How To Check Member IDs Or PF Accounts Linked To UAN

How To Check Member IDs Or PF Accounts Linked To UAN

How To Check Member IDs Or PF Accounts Linked To UAN: There are two ways to determine how many Member Ids or PF accounts are connected to your UAN. EPFO issues a Member Id, also known as a Member Identification Number, or an Employee Provident Fund (EPF) account number, to enable employers to send EPF and EPS contributions on behalf of their employees. When you change jobs, your EPF contributions are transferred to a new PF account number, also known as a Member Id. These various Member Ids should be linked to UAN starting in 2014. The distinction between a UAN and a Member Id is explained in this article. It shows how many Member Ids are connected to UAN in detail with photos. The two methods for determining how many of Member Ids are possible are as follows:

  1. At Member Home, log in to the UAN Portal and choose View-> History of Service.
  2. Go to the EPFO website and pick Know Your Claim Status under Our Services->Employees. Hit Enter after entering your UAN and Captcha. You can see a list of PF Accounts that are linked to a particular UAN.

Any missing PF numbers must be connected to UAN using the One Employee One PF connection.

What is the Difference Between a Member Id and a User Account Number (UAN)?

The employer pays the EPF (Employee Provident Fund) to the EPFO (Employee Provident Fund Office) on behalf of the employee. This covers both employee and employer contributions, as well as the Employee Pension Scheme. EPFO issues a Member Id, also known as a Member Identification Number or a PF Account Number, to enable employers to send EPF and EPS contributions on behalf of their employees. It’s as though the employer establishes an EPF account for its employee and contributes to it monthly.

The format of the Member ID or PF Account Number is as follows. It’s possible that your PF Account Number doesn’t have an Extension code. For example, the code for someone working in Bangalore may be BG/BNG/012345/789.

Office code of EPFO/ Establishment code which is maximum seven digits/ extension which is maximum three digits/ Account number which is maximum seven digits

BG/BNG/012345/0001789 is an example.

The Universal Account Number (UAN) is a unique identifier for each person. A 12-digit number is assigned to an employee who contributes to the EPF. A single UAN (Universal Account Number) should be assigned to each employee. Your UAN will be connected to all of your Provident Funds or Member Ids. It will keep track of all of your Member IDs. It’s like having multiple savings accounts, but they’re all linked to your single Permanent Account Number or PAN. So, if you change jobs and your new employer contributes to EPF, you’ll get a new Member ID. Your UAN number must be connected to this new Member ID.

How to Use the UAN Member Website to Check the Number of PF Accounts Connected to Your UAN

Log in to the UAN Member Website and select View->Service History from the drop-down menu.

You’ll see a list of the different companies where you worked, along with the dates that you started and left. The following details will be shown.

  • Your PF account Number or the member id
  • Your name, as mentioned on the EPF records of the organizations.
  • Company name for which you worked
  • DOJ EPF (Date of joining Employee Provident Fund) – The date of starting your EPF contribution. It must also be the date of joining.
  • DOE EPF (Date of Exit of Employee Provident Fund) – the date when the employer stops the contribution in your EPF account. It must be your resignation date.
  • DOJ EPS (Date of joining of Employee Pension Scheme) – This date is mentioned the same as DOJ EPF.
  • DOE EPF (Date of Exit of Employee Pension Scheme) – This dame is the same as the DOE EPF.
  • DOJ FPS – FPS means Family Pension Scheme of 1971, and it is not more than the operation. Employee Pension Scheme (EPS) replaced the FPS in 1995, and FPS is now called the Ceased Pension Scheme. This is not available for the employees with a joining date after 1995.
  • DOE FPS (Date of Exit of Family Pension Scheme) – This date is unavailable for the employees with a joining date after 1995.

More information is available by selecting Detailed View from the top right-hand corner.

How to Determine the Number of PF Accounts Connected to Your UAN Using Member Claim Status

Go to the EPFO website and pick Know Your Claim Status under Our Services->Employees.

Hit Enter after entering your UAN and Captcha. You can see a list of PF Accounts that are linked to a particular UAN.

You can see your transfer information by clicking on the connection from where you transferred the account, in our case, BGB002000000000003.

The message “No record is available for member id ABCD00000000” appears for accounts for which no move has occurred or for which no claim has been filed.

How to Correct EPF Details like Name, Father Name, Date of Joining?

How to Correct EPF Details like Name, Father Name, Date of Joining?

How to Correct EPF Details like Name, Father Name, Date of Joining: Most of the time, the date of birth and name details in the EPF account don’t resemble the details in the Aadhaar. If left unchanged, there can be undesirable annoyances during EPF amount withdrawal. It is crucial to update your EPF account with the correct details at the quickest to avoid any troubles later.

EPF benefaction into an employee’s EPF account is made each month in similar proportion, both by the employer as well as the employee. This is more of a kind of enforced savings scheme issued by the Government of India, which helps employees garner a retirement corpus.

Details of UAN

When we enter an organisation that offers EPF, then we have to fill Form 11. Form 11 is a vital declaration form that facilitates the provident fund department to sustain records of employees, helping them during inquiries and cross-checking of facts. It also contributes precious information about an employee to an employer. Our article EPF Form 11 on Joining a New Job explains it in detail.

Personal Information that is required to enters by the individual in Form 11 is as follows:

  1. Date of Birth of the employee
  2. Father’s/Husband’s name
  3. Gender
  4. Mobile number
  5. Marital status
  6. Date of joining
  7. Email ID
  8. Educational credentials

EPF UAN Details Correction

The features that you record can be checked in your UAN passbook or EPF passbook from the online portal of EPF services using the document number of the individual. This will help the person to get overall details such as date of Birth, Name of employee name, Date of Joining and EPFO office( or the SRO, which stands for Sub-regional office). This essential information will help the person to check their account details. The individual can check their name, their Father/Husband’s Name, Date of Birth, Date of Joining.

Most of the time, the date of birth and name details in the EPF account are incorrect, i.e. they don’t match with the details specified in the Aadhaar. If left unaltered, such flaws can cause unnecessary troubles during EPF amount withdrawal. Thus, it is crucial to update your EPF account with the correct details at the earliest to bypass any concerns later.

EPF name correction is a simple process that can be done online as well as offline with the help of EPF name correction form.

EPF Name Correction Online

To replace or renew your credentials online on the EPFO unified portal, one will require the subsequent details:

  • An active UAN-Universal Account Number
  • Correct Number of Adhaar.
  • Access to EPFO Unified Portal
  • An online request from your employer to the EPFO

Before embarking on EPF name correction, ensure that the information on their Aadhaar card is accurate. This is because updated details of the individual will get verified against their Aadhaar, and if the credentials don’t match, then the update won’t happen. So, make the corrections in the Aadhaar first and then update it with your EPFO account before altering your name and other credentials.

The online process for how to change the name in PF account online, which employees should follow, is described below:

  • Step 1: Go to the EPFO Unified Portal and log in with the UAN and the password.
  • Step 2: On the new page, go to the “Manage” option on the menu bar and select “Modify Basic Details” from the dropdown.
  • Step 3: When the new page will appear, then, as mentioned in the Aadhaar, enter all the right details. The system with the Aadhaar database would verify your entered details. After registering all the required details, click on “Update Details”.
  • Step 4: Once you click on “Update Details”, the request will get submitted to your employer for approval. Before the employer submits the request to the EPFO, the employee has the option to withdraw their request by hitting the “Delete Request” button.

EPF Name Correction Form

Name correction can be done by submitting the EPF name change form to the Regional PF Commissioner as well as offline. This method is more like a collective declaration letter between the employee and the employer, addressing the Regional commissioner of PF.

So, one must hold to the following EPF name change letter format in your EPF name correction form:

The letter ought to be delivered to the “Regional PF commissioner”. The subject of the letter ought to mention: “Joint declaration by the member and also the employer”.

The body of the letter should mention the wrong details in the EPF account that your employer has entered, and to make corrections to the existing details, you are writing this request letter.

Next, generate a table of three columns and implement particular details which you require to change. The table must specify the incorrect entry plus the corresponding right entry.

The EPF correction form is applicable for correcting the following types of errors:

  • Incorrect EPF or EPS account numbers
  • Incorrect date of birth
  • Incorrect name
  • Incorrect name of father or husband
  • Incorrect date of joining the company
  • Incorrect date of leaving the company

All these details will be designated in the form. You must only fill the required ones that need emendation. After filling the correction form, specify the list of documents you are presenting as proof to support your correction request.

Attestation Requirements

Please attach a copy of proof of your name and self-attest it with your sign.

Then, the name of the authorised signatory for the company must be mentioned.

The authorised signatory needs to sign the form followed by the company stamp.

How to Update Father’s Name in EPF?

In order to update or execute corrections of a person’s father’s name or date of birth in the EPF account or wondering about how to change father name in UAN, then with these simple steps, one can do it:

The process for updating the father’s name, date of birth or husband’s name is the same as that of the correction process of EPF name. An individual must fill the form of the joint declaration and enter the appropriate details required to be corrected.

After filling the form, it must be signed and stamped by your company’s authorised signatory. Then, the form is required to be submitted to the commissioner of Regional PF. You should also add the form with event documents as proof to verify the required correction.

Documents accepted as proof are:

  • Aadhaar card
  • PAN card
  • Voter ID
  • Ration Card
  • Copy of bank passbook
  • Driving licence
  • Passport
  • ESIC ID card
  • Date of birth certificate
  • Education certificate
  • Copy of electricity bill, water bill, telephone bill

Issues Caused by Errors in EPF Details

Usually, faulty EPF details form an issue during EPF withdrawal. When one files their claim for the withdrawal of their EPF money, their claim will be checked with the details presented by the individual during the registration of EPF. If the details are incompatible, their claim will not be recognised. This will result in a lot of annoyances, as the person would have first to change their credentials in the EPFO unified portal and then apply for their EPF withdrawal again.

So, let us check out the common mistakes or errors that can deny your EPF withdrawal application:

  • Any misspelled or incorrect data entry during the original registration can lead to the rejection of the EPF amount withdrawal application.
  • The member should present the nominee details. Nonexistence of nominee details can create troubles while appealing for EPF claims or lead to dismissal of claims application.
  • The date of joining should be specified correctly in your EPF account. This data is essential as it helps assess your EPS pension and the total months and years of EPFO contribution.

These factors are vital in determining if the withdrawal amount is free of taxes or not.

Thus, an incorrect date can produce hassles while withdrawing the EPF amount.

Correction in the name after marriage happens mostly with women, who adopt the title or surname of their husband’s family after marriage. Sometimes people intend to change their titles and surname, even without marriage. If a person has done so, then the individual must let the new name reflect in their EPF account. It will avoid any disputes later during EPF withdrawal.

An individual can change their name in their EPF account by filling the authorised form and submitting it to EPFO. If an individual has already changed their name in their testimony documents or even their bank records, then they must change their name with EPFO at the most immediate.

With the help of the EPF name correction form, one must also provide a copy of their marriage certificate as evidence. However, if someone has not made any changes to their linked bank account, then they don’t have to modify the name in the EPF account. Their bank details and their EPF account details should match to promote an easy withdrawal.

This is the process to change the name in the PF account, both online as well as offline, easily. You can follow either the online process or the offline process and submit the form of EPF name correction with the Regional PF commissioner.

EPF Form 15G

EPF Form 15G Download: Sample Filled Form 15G For PF Withdrawal

What is EPF Form 15G? In the financial year of 2016-17, the officials of EPFO had issued a notice stating that Tax Deducted at Source (TDS) is applicable on EPF withdrawal above Rs.50,000. Thus any employee who wishes to withdraw PF money above 50,000 will have to pay the TDS charges. So if any individual’s EPF withdrawal limit is more than 50,000 and PAN Card is not verified at the EPF portal, then he/she can simply submit Form 15G/15H to the EPF officials requesting them not to deduct TDS (if applicable) on the PF withdrawal amount. 

On this page, we have provided all the details on how to withdraw the EPF amount by submitting Form 15G, along with instructions, documents required, and a detailed procedure on how to submit EPF withdrawal claim form 15G online. Read on to find out more.

Is Form 15G Mandatory For PF Withdrawl Less Than 50,000?

Individuals must note that Form 15G is not applicable if your withdrawal limit is less than 50,000. However, TDS is also not applicable for individuals who wish to withdraw the PF amount under the following scenarios:

  • If an individual is transferring his PF money from one account to another account
  • If the employee service is terminated due to health issues
  • If business by the employer is discontinued
  • If the employee service period is more than 5 years that is there is no TDS on PF withdrawal. Which also includes 5 years of employee service under one or multiple organizations.

When TDS Is Deduceted on PF Withdrawl?

If an employee withdraws 50,000 or more than that, the TDS will be deducted. The TDS charges applicable for the same are as follows:

  1. If an individual submits PAN Card and doesn’t submit Form 15G/15H, then 10% will be deducted.
  2. If the individual fails to submit the PAN Card, then TDS will be deducted at maximum marginal rate i.e, 34.608%.

EPFO Notification On No TDS For EPF Withdrawal

The official EPFO notification on No TDS deduction for EPF Withdrawal are given below:

no tds deduction on pf withdrawal

How To Submit Form 15G Online For EPF Withdrawal?

Many of the EPF members fail to get verify their PAN Numbers digitally in the EPFO portal because of personal details mismatch in UAN & PAN Card. And this is the main reason, the EPFO officials will impose TDS in EPF withdrawals. So one of the best ways to run off the TDS is by submitting Form 15G. 

How To Get Form 15G Online For PF Withdrawl?

The direct link to download Form 15G is given below:

Click Here To Download Form 15G PDF For EPF Withdrawl

You can either download EPF Form 15G ODF from the above link or also can check the procedure to download the same from the official website.

The steps to download 15G Form Online for PF withdrawal are listed below:

  1. Visit the official website of UAN Member Website: Click Here
  2. Now login with the help of your UAN Number & UAN Password.
  3. In the UAN dashboard, move to the Online Services tab.
  4. Now select Claim (Form 31, 19, 10C) from the drop-down menu.
  5. Verify your last 4 digits of your bank account number.
  6. EPF withdrawal form will be displayed on the screen. Below the EPF withdrawal form, the user will be able to “Upload Form 15G”.
  7. Click on it and From 15G will be downloaded to your device. 
  8. Two pages namely Part I & Part II will be there where you will have to fill out the details. 

Form 15G Download In Word Format

Many individuals will search for Form 15G in Word format since it makes one’s work easier. However, there is no option for individuals to download Form 15G in word format since the officials will give them only in PDF format. So individuals looking for Form 15G download link in Word format for PF withdrawal can follow the steps as listed below to get the same:

  1. Download Form 15G in PDF format.
  2. Now search “PDF to Word Conversion” in Google or search engine.
  3. Upload the PDF to any of the third-party websites and click on Convert.
  4. As soon as you click on Convert, the Form 15G PDF will be converted to Word Format which can be downloaded for free.

How To Fill Form 15G For PF Withdrawal?

As discussed above, there are 2 pages Part I and Part II in Form 15G. Only Part I needs to be filled by the individuals. The steps to fill Form 15G filed wise are given below:

  • Field 1 – Name: Enter your name as per your PAN Card
  • Field 2 – PAN: Enter your PAN number
  • Field 3 – Status: Mark your status such as Individual, HUF, or AOP as applicable for you.
  • Field 4 – Previous Year: Refers to the current financial year you are filling the form. For example, if you are filling for 1st April 2020 to 31st March 2021, then enter 2020-21.
  • Field 5 – Residential Status: Enter your nationality. Mostly Indian.
  • Field 6 to 12 – Address Details: Enter your current address details. 
  • Field 13 – Emai ID: Enter your valid email ID.
  • Field 14 – Telephone Number: Enter your mobile number, If the landline is available enter your landline number with the STD code. 
  • Field 15 (a) – Whether assessed to tax under the Income-tax Act,1961: Mention Yes or No.
  • Field 15 (b): If Yes, the Latest Assessment Year Which Assessed: If you have marked yes in Field 15 a, then mention the last filed ITR financial year. 
  • Field 16 –  Estimated Income for which this declaration is made: Calculate your total income which you have earned during the financial year excluding EPS or Pension.
  • Field 17 –the Estimated total income of the P.Y. in which income mentioned in column 16 to be included: Mention the total income along with EPF withdrawal amount.
  • Field 18 –Details of Form No. 15G other than this form filed during the previous year, if any: If you have filled Form 15G previously then mention those details.
  • Field 19 – Field 19. Details of income for which the declaration is filed: Mention the nature and amount of income here.

Sample Filled Form 15G For PF Withdrawal

The sample filled Form 15G is given below:

EPF Form 15G

How To Upload Form 15G for PF Withdrawl?

The steps to upload Form 15G in the portal are given below:

  1. After filling out Form 15G, convert it to PDF format.
  2. Make sure your Form 15G is less than 1 MB.
  3. Now login to the UAN website with the help of your credentials.
  4. Click on the “Online Services” tab and select Claim Form 31, 19, 10C.
  5. Now choose Form 19 from the dropdown menu.
  6. Click on Choose File and Upload the PDF. 

Difference between Form 15G and 15H

The main difference between form 15G and 15H is that the 15H form is applicable for senior citizens only. Because the interest rates differ from individuals to senior citizens, Form 15H can be submitted by senior citizens whose is eligible for TDS but also 60 years old.  

FAQs on Form 15G

The frequently asked questions on Form 15G are given below:

Q. Is 15G form required for PF withdrawal?
Yes, if you are an individual below 60 years and want to withdraw more than 50,000 then Form 15G can be submitted.

Q. How can I download Form 15G for PF?
A. You can either download From 15G from this page or also from the officials EPFO Portal under ONLINE SERVICES >> Claim (Form 31, 19, 10C).

Q. What happens if 15G not submitted?
If form 15G is not submitted then TDS charges will apply for your PF withdrawal amount.

Now that you are provided all the necessary information on Form 15G and we hope this article is helpful to you. If you have any questions ping us through the comment box below and we will get back to you as soon as possible.

PPF Interest Rate History

PPF Interest Rate History | Features and PPF Interest Rate Over Years

PPF Interest Rate History: Public Provident Fund (PPF) is a long-term retirement saving scheme to provide a secure post-retirement. The Government of India usually offers the PPF, and the PPF rates are said to be 7.1 percent from April 2020 to June 2021. The most troubling question is if the PPF Interest Rate is fixed? What are the new PPF withdrawal rules? How does one often fix PPF changes? What is the range of PPF interests over the years? This article on PPF Interest Rate History is the solution to your questions.

PPF Interest Rate History

PPF, or Public Provident Fund, was launched from 1968 to 1969. However, the historical returns of the Public Provident Fund since 1968 are elucidated below-.

Earlier the PPF interest rates were announced once a year. However, from 2016 to 2017, the Public Provident Fund rate of interest is reported quarterly. This is done based either on the previous quarter’s yield on benchmark government securities or the bonds of corresponding maturities and a few extra of about 0.25 percent.

It is to note that the Public Provident Fund or the PPF interest is calculated on the lowest balance and is usually done between the 5th day and the end of the month every month. However, the Public Provident Fund interest is credited only to the financial end period of the year.

  • The Public Provident Fund Interest rate in 1968 to 1969 and 1969 to 1970 was 4.8 percent precise.
  • The PPF Interest rate was slowly raised and peaked at 12% between April 1, 1986, to January 14, 2000.
  • The PPF interest rate fell again and reached eight percent in 2011.
  • The PPF interest rate slowly increased again and reached 8.8 percent from 2012 to 2013.
  • The PPF fell to 7.9 percent in June 2019 and remained at that pace till Mar 2020.
  • It has now further reduced to 7.1 percent from April to June 2020.

Essential Features Of Public Provident Fund

  • Tenure: The Public Provident Fund holds a minimum of 15 years of the term, which can be extended in blocks of five years as per the individual’s request.
  • Investment Limits: Public Provident Fund allows the investor to hold a minimum investment limit of Rs 500 and a maximum investment limit of Rs 1.5 lakh for each financial year. However, the investments can be made either as a lump sum or in a maximum of 12 instalments.
  • Opening Balance: The PPF account can be opened with just Rs 100, and the annual investments reach above Rs 1.5 lakh. However, this will not earn the interest and is not applicable or eligible for tax saving.
  • Deposit Frequency: Deposits credited into a Public Provident Fund account have to be noted to be made at least once every year for 15 years.
  • Deposit Method: The deposit method for a Public Provident Fund account can be made through modes such as a cheque, award of cash, through Demand Draft or even an online fund transfer.
  • Nomination: A Public Provident Fund account holder can designate a nominee for her or his account. This can be done either at the time of opening the account or subsequently.
  • Joint accounts: A rule stated is that the Public Provident Fund account can only be held only in the name of one individual. Therefore, opening an account in joint terms is ruled out.
  • Risk factor: Since the Indian Government backs the Public Provident Fund, a PPF fund offers guaranteed, risk-free returns and complete capital protection. However, the potential risk element involved in holding a Public Provident Fund account is minimal.

PPF Interest Rate Over Years

Public Provident Fund Interest rate over the years in also tabulated below for a brief comprehension-

Year Range Public Provident Fund Interest Rate
1968- 1969 4.80 percent
1969- 1970 4.80 percent
1970- 1971 5 percent
1971- 1972 5 percent
1972- 1973 5 percent
1973- 1974 5.30 percent
1.4.1974 to 31.7.1974 5.80 percent
1.8.1974 to 31.3.1975 7 percent
1975-1976 7 percent
1976-1977 7 percent
1977-1978 7.50 percent
1978-1979 7.50 percent
1979-1980 7.50 percent
1980-1981 8 percent
1981-1982 8.50 percent
1982-1983 8.50 percent
1983-1984 9 percent
1984-1985 9.50 percent
1985-1986 10 percent
01.04.1986 to 14.01.2000 12 percent
15.01.2000 to 28.02.2001 11 percent
01.03.2001 to 28.02.2002 9.50 percent
01.03.2002 to 28.02.2003 9 percent
01.03.2003 to 30.11.2011 8 percent
01.12.2011 to 31.03.2012 8.60 percent
01.04.2012 to 31.03.2013 8.80 percent
01.07.2019 to 31.03.2020 7.90 percent
01.04.2013 to 31.03.2016 8.70 percent
01.04.2016 to 30.09.2016 8.10 percent
01.10.2016 to 31.03.2017 8 percent
01.04.2017 to 30.06.2017 7.90 percent
01.07.2017 to 31.12.2017 7.80 percent
01.01.2018 to 30.09.2018 7.60 percent
01.10.2018 to 30.06.2019 8 percent
01.04.2020 onwards 7.10 percent

Why Does A Public Provident Fund Interest Rate Change?

The earlier Public Provident Fund Interest rates were announced once a year.  However, the Public Provident Fund interest rate shifted to a quarterly announcement from 2016 to 2017 based on the previous quarter’s yield on both the benchmark government securities or bonds of corresponding maturities and a few extra around 0.25 percent.

The Indian Government issues the 10-year Treasury Public Provident Fund bonds with funding itself, a debt obligation. A 10-year Treasury note helps to pay interest at a fixed rate on a half-yearly basis. It also delivers the face value to the account holder at maturity. In June 2020, the PPF benchmark was 6.45 percent, and the bond maturing in 2029 offered a 5.97 percent yield, the lowest since January 27, 2009.

Is It A Public Provident Fund That Makes One Crorepati?

With Public Provident Fund interest rates going down, it is to be noted that one needs to invest longer to become crorepati by investing in Public Provident Fund.

Using the 7.1 percent interest for the entire period, account holders can become crorepati after investing in Public Provident Funds for over 25 years, however not overnight.

In this period of 25 to 30 years, an individual can invest in Rs 45 lakh, and the Public Provident Fund interest getting credit into the Public Provident Fund would account for Rs 1,09,50,911. So, in short, there are chances that an individual can become a crorepati by investing in a Public Provident Fund.

Should One Invest in PPF?

The Government of India runs a Public Provident Fund (PPF), and hence it is almost risk-free and is a highly safe platform to invest in. However, it also falls under the Exempt Exempt Exempt category.

  • It would be best to remember that the money you invest is eligible for tax deduction under Section 80C, which is up to Rs.1,50,000 currently.
  • The Public Provident Fund interest income earned every year is tax-free. And is a must to be included in the ITR.
  • The maturity amount in terms of PPF is also completely tax-free.

Hence, the Public Provident Fund is a part of their debt portfolio for many account holders where the returns do not fluctuate like stocks or equity MFs.

What was the highest PPF interest rate ever?

The highest interest rate that the Employees’ Provident Fund (EPF) and Public Provident Fund (PPF) have ever offered was 12%. PPF hit that peak between 1 April 1986 and 14 January 2000, while EPF offered that rate from FY1990 to FY2001.

How much we get after 15 years in PPF?

PPF Calculation Examples for Different Investment Tenures

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What is the PPF interest rate for 2020 21?

As per the ministry circular, PPF will continue to earn 7.10%, the NSC will fetch 6.8%, and Post Office Monthly Income Scheme Account will earn 6.6%. Here is a look at the interest rates on various small savings schemes for the second quarter of FY 2021-22.

Which bank has highest PPF interest rate?

State Bank of India (SBI)
State Bank of India (SBI), which is the largest bank in the country, offers the PPF scheme with a good interest rate. SBI has over 15,000 branches in India, therefore, getting access to the scheme is easy.

Can I have 2 PPF accounts?

As per the Public Provident Fund (PPF) Scheme rules, an individual cannot have more than one account. However, many people still inadvertently end up opening more than one PPF account; they would have opened PPF accounts with two different banks or with a post office and a bank as well.

What is CAGR of PPF?

PPF Returns vs ELSS Returns

According to Value Research, the 5-year CAGR of the ELSS category is 21.19% compared to 8.2% for the PPF.

How can I get 1 crore from PPF?

So, like mutual fund SIP, a PPF account holder can accumulate ₹1 crore by simply investing ₹9,000 per month in one’s PPF account for 30 years using extension facility in 15th, 20th and 25th year of PPF account opening.

Employees Provident Fund Act 1952

All About Employees Provident Fund Act, 1952

Employees Provident Fund Act 1952: Established in 1952, the Employees Provident Fund was known as the Employees Provident Fund & Miscellaneous Provisions Act, 1952, which excluded Jammu and Kashmir and extended to the whole of India.

Employee Provident Fund (EPF)

The Employees Provident Fund is a welfare scheme for the benefit of employees. Under this scheme, the employer pays the entire amount, but the employer and the employee contribute their part. The employer subtracts the employee’s share from the salary of the employee. The provident account of the employees gets credited with the interest earned on this investment. At the time of retirement, if certain conditions are fulfilled, the employee receives the accumulated amount.

Applicability of the Act

It is applicable when:

  1. Every factory involved in any industry mentioned in Schedule 1 employs 20 or more people;
  2. Every other institution notified by the Central Government which employs 20 or more people;
  3. Other institutions are notified by the Central Government even if they employ less than 20 people.

Every employee, as well as the one employed by a contractor (but apart from an apprentice engaged under the Apprentices Act or the standing orders of the institution and casual labourers), who receives wages of up to 6,500 rupees per month, will be suitable to become a member of the fund. The condition is three months’ continuous service or 60 days of actual work for members of the scheme.

Taxability of Provident Fund

Under Section 80C, the deduction for the Provident Fund can be claimed while calculating the Income Tax. After retirement, when the employee withdraws the Provident Fund and interest amount, the Provident Fund and interest are not taxable.

If any employee is unemployed for more than two months, they can withdraw their accumulated Provident Fund. After the withdrawal of 75% of the Provident Fund, the employee chooses whether they want to continue with the Provident Fund account or wish to withdraw the entire amount.

Income Tax Liability on the withdrawal of the Provident Fund

  1. If an employee withdraws an amount that is less than Rs 50,000 before completing their five years of continuous service, then no TDS is taxable, but while filing, the return amount of the provident fund will be shown.
  2. If an employee withdraws an amount that is more than Rs 50,000 before the completion of their five years of continuous service, then TDS is taxable @ 10% if PAN is furnished. If Form 15G/15H is provided, then TDS is not taxable.
  3. If EPF is withdrawn after continuous service for five years, then TDS is not taxable, and there is no need to mention the return of income as the amount is not taxable.
  4. When the Provident Fund is transferred from one account to another due to a change in the employee’s job, the return of income amount should not be mentioned since the amount is not taxable.
  5. Before finishing the five years of continuous service, if an employee gets terminated due to ill health, then the employer’s business is discontinued, or the reasons for the withdrawal are beyond the employee’s control, then TDS is not taxable. Furthermore, the employee should not offer the same in the return of income since the withdrawal is exempted from tax.

What are the Types of Provident Fund?

  1. Statutory Provident Fund (SPF)
  2. Public Provident Fund (PPF)
  3. Recognized Provident Fund (RPF)
  4. Unrecognized Provident Fund (URPF)

Statutory Provident Fund (SPF)

Registered under the Provident Fund Act of 1925, SPF is a type of provident fund which is also known as a government provident fund. Government employees, semi-government employees, universities, or educational institutions affiliated with a university established under a specified institution are qualified for this respective fund.

Public Provident Fund (PPF)

The Public Provident Fund Act of 1968 covers PPF. Any public member, whether employed or not, can invest in PPF. Rs 500 per annum is the minimum contribution, and Rs 1,50,000 per annum is the maximum contribution for this fund. The present rate of interest under the scheme is 8% per annum, and all the contributions made to the scheme along with interest are repayable after 15 years unless it is extended.

Recognized Provident Fund (RPF)

Registered under the Employee’s Provident Funds and Miscellaneous Provisions Act of 1952, RPF is a project that, along with the Act, states that any organization employing 20 or more employees is under an obligation to register themselves under this Act. Even if they have less than 20 employees, any such organization can voluntarily register themselves under this Act.

Unrecognized Provident Fund (URPF)

The scheme started by the employer and the employees in an organization that is unapproved by the Commissioner of Income Tax is called URPF.

What is the Provident Fund Contribution Rate?

The employer and the employee contribute 12% to the Provident Fund account (basic pay + dearness allowance + retaining allowance). Any organization which employs less than 20 people should be restricted to contributing 10% for both employee and employer contributions.

Employees receiving a salary that is less than Rs 15,000 per month, it is voluntary for them to become members of EPF. Employees whose salaries are more than Rs 15,000 per month at the time of joining are not required to make Provident Fund contributions. If they are interested in becoming a member of EPF, then they need the consent of the employer and Assistant PF Commissioner to become one.

The entire 12% of the employee’s contribution goes into their EPF account along with 3.67% (out of 12%) from their employer. The remaining 8.33% from their employer’s side is diverted to their EPS (Employee’s Pension Scheme), and the balance goes into their EPF account.

Breakup of EPF Contribution

12% of the employee’s salary goes to the EPF.

Whereas the contribution of the employer is divided as below:

  1. For EPF, 67% contributed.
  2. For EPS, 33% contributed.
  3. For EDLI, 5% is contributed.
  4. For EPF administration charges, 1% is contributed.
  5. For EDLI administration charges, 0.1% is contributed.

Therefore, 13.61% is the employers’ contribution. The employer pays for the management and premium charges. The maximum limit is 0.5% of Rs 15,000.

Universal Account Number (UAN)

A 12-digit number known as UAN is allotted to the employees who contributed to EPF to help with the easy transfer and withdrawal of claims. Throughout the life of the employee, the number remains unchanged.

Even if the job changes, the number remains the same. Based on UAN, SMS service on every deposit contribution and online KYC update can be provided along with the service of Online Passbook. But before all these, UAN needs to be activated on the EPFO portal.

If any member cannot withdraw from the Provident Fund for any reason, they can withdraw it without the employer’s consent. For EPS and EPF, they can submit FORM 19 and FORM 10C, respectively, with the testimony of any one of the following officials to the EPFO office where their EPF account is maintained:

  1. The Magistrate
  2. Any gazetted officers
  3. The Post or Sub Postmaster
  4. President of the Village Panchayat where Union Board is not present
  5. President of the Village Union
  6. Secretary or Member or Chairman of the District or Municipal Local Board
  7. Head of an Educational Institution recognized by the government.
  8. Member of Parliament or Legislative Assembly.
  9. Manager of the Bank where your savings bank account is maintained currently.
  10. Any authorized official approved by the commissioner.

ESI PF Rates ESI | All About ESI and PF with New Rates of ESI

ESI PF Rates ESI: The Employee State Insurance (ESI) is directed by the Employee State Insurance Corporation (ESIC). This is an autonomous body that works under the Ministry of Labour and Employment. The ESI scheme had been started in order to provide monetary, medical and other benefits to the Indian workers. In case a non-seasonal company or factory that has more than 10 employees (in a few states, it is 20 employees) having the maximum salary of Rs. 21,000 needs to compulsorily register themselves with ESIC, providing the ESI benefits to the employees.

Contribution Rate Under the ESI

The ESIC is a social security system that has been designed for providing socio-economic protection to its workers and immediate families and dependents. The contribution rates have been declared by the ESIC, and they are being revised from time to time.

The contribution involves both the employer as well as the employee contribution. The newest revision is w.e.f. 01.07.2019, and the rates are as the following stated:

  • Employer’s Contribution is 3.25% of the wages payable or paid.
  • Employee Contribution is 0.75% of the wages payable or paid.

In case the employee’s regular average salary is up to Rs. 137, they are exempted from the contribution; however, the employer needs to make their share of the contribution.

The Employers need to deduct the employee contribution from the salary bills and need to pay the employer and the employee contribution at the rates that have been specified above within the 15 days of the month-end in which the contributions are made. The designated branches of the State Bank of India and a few other banks have been authorised for receiving the contribution on behalf of ESIC.

Period of Contribution

The following table showcases the window span for the Contribution and for obtaining the cash benefit:

Contribution made Cash Benefit received
1st April to 30th September 1st Jan of the year following to 30th June.
1st October to the 31st March of the following year. 1st July to 31st December.

Wages as Per the ESI Act

The contributions of the employee and the employer are made on the basis of the wages paid to the company’s employees. Some of the components of salary, which are inclusions and exclusions, are as follows:

Inclusions  Exclusions
Basic Pay Entertainment Allowance
Dearness Allowance Retrenchment Compensation
City Compensatory Allowance Encashment of leave and gratuity
House Rent Allowance Deduction of health insurance
Incentives (including sales commission) Tax Deductions
Medical Allowance
Meal allowance
Any other special allowances
Attendance and Overtime Payments

Computation of the ESI

The ESI rate contribution is going to be calculated based on the wages paid. The employee contribution (as mentioned above) is 0.75% of salary payable or paid, and the employer contribution is 3.25% of salary payable or paid.


Let us say Ms. X works hard with wages of Rs. 18,000 in a factory unit.

The contribution is going to be as follows:

  • Employee Contribution is going to be 0.75%*18,000 = 135
  • Employer Contribution is going to be 3.25%*18,000 = 585

So, a total contribution of Rs. 720 is going to be made. The responsibility of deducting the contribution as well as depositing the same is on the employer. The employer needs to deposit the amount within a span of 15 days of the end of the calendar month in which the deduction has been made. The same can also be deposited online or to the authorised designated branches of SBI or other designated branches.

The Contribution and Benefit Period

The idea of contribution period involves the employee in the event of the salary increasing from the starting limit of Rs. 21,000.

Let us continue with the example given above, say Ms. X was earning a salary of Rs. 18,000 till the month of June 2020, the salary increases to Rs. 22,000 from July 2020. The contribution period is April 1st, 2020, to September 30th, 2020. Therefore, the deduction is going to continue on the revised salary up to the month of September, and she will be eligible for the benefit up to June 30th of the upcoming year.

Similarly, say an employee Ms. Diligent earns a salary of Rs. 20,000 till the month of October 2020, and from next month, she earns Rs. 23,000. The deduction needs to continue on the revised salary up to March 31st, 2021, and she is going to be eligible for the benefit up to the month of December 2021.

Name Salary Revision  Contribution Period  Benefit Period
Ms. X July 2020 1st April 2020 – September 30th, 2020 January 1st to June 2021
Ms. Diligent November 2020 October 1st to March 31st, 2021 July 1st to December 31st

Therefore, the ESI contribution needs to be made by both the employee and employer, and the benefits will help the employee during unfortunate circumstances.

Documents Needed for ESI and PF Registration

  1. The company’s name. (Incorporation Certificate)
  2. The Company’s PAN (Proprietor’s, if there is proprietorship concern) as well as Incorporation Certificate.
  3. Copy of the available licenses in the company or firm’s name. (Like GST/MSME).
  4. The company’s address with proper address proof.
  5. ID, Pan and Address proof of the Proprietor or Director or Partner of the company.
  6. Email address, Mobile Number of the Proprietor or Director or Partner of the company.
  7. Specimen Signature according to the attached format.
  8. A Digital Signature
  9. Details of the 10 & 20 Employees (10 for ESIC & 20 for EPF) (according to the Sheet attached)
  10. Consent Letter according to the attached format (In case of EPF Voluntary Registration)

ESIC Return Due Date

Both ESIC Return was filling as well as payment can be made at the same time. Thus, the ESI return due date is the same as the payment. I.e., on or before the 15th of each month.

Steps To Approve Employees Provident Fund Member KYC Employer

Steps To Approve Employees Provident Fund Member KYC Employer

Steps To Approve Employees Provident Fund Member Kyc Employer: It is the responsibility or duty of each employer of establishments falling under the Employees Provident Fund Act to guarantee that the KYC details have been updated by the employees falling under the Employees Provident Fund Act.

Importance of Updating KYC

Every employee falling under the Employees Provident Fund Act has to ensure that their KYC details have been updated from their respective Provident Fund Accounts, i.e., the UAN Member Account.

To avail of the Permanent Withdrawal Claim facilities or Transfer claim or Advance Withdrawal, the updating of the KYC is an obligatory requirement.

After the employees submit the KYC details, the employer must approve and verify the KYC details using the registered Digital Signature on the Employees Provident Fund Establishment Portal.

Steps to Submit and Update the KYC Details of Employees in the Employees Provident Fund Account

  1. Log in to establishment unifiedportal-emp.epfindia.gov.in
  2. Under the Member tab, which is on the left side of the page, choose “Approvals.”
  3. Choose “DSC KYC,” which is on the right side of the page
  4. Attach the Digital Signature to the system
  5. Choose the option of DSC token and proceed
  6. Choose the name of the DSC holder appearing in the pop-up box and sign
  7. Approve all the pending requests following the steps above.
  8. Again, Choose Members Tab – KYC pending for DS
  9. If the records appear – Follow the steps 2-8 above and approve the pending requests
  10. Once again, choose Members Tab – KYC Seeded by Members
  11. If the records appear – Follow the steps 2-8 above and approve the pending requests
How Can an Employee Verify PAN in UAN Website

How Can an Employee Verify PAN in UAN Website

How can an Employee Verify PAN in UAN Website: As per the Universal Account Number (UAN) on the Employee’s Provident Fund (EPF) website, verified KYC, such as Aadhaar, PAN which are digitally approved, will be considered for availing any services if you log in to the UAN website with your UAN and password and see PAN Unverified with a Verify button, as shown in the image below. This article talks about why EPFO needs PAN details, verifying PAN at the UAN website, and checking the status update of the PAN verification. It also gives a general overview of KYC for EPF.

There are a lot of instances where the PAN Verification process has failed. Petitions have been filed for this purpose on the Change.org petition.

On checking KYC by clicking Manage->KYC and check your Digitally Approved KYC, then in the Online Verification Status column, the PAN would appear as Unverified, as shown in the image below.

Why Does EPFO Require PAN?

PAN is needed by EPFO for deducting tax if you have contributed less than five years to the EPF organisation.

  • If the employee withdraws the EPF balance before completing 5 years of service, the EPF balance is taxable. For calculating the period of 5 years of service, service doesn’t need to be continued with the same employer, but it looks for the entire year of contribution to EPF.
  • TDS on EPF will be deducted if withdrawal is more than Rs 50,000. In Jun 2016, the limit was raised Rs 30,000 from Rs 50,000.
  • The rate of TDS: TDS will be deducted at 10 % provided PAN is submitted. Otherwise, TDS is removed at the rate of 34.608 % if PAN is not advanced.
  • There are certain anomalies to the reduction of TDS on EPF by EPFO.
  • TDS is deducted in case of transfer of PF from one account to another PF account

If the employee submits form 15G or Form 15H, then TDS is not deducted, which declares that their income would not be taxable after receiving the accumulated PF balance. Form 15H is offered by senior citizens (above 60yrs of age), and Form 15G is being provided by those below the age of 60 yrs.

For calculating the period of 5 years of service, service doesn’t need to be continued with the same employer. He may have worked in different organisations. But whenever a person changes the job, he must get the PF balance in the previous company transferred to the new company PF Account.

Example: If a person worked for 4 years in XYZ and 2 years in ABC and changing the job, he has transferred the PF balance of XYZ ltd to ABC. Then the total period of service would be 6 yrs. So, if he withdraws the accumulated PF balance, then it will not be taxable.

How to Verify PAN at UAN Website for Employees?

Note: Please try this on your desktop or Mobile in Desktop Mode, preferably in Chrome.

Note: If your Aadhaar is not uploaded and the name is different in UAN and Aadhaar, please use Modify Basic Details to make the modifications. This has to be done before uploading PAN, as shown in the image below and explained in the article e-KYC Portal of EPF Link UAN with Aadhaar without Employer.

PAN Already Uploaded Use Verify

  • If your employer has added the PAN, you will see the Verify button on Member Profile.
  • Go to your Main page by clicking Home in the Menu, and you would see the Verify button.
  • Click on Verify button in your Member Profile. You would see a message box saying Verifying.
  • Then a window will pop up saying PAN Verification is successful, as shown in the image below.
  • If you now check your KYC by clicking Manage->KYC, then you will notice that Online Verification Status for PAN now shows Verified by ITD (or income tax department), as shown in the image below.

PAN Not Uploaded, Upload PAN Document in Manage KYC

If your employer has not uploaded PAN, then when you upload PAN, Verification is done. Then your PAN Verification may Pass or Fail, as shown in the image below.

Workarounds after PAN Verification Failure

The workarounds after PAN Verification Failure is to match your name, gender details on the UAN site with that of the department of Income Tax.

After logging into the income tax website and go to Profile->Pan Details, you will find the Gender as shown in the image below.

Mismatch of Name Details in UAN website and PAN

  • Get the Name, Gender updated in PAN
  • The online method for Correcting PAN
  • Visit NSDL Online by going to https://www.onlineservices.nsdl.com/paam/endUserRegisterContact.html
  • Select the ‘ PAN correction’ option from the ‘application type’ drop-down and fill out your details.
  • Offline method
  • To make corrections in the PAN offline, re-issuance, or surrender, an individual needs to submit the PAN correction form with the nearest NSDL collection centre and file a letter with the jurisdictional Assessing Officer.
  • Click here to download the form. The fields in this form are similar to the online form.
  • Get the Name, Gender Updated on the UAN website.
  • Submit the Joint declaration. Changing the personal details in the EPF account should be done jointly by you and your employer. There is a prescribed format for this application. The sample form of the correction in EPF details is shown in the image below.
  • If names and gender match and you cannot understand the reason, submit the request through the EPF grievance website. Our article How to register EPF complaint at EPF Grievance website online explains it in detail.


KYC stands for know your customer. If you have your KYC details in your UAN and approved by your employer, then dependency on the employer goes away. Then To withdraw or take a loan from EPF, you can directly approach EPFO.  Our article Online EPF Withdrawal: How to do Full or Partial EPF Withdrawal Online explains it in detail.

After logging on to UAN Website (https://unifiedportal-mem.epfindia.gov.in/memberinterface/), you can click Manage->KYC to see or add your details. You can add elements like PAN, Aadhar, and Passport for KYC. To add KYC, you can upload the document and related information.

Minimum you should have the following documents approved for KYC.

  • Bank Details
  • Aadhaar

Mandatory if you make a withdrawal before five years of EPF contribution as TDS is deducted.

Add the document’s details, Document Number, the name as registered, and the expiry date for passport and IFSC code for the bank and other details.

Click on the Save button.

After that, the documents will appear in the pending KYC section, and it will need the employers’ approval for the KYC details.

Petition at Change.org for Failure of PAN Verification and others

Many people who have KYC approved for PAN and Aadhaar are facing the problem of PAN verification failure. After asking EPFO on Twitter multiple times, we started a Change.org petition asking the following.

  • Is PAN Verification necessary if one has worked for more than five years?
  • How does PAN verification in UAN works?
  • Once the PAN Verification fails, how does one find out why the PAN verification failed?
  • Once one knows the problem, how to get it verified?
Basics Of Employee Provident Fund

Basics Of Employee Provident Fund | EPF, EDS, EDLIS

Basics Of Employee Provident Fund: Employee Provident Fund (EPF) is the retirement benefit available only to salaried employees of private organisations. Government Employees do not have any contribution to EPF but NPS from 2004.

It is a fund to which both the employer and employee contribute 12% of the basic salary each month. In this article, you will learn about EPF, what is EPS, what is EPF Private Trust, how much pension will one get under EPS, VPF.

What is Employee Provident Fund (EPF)?

A provident fund is created for providing financial security and stability to older adults. Generally, an individual contributes to these funds when they start as an employee. The contributions are made regularly (monthly in most cases).

Its purpose is to help the employees save a fraction of their salary each month to be used if they are temporarily or no longer fit for working or retirement. The investments made by several people/employees are pooled together and invested by a trust. Typically, the 12% of the Basic, DA, and cash value of food allowances must be contributed to the EPF account. When one says EPF, it implies:

  • Employee Provident Fund (EPF): The Employee’s contribution is matched with the Employer’s contribution (till 12%). The contribution of the employer is exempt from tax, and the employee’s contribution is taxable but eligible for deduction under section 80C of the Income-tax Act. EPF amount earns interest as was declared by the Government.
  • Employees’ Pension Scheme (EPS) from 1995 offers pension on disablement, pension for nominees and widow pension.
  • Employees Deposit Linked Insurance Scheme (EDLIS) provides a lump sum payment to the insured’s nominated inheritor in the event of death due to illness, natural causes or accident, while still in the job.

The parliament enacted the EPF & MP Act of 1952 and came into force with effect from 4th March 1952. A number of legislative interventions were made in this direction, including the Employees’ Provident Funds & Miscellaneous Provisions Act, 1952. Presently, the three following schemes are in operation under the Acts:

The Employees’ Provident Fund Scheme (EPS) of 1952

  1. The Employees’ Deposit Linked Insurance Scheme (EDILS) of 1976
  2. The Employees’ Pension Scheme, 1995 (replacing the Employees’ Family Pension Scheme, 1971) (EPS)

Basics of Employee Provident Fund

The Employee Provident Fund (EPF) was implemented by the Employees Provident Fund Organisation (EPFO) of India. EPFO is one of the most prominent social security organisations across the globe in terms of members and the volume of financial transactions they undertake.

An establishment having 20 or more workers that work in any one of the 180+ industries must register with EPFO. It is a statutory body of the Indian Government under the Labour and Employment Ministry.

Scheme Name Contribution of the Employee Contribution of the Employer
Employee Provident Fund 12% 3.76%
Employees’ Pension Scheme 0 8.33%
Employees Deposit linked Insurance 0 0.5% (capped at a maximum of Rs. 15,000)
EPF Administrative Charges 0 0.85% (from January of 2015)
PF Admin Count 1.1%
EDLIS Administrative Charge 0 0.01%

The above table showcases the rates of EPS, EDLI, EPF admin charges in India.

How Does One Join EPF Under EPFO?

Employees working in the private sector, drawing basic salary up to Rs 15000 (From September 1st, 2014 salary limit has been increased to Rs 15,000 before it was Rs 6500) have to compulsory contribute to the Provident fund and employees drawing above Rs 6501 have an option to become a member of this Provident Fund.

It is helpful for employees who draw salary above Rs 15001(Before September 1st, 2014, the minimum was Rs 6501) to become a Provident Fund member. It is deducted from one’s salary before deposited on the bank or given; hence compulsorily saving happens.

Those who started their job after September 1st 2014, and earning more than 15,000 Rs in basic and DA will not be contributing to the EPS or Pension scheme.

From Feb 10 2016, one is not allowed to withdraw the Employer share of EPF contribution, and the retirement age has been changed to 58 years.

Every employee must submit a declaration, Form 11, when they take up a new employment in an organisation which is registered under the EPF Scheme of 1952.

EPF Form 11 contains basic information on the employee, and an employee must fill it upon joining an organisation. EPF Form 11 is a self-declaration by the new joinee regarding his status, whether he was a member or non-member of EPF / EPS in earlier employments and opt-out of EPF.

In order to be a member of the Employee Provident Fund, one has to fill Form 11 and Nomination Form.

Difference between EPF Private Trust and EPF?

There are three different ways for an employer to contribute to the Provident Fund of his Employees if several employees are more than 20. Exempted means free from duty, obligation, or liability to which others are subjected.

One is to save in an un-exempted fund like the EPF under the EPFO. Un-exempted firms are those firms who maintain the PF accounts of the workers working under them with EPFO. There exists over five crore active subscribers whose accounts the EPFO is managing.

  • Save in an EPF Private Trust, a company-run exempted fund that is recognised by the EPFO pays at least the same interest as EPF. The EPF Trust has to do the responsibilities and duties just like EPFO. The EPF Private trusts are formed by firms that manage the money and accounts of their workers and have an exemption from filing for the PF returns.
  • Members of such trusts enjoy income tax and various other benefits along with the EPFO subscribers. Such establishments that seek exemptions and create EPF Private Trusts are known as the exempted establishment. However, the pension is payable only by EPFO. Companies such as Accenture, TCS have their Private PF Trust.
  • Put money in a company-run excluded fund that is not regulated by EPFO but is set up with approval from the resident income tax commissioner. This type of fund looks after all the investments and fund managements itself and is self-regulated.

Government Employees Don’T Contribute to EPF but NPS from the year 2004

Government employees don’t contribute to EPF. Contributing to Tier-I is mandatory for all the Government servants joining Government service on or after 1st January 2004 (except the armed forces in the first stage). In contrast, Tier-II will be optional and the discretion of Government servants.

In Tier-I, a Government employee has to contribute 10% of their basic pay plus DA, that will be deducted from their salary bill every month by PAO concerned. The Government will be making an equally matching contribution. However, the Government will not be making any contribution regarding individuals who are not Government employees.

How is UAN Related to EPF?

UAN (Universal Account Number) a 12-digit number that is allotted to each employee who is contributing to EPF. The universal number is a giant leap shifting EPF services towards the online platform, making it more user-friendly.

Please keep in mind that the universal account number stays the same throughout an employee’s lifetime. It does not change when one changes their jobs. No one has a UAN number, and PF number also called Member Id.

An employee will have to be given one UAN or Universal Account Number, which will remain the same as the name implies. It will maintain all the Member Ids. It’s like one can have multiple Saving Bank account, but all these accounts are tied to their one Permanent Account Number or PAN.

Hence, when one changes their job, and the new employer is contributing to EPF, it gives them a unique Member ID. The new Member ID has to be linked to the UAN number.

Members must activate their registration for availing various facilities such as UAN card download, updating of KYC information, member passbook download, listing all his member ids to UAN, file and view transfer claims.

Employee Provident Fund

Interest on EPF

What is the interest in PF accumulations?

As declared by Central Govt. compound interest is paid on the amount standing to an employee’s credit as of 1st April every year.

The central government decides the EPF interest rate of India with the Central Board of Trustees’ consultation. In the past few decades, the interest rate has ranged between 8-12 % of the balances that are maintained in the fund.

EPF interest rate notifications are available on the EPF India official website on an annual basis. The same is communicated by major dailies in all cities. To see the Interest rate over the years from 1952, please click the image to enlarge. The following table shows the Interest rate of EPF for the last few years.

Financial Year Interest Rate
2012 – 2013 8.5%
2013 – 2014 8.75%
2014 – 2015 8.75%
2015 – 2016 8.8%
2016 – 2017 8.65%

EPF Vs NPS Returns

The annual interest rate announced by the government determines the PF returns. The return on NPS, on the other hand, is based on the NAV of the underline scripts, which might climb or fall. As a result, while PF provides security and guaranteed returns, NPS provides both high risk and high returns.

How does EPFO Manage To Pay The Interest?

EPFO ‘declares’ the annual interest that is paid out to the subscribers every year. In the previous four years, the returns have become around 8.75% a year. The interest is decided on the basis of the surplus of its income over expenses.

The fund earns revenue from government deposits, corporate bonds, gilts, and the other securities that are held in its portfolio. It incurs costs on the subscriber expenses and payouts. In 2015-16, EPFO had invested 5% of the incremental corpus, or slightly more than Rs.6,000 crore, in stocks.

The labour ministry officials in 2016-17 estimated that the amount will rise to as much as Rs.10,000 crore.

How is EPF Total Amount And Interest Calculated?

At the beginning of every year, there would be an opening balance, the amount which was accumulated till then. Contributions are made every month. However, the interest is calculated yearly.

One gets interested in opening balance and monthly contribution. Hence for next year, the new opening balance is going to be: old opening balance + contribution throughout the year + interest on the (old opening balance + contribution)

How Much Would One Save On Investing in EPF?

Let’s say Radhika starts with a basic salary of Rs. 20,000. Every year, on average, she gets a 5% increment. She started at 25 years and worked till 60 years, so her working life is 35 years. She contributes 12% of her basic salary towards PF, that is matched equally by one’s company (EPF contribution is 3.67%, EPS 8.67%).

In such a case, over the course of 35 years of her working life, her total contribution is Rs. 26.01 Lakhs. Of course, her company contributes Rs. 7.955 Lakhs, hence a total contribution of amount Rs 33.967 lakh. And this amount grows into – Rs. 1.38 Crores during the time of her retirement!

Can One Voluntarily Contribute More Than The Statutory Limit To EPF?

One can contribute an additional amount (over and above 12%) to Provident Fund by depositing VPF (Voluntary Provident Fund). However, the employer is not bound to make a matching contribution.

The employer is allowed to contribute only on 6500/15000, whatever being the basic salary. This is known as a voluntary contribution. A Joint Declaration Form has to be filled up where the employer and the employee both need to give a declaration according to the rate at which PF will be deducted.

How to Check the EPF Balance?

EPFO has been using technology for turning into a more professional and nimbler organisation. To help individuals, the officials have introduced an EPF Balance Check on Mobile option. So that people can now check their EPF balance through SMS. See your passbook. It has introduced an online facility for transferring the balance to any new account.

Going forward, all members are going to have a Universal Account Number (UAN) that will be portable across employers and cities. Active contributors of the EPF have already been allotted UANs.

Annual Statement: EPFO used to send a yearly statement through the employer to the employee, giving details about the PF accumulations. It is a wide slip of paper. The statement contains details like the Opening balance and the amount contributed made during the year, withdrawal made during the year, interest earned, and closing balance in the PF account.

Check EPF Balance by SMS

From July 2011 onwards, one can check their EPF account balance online.

Step 1: Go to http://epfindia.com/site_en/KYEPFB.php www.epfindia.com/MembBal.html. Now select EPFO Office.

Step 2: Enter the PF Account Number in the format: EPFO Office Code/Establishment Code (Maximum 7 Digits)/Extension (Maximum 3 digits)/Account Number (Maximum 7 digit) (PF Account Number might not have Extension code, in such case, leave it blank).

Step 3: Enter your Mobile and Name, Accept the Terms and conditions and Submit.

Step 4: You will get an SMS alert from EPFO: EE amount: Rs XXXXX and ER amount Rs: XXXXX as on < Today’s Date> (Account updated up to Date).

Step 5: You will be receiving an SMS alert from the EPFO: EE amount: Rs XXXXX and the ER amount Rs: XXXXX as on < Today’s Date> (Account updated up to Date).

  • EE implies Employee Contribution, and ER implies Employer Contribution on the date (shown in Account updated date) mentioned in your SMS. It does not showcase the current balance of the PF Account as of Today.
  • EPF Passbook: EPFO launched on 30th November 2012 as an e-passbook facility. The online EPF or EPF passbook is an online version of the employee’s provident fund account. It would be best if one gets the passbook.

Note it takes time to register and to become active. You will receive an SMS when you will be allowed to download the passbook. It shows information in detail about opening balance, contribution every month from employee and employer, how the employer’s contribution is split into PF and EPS. Also, withdrawals, if any, have been made from the EPF account.

EPF Passbook with UAN

As stated earlier, the UAN (Univeral Account Number) is a 12-digit number. It is allotted to each Employee Provident Fund member by the EPFO. It controls one’s EPF account and minimises the employer’s role. UAN number activation started in Oct 2014. One can download their EPF passbook if they have activated their UAN number.

Withdrawal and Transfer of EPF

At the time of the change of Job, what happens to the EPF? Is one allowed to withdraw the whole amount?

Yes, legally, it is compulsory to transfer an EPF account during the time of a job change. However, people generally don’t do it. Instead, they withdraw the amount. From 10 Feb 2016, one cannot withdraw Employer contribution to EPF before 58 years.

In the case of EPS, suppose the service period is less than 10 years. One has the option to either withdraw their corpus or get it transferred by getting a ‘Scheme Certificate’. If the service period crosses the 10 years mark, the withdrawal option ceases.

Is There Any Tax Implication If I Withdraw The Epf Balance Before 5 Years?

If you are a member of a recognised provident fund, it depends on whether your contribution is over 5 years or not, including transfers from different companies. Suppose you withdraw before completing 5 years.

In that case, all your previous year’s income gets recomputed as if the fund was unrecognised from the very beginning (i.e., the tax benefits one received on their own contribution u/s 80C/88 in the earlier years is going to be forfeited). Further, the employer’s contribution and interest received are going to be added to the current income subject to relief under section 89.

What is TDS on EPF Withdrawal? What is Form 15G?

Before five years of completion of service, Provident fund withdrawal attracts tax deducted at source at 10% from June 1st 2015.

TDS is going to be deducted at 34% if one doesn’t submit PAN.

Exemption from the TDS has been given to subscribers with no taxable income, provided they submit a 15G/15H form. In order to avoid the charge of TDS, 15H (for senior citizens) or Form No. 15G (other than senior citizens) could be submitted, provided the payable provident fund amount is up to the basic exemption limit, which for AY 2016-17 is 2,50,000 and Rs 3,00,000 for senior citizens, respectively.

Are There Going To Be Any Tax Implications If I Choose To Withdraw The Epf Balance After 5 Years?

No, if you withdraw after 5 years of total contribution to EPF (including multiple jobs), then your EPF withdrawal becomes tax-free. Show it as exempt income in an Income tax return.

How Can EPF be Transferred?

Ideally, one should initiate the process of transferring their EPF balance as soon as they join their new organisation and are allotted a unique PF account number. From Oct 2014, most of the employees have been allotted a Universal account number or UAN, a 12-digit number by the Employee Provident Fund Organization (EPFO), which controls his EPF account and minimises the role the employer.

Universal Account Number (UAN) Member Portal (www.can members.e-services.in) was launched in September 2014. This portal offers a lot of facilities to the employees or EPF members. However, EPF Online Transfer Claim is still not available. For the time being, you have to submit online EPF Transfer claims through

http://epfindia.com/Employee_OTCP.html or click on the Online Transfer Claim link is the EPF website http://memberclaims.epfoservices.in/.

Can one Withdraw from EPF while Still Working?

EPF scheme allows partial withdrawals for higher education/illness/marriage/house construction etc.

Employee Pension Scheme (EPS)

As mentioned later, the Employees’ Pension Scheme (EPS) from 1995 offers pension on disablement, pension for the nominees and widow pension. EPS program took over the Family Pension Scheme (FPS). It is financed by diverting 8.33 percent of the employer’s monthly contribution from EPF (restricted to 8.33% of 6500 or Rs 541.

From September 1st, 2014 salary limit has been increased up to Rs 15,000 so Rs 1250 per month), and the government’s contribution of 1.17% of the worker’s monthly wages.

The purpose behind the scheme is to provide for

  • Retiring Pension: members who have rendered eligible service of 20 years and retire or otherwise ceases to be in employment before attaining the age of 58 years.
  • Superannuation Pension: Members who have rendered eligible service of 20 years and retires on attaining the age of 58 years.
  • Short service Pension: Members have to render eligible service of 10 years and more but less than 20 years.
  • Permanent Total Disablement Pension

When Is An Employee Eligible For Receiving A Pension?

An employee can start receiving their pension under EPS only if they have worked for a minimum of 10 years and attain an age of 58/50 years. However, no pension is payable before reaching the age of 50 years, and early pension is payable after 50 years.

However, before the age of 58 years is subject to a discounting factor of 4% (w.e.f. 26.09.2008) for every year falling short of 58 years. In cases of disablement or death, the above restrictions do not apply.

What is the Formula to Calculate the Monthly Pension?

Under the Employees’ Pension Scheme, the monthly retiring pension is decided based on ‘Pensionable Service’ and ‘Pensionable Salary’ and is calculated as:

Monthly pension = (Pensionable salary*Pensionable service)/70

The pensionable Salary is arrived at by considering the average contributing salary immediately preceding 12 months from the date of exit from the scheme. Typically, this would be limited to Rs. 6,500 per month unless the employer makes enhanced contributions with permission.

The service in years rendered by members is the pensionable salary. These contributions have been received maximum cannot exceed more than 35 years.

How Much Money Is The Maximum Amount Of Pension Available Under Eps?

The Indian government has also fixed monthly pension benefits at Rs 1,000 from 2014-15. Those who started their job after 1st September 2014 and earning more than Rs. 15,000 in basic and DA are not going to be contributing to the Pension scheme.

Before September 1st 2014, it was on the basis of a maximum employment period of 35 years and a maximum contribution of Rs 6500. The maximum amount of pension according to the Pension formula = 6500 * 35)/70 = Rs 3,250 per month or Rs. 39,000(3250 * 12) per year.

  • The maximum Pension one can get Rs 7,500 per month.
  • The minimum Pension one can get Rs 1,000 per month.
  • Is the Monthly Pension paid under EPS?

The amount of pension is meagre. If one had invested Rs 541 in a recurring deposit at the rate of 8% for 35 years, one would get 12,49,263 as maturity amount.

Suppose the maturity amount is put in purchasing the Pension plan, such as LIC’s Jeevan Akshay VI and put the amount mentioned above Rs 12,49,263 in the premium calculator of LIC with the option as Annuity payable for life. In that case, one will get a monthly pension of Rs 10,150, which is much more than Rs 3250.

Employees Deposit Linked Insurance Scheme (EDLI)

The Employees Deposit Linked Insurance Scheme, also known as EDLI, is an insurance cover offered by the Employees Provident Fund Organisation (EPFO) for private sector salaried employees.

The nominee who is registered receives payment on the event of the death of the person who is insured during the period of the service. EDLI applies to all the organisations registered under the Employees Provident Fund and Miscellaneous Provisions Act of 1952.

All these organisations have to subscribe to this scheme and offer life insurance benefits to their employees. This scheme works in combination with EPS and EPF. The extent of the benefits are decided according to the last drawn salary of the employee.

Significant Characteristics of Employees Deposit Linked Insurance Scheme (EDLI)

Here are the essential features of EDLI, applied uniformly to all inheritors under the policy:

  • EDLI applies to all employees with a salary under Rs. 15,000/- each month. If the basic salary goes beyond Rs. 15,000 per month, maximum benefit is then capped at Rs. 6,00,000/-
  • The employees need not contribute to EDLI. Their contribution is required only for the EPF.
  • There is a bonus amount of Rs. 1,50,000/- available in the EDLI.
  • If any organisation has more than 20 employees, they need to register for EPF. Hence, any employee having an EPF account automatically is eligible for the EDLI scheme.
  • There is no exception to the insurance coverage provided by EDLI. It protects the person who is insured round the clock, all across the world.
  • An employer is allowed to choose another group insurance scheme. However, the benefits offered has to be equal to or more than those provided under EDLI.
  • As per the provisions of the EDLI, an employer’s contribution has to be 0.5% of the basic salary or a maximum of Rs. 75 per employee each month. If there are no other group insurance schemes, the maximum contribution is rounded off at Rs. 15,000/- per month.
  • For all calculations under EDLI, the dearness allowance has to be added to the basic salary.

Calculating EDLI Charge

The registered nominee will receive a payout in the event of the death of the insured individual. If no nominee or inheritor is registered, then the amount will be paid to the legal heir. The pay-out awarded is going to be calculated as:

{Average Monthly Salary of Employee for last 12 months (capped at 15,000/- p.m.) x 30 } + Bonus Amount (Rs. 1,50,000/-)

Hence, the maximum payout under EDLI is capped at Rs. 6,00,000/-.

How To Claim The Benefits Under the EDLI?

The process to be followed by the claimant or nominee for receiving the amount under EDLI is stated below:

  • The nominee specified by the insured person can claim the benefits. If no nominee has been registered, then the family members or legal heirs are eligible to apply.
  • The deceased person must have been an active contributor to the EPF scheme during his/her death.
  • EDLI Form 5 IF needs to be duly completed and submitted by the nominee.
  • The claim form must be signed and certified by the employer.
  • In case there are no employers, or somehow the signature of the employer cannot be obtained, the form has to be attested by any of the following:
    • The claimant must submit all the required documents and the completed form along with the regional EPF Commissioner’s Office for processing of the claim.
    • The claimant could also submit Form 20 (for EPF withdrawal claim) along with Form 10C/D for claiming all the benefits under the three schemes of EPF, EPS and EDLI.
    • Additional documents needed must be furnished at the earliest for processing the claim.
    • Once all the documents have been provided and the claim has been accepted, the EPF commissioner needs to settle the claim within 30 days from the receipt of the claim. Otherwise, the claimant is entitled to an interest of 12% p.a. Till the date of actual disbursal.

How to Find your Employer’s EPFO Office, EPFO Office Phone Numbers, Exemption Status

How to Find your Employer’s EPFO Office, EPFO Office Phone Numbers, Exemption Status: To get the EPFO details, we need to find the address of our regional EPFO office or the exemption status of EPF. The EPFO details for informational purposes, approval or verification status of our KYC and submission status of EPF withdrawal form offline are also required. For such a purpose, we need to visit the Regional EPF office. The following article clarifies how to find whether EPF is exempted or unexempted, your regional EPFO office, and shares the contact number (not verified) of the Regional EPFO office.

How to Find the EPF Office?

  • Visit the website: http://www.epfindia.gov.in/.
  • Go to Our Services> Employers.
  • Click on Establishment Search
  • You can enter the specific Establishment code or even the name of the office.
  • Verify the Completely Automated Public Turing test to tell Computers and Humans Apart (Captcha)
  • Enter Search

How to Find your Employer’s EPFO Office, EPFO Office Phone Numbers, Exemption Status

Finding the EPFO Office Fill in Establishment Code

The individual willing to verify his/her PAN can search details through part of establishment name and establishment code number (only seven digits)

Enter Name of Establishment or seven-digit establishment code

You can obtain a code number from your PF number, which follows the given pattern.

EPFO Office Code/Establishment Code (Max. 7 Digits)/Extension (Max. 3 digits)/Account Number (Max 7 digit)

Example: BG/BNG/1567124//0001789

In the above example, 1567124 is the code number or the establishment code.

Finding the EPFO Office Fill in Establishment Name

  • Enter the name of the establishment.
  • Enter Captcha (in the image below, it’s TXY32).
  • Click on Search

Getting Employer Details with Regional EPFO Office

A list of Establishments will be displayed, such as follows for the establishment code. It is possible as the exact number is given, but they are in different states, so various EPFO offices such as KNSHG004847500 is in Shimgo, Karnataka, while WBCAL004847500 is in Kolkata, West Bengal.

You will get a List of Establishments. You can search, download the info as excel

and check the establishment by selecting Previous/Next.

Click View Details on the company.

You will see Validity Status and Establishment Status.

EPFO Validity Status

With View Payment Details info which the Employee can use to find when organization paid for Employees, the name of employees and other details.

EPFO Exemption Status

If Exemption Status is unexempted, then your EPF contributions are with the Regional EPFO office. If the status is exempted, then the EPFO is maintained by a private trust.

Establishment Details which gives the name of the Regional EPFO office and address and payment details of EPF. When you click on View Payment Details in Validity Status, it will show when your office had made payment to EPFO and how many employees.

On clicking on the Number of Employees, you will get details of the employees for which the employer-paid PF for that month.

Email, Phone Number of EPFO Offices

EPFO is divided into zones that an Additional Central Provident Fund Commissioner heads. Currently, there are 10 Zones across the country.

Further below, the states have either one or more than one Regional Offices

Headed by Regional Provident Fund Commissioners (RPFC) (Grade I), which are again sub-divided into Sub-Regions led by Regional Provident Fund Commissioners (Grade II).

Assistant Provident Fund Commissioners assist them by looking after the implementation of the Act and Schemes.

Many districts in India have district offices where an assistant provident fund commissioner is stationed to implement the scheme and attend to grievances.

Once you know the Regional office, visit the EPF site https://www.epfindia.gov.in.

Click on the tab: Contact Us.

A page with names of Head office and Regional Zonal offices will open. Select the Zonal office according to your respective EPFO by clicking on Zonal office (in blue), and then it will show which EPFO offices fall under that particular zone.

Phone Numbers of Regional EPFO office

There is a number of respective EPF offices given on the EPF website itself.