4.3.

 Upon enrollment of employers within the aforementioned timeline, they are required to
enroll their employees with the SSF within 3 months after registration of the employers.

4.4. Submission of Application

The required list of the documents to be submitted along with the application for enrollment of
the employers with the SSF and the detailed process for registration is provided in the link
below: Registration

5. Social Security Schemes

The Social Security Fund has introduced the following Social Security Schemes:

(a) Medical Treatment, Health and Maternity Protection Scheme

(b) Accident and Disability Protection Scheme

(c) Dependent Family Protection Scheme and,

(d) Old Age Protection Scheme

6. Contribution

The Employer and the Employees are required to contribute certain amount of the employee’s
basic salary each month to the Social Security Fund.  The rate of contribution is as follows:

Contributor Amount(basic salary)

Employee 11%

Employer 20%

Total 31%
 

7. Allocation of Contribution

The total amount of contribution made by the Employer and Employee will be allocated to the
different schemes in the following manner:

S.N. Social Security Schemes Allocation

1 Medical Treatment, Health and Maternity Protection Scheme 1%

 2 Accident and Disability Protection Scheme 1.40%

3 Dependent Family  Protection Scheme 0.27%

4 Old Age Protection Scheme 28.33%

Total 31%
 

8. Schemes their Coverage and Exclusions

8.1. Medical Treatment, Health and Maternity Protection Scheme

The Medical Treatment, Health and Maternity Protection Scheme comprises of (a) Medical
Treatment and Health Safety Schemes and (b) Safe Motherhood Schemes for the Contributor or
Contributors Wife. The Contributor who have contributed in the Fund for a period of 3 (three)
months are entitled to facilities under this scheme. However, Contributors should contribute for
12 (twelve) months within a period of 18 (eighteen) months in order to benefit from the
Maternity Safety Schemes.

8.1.1. Coverage under Medical Treatment, Health and Maternity Protection Scheme

Pursuant to number 5 of the Directive, Contributors get the following benefits out of this
Scheme:

1. Medical consultancy services,

2. Admission and operation fee of the hospital,
3. Examination and treatment cost,
4. Medicine Expenses equivalent to medical bill,
5.  Expenses incurred for the regular pregnancy test of the Contributor or Contributor’s
Wife, hospital admission, operation and treatment of child for 3 (three) months,
6. Medical consultancy fee for the medical treatment undergone at home in case the
contributor is unable to reach hospital.

8.1.2. Scope of Health Benefits

Contributors are entitled to following health benefits:

Contributor’s
S.N Scopes of Benefits Entitlement Cost
 Amount not
exceeding NPR 20% of the
1 Treatment at Hospital 100,000 p.a. claim amount

Cost incurred for the regular pregnancy

test of the Contributor or Contributors Amount not
Wife, hospital admission, operation exceeding NPR 20% of the
2 and treatment of child for 3 months 100,000 p.a. claim amount

Treatment without admitting to Amount not

hospital as per the prescription of exceeding NPR 20% of the
3 doctor 25,000 p.a. claim amount

Amount equivalent to
one month’s
minimum
Maternity Care/Miscarriage after 24 remuneration per Up to two
4 weeks of pregnancy/stillbirth child. children.
 

8.1.3. Exclusions

Contributors are not entitled to following treatment under this Scheme:

1. The cost incurred for plastic surgery or dental treatment except the expenses required for
the accidental treatment,
2. Expenses incurred for Bariatric Surgery,
3. In case the Fund is unable to bear the expenses and suspends the schemes due to the
spread of epidemic diseases over the country,
4. In case the similar benefit has been entitled under Accident and Disability Safety
Schemes.

8.2. Accident and Disability Protection Scheme 

Accident and Disability Protection Scheme comprises of (a) Accidental Benefits and (b)
Disability Benefit.

This scheme is applicable from the date of contribution to the Contributor who requires treatment
for the employment related accident. However, the Contributors who have not contributed for a
minimum period of 2 (two) years shall not be entitled to the benefit related to the treatment of
occupational diseases and other benefit relating to the treatment of occupational health diseases.

8.2.1.  Scope of Benefits
 1. Total expenses incurred for the treatment of employment related accident or occupational
diseases.
2. Treatment expenses up to NPR 7,00,000 in case of accident except the employment
related accident.
3. Amount equivalent to 60% of the employee’s basic remuneration until returning to work
in case of temporary full disability due to occupational hazard or diseases.
4. Lifetime monthly pension based on the ratio of disability of the Contributor in case of
permanent disability due to occupational hazard or diseases.
5. Lifetime monthly payment equivalent to 60% of the employee’s basic remuneration in
case of permanent full disability due to occupational hazard or diseases.

8.3. Dependent Family Protection Scheme

This benefit is provided in the event of death of the Contributor. Dependent Family Protection
Scheme comprises of (a) pension benefits to husband or wife, (b) Scholarship to the children of
the Contributor, (c) benefits provided to dependent family members and (d) funeral expenses

1. Pension Benefits

The Pension benefit is provided to husband or wife of the Contributor in the event of death of
Contributor due to accident or occupational diseases. The husband or wife is entitled to lifetime
pension benefit equivalent to 60% of last drawn basic remuneration of the Contributor.

2. Scholarship Schemes to the Contributor’s Children

This Scheme covers the children who have not completed 18 years of age in the event of death of
the Contributor. The amount of such scholarship shall be 40% of the last drawn basic
remuneration of the Contributor and it shall be entitled every month.

3. Benefits to the Contributor’s Parents

This benefit is provided to the dependent parents living joint with the Contributor in case the
Contributor does not have husband or wife or children. The dependent parents will be entitled to
60% of the basic remuneration for life time.

4. Entitlement of Funeral Expenses

In case of death of Contributor for any reason whatsoever the dependent family member or the
nominee will be entitled to funeral expenses of NPR 25,000.

8.4. Old Age Protection Scheme

The Old Age Protection Scheme will be operated by the total amount of 28.33% of the
employee’s basic salary (10+10% provident fund and 8.33% gratuity) deposited in the SSF. The
contributing employees shall receive (i) pension, or (ii) retirement scheme benefits.
8.4.1. Participation in Pension Scheme

The Old Age Protection Scheme applies to the employees working with the employer prior to
Shrawan 01, 2076 (July 17, 2019) if they accept the Scheme under the collective bargaining
agreement.

8.4.2. Benefits under the Pension Scheme:

Upon completion of the retirement age, the total sum amount of contribution made by the
employer and the employee and the amount of accrued from the investment made by the Fund
will be divided by 180 months (15 years) and such amount will be provided as pension every
month during the employee’s lifetime. Upon death of the Contributor prior to the retirement age,
their heir shall receive the total lump sum amount of the contribution made by the employer and
the employee and the accrued benefit received from the Fund.

8.4.3. Eligibility for Pension Entitlement:

The Contributor should have completed the age of 60 and should have contributed for at least
180 months or 15 years.

8.4.4. Retirement Benefits:

The Contributors working prior to Shrawan 01, 2076 (July 17, 2019) contributing 28.33% for
provident fund and gratuity shall be entitled to receive a lump sum amount of the contribution
and income accrued on such amount upon retirement.

9. Opt-In and Opt-Out

9.1. Pursuant to Section 6 of the Social Security Act, employees do not have the option to opt in
or opt out of the Schemes and all employees are required to participate in all schemes (No option
to participate in some schemes).

9.2. However, the following employees have the opt-in option for the following scheme (a)
existing employees having employment relationship prior to Shrawan 01, 2076 (July 17, 2019),
(b) under the Collective Bargaining Agreement, (c) to Old Age Protection Scheme. Until they
exercise the opt-in option they are not included in the Old Age Protection Scheme and get the
principal and accrued income of their provident fund and gratuity.

10. Transfer of PF and Gratuity

10.1 The Directives also deals with the PF and Gratuity for pre-enrollment and post-enrollment
period.  Pursuant to Directives, the existing employee (the employee whose provident fund and
gratuity has been accumulated) are provided certain options in relation to the management of the
provident and gratuity for pre-enrollment period (up to the date of starting of contribution to
SSF). Such employee can choose to either (a) transfer the amount to SSF; or (b) get it paid out;
or (c) continue to maintain the amount in the retirement fund where it has been deposited.