF account?▼
Withdrawals are permitted for specific purposes such as education, marriage, illness, house building, etc., subject to certain conditions and limits.
What happens to my GPF account if I resign from government service?▼
Upon resignation, you are eligible to withdraw the entire amount standing to your credit in the GPF account, subject to applicable rules.

This explanation was generated with AI assistance for educational purposes. Always refer to the official gazette notification for authoritative text.

Test Your Knowledge

Question 1 of 3

According to the General Provident Fund (Central Services) Rules, 1960, which of the following aspects is NOT explicitly covered?

Related Rules

Rule 13GPF (Central Services) Rules, 1960 - Rule 13Rule 15GPF (Central Services) Rules, 1960 - Rule 15Rule 20GPF (Central Services) Rules, 1960 - Rule 20Rule 16GPF (Central Services) Rules, 1960 - Rule 16Rule 18GPF (Central Services) Rules, 1960 - Rule 18

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