EPFO to automatically transfer your PF balance when you change jobs: Here's how UAN helps - What you must know
An employee must have a universal account number (UAN). This will enable the employee to get the credits of his EPF contribution during his previous tenure with old employer into his or her UAN automatically.
Employee Provident Fund (EPF) is among the traditional investment options for employees. Both, government and private employees are liable to give some portion of their monthly salary in EPF as their retirement investment. When an employee is retired, they get a fixed income for their service. To further enhance the service of EPF, the government has now taken a new measure and this time it would eliminate the need for transferring EPF account when an employee leaves his or her job. The transfer of EPFO will be done automatically. However, if an employee wants to avail this service, they have to follow a certain procedure.
An employee must have a universal account number (UAN). This will enable the employee to get the credits of his EPF contribution during his previous tenure with old employer into his or her UAN automatically. At present, the subscribers of the EPFO are required to file transfer of EPF claims on changing jobs despite having a UAN.
For the new employer, they will have to would file the monthly EPF return including the UAN of the new employee, the EPF contributions and interest earned on that would be automatically transferred, according to PTI report.
Here are the benefits of using UAN to transfer your provident fund online, as per ClearTax report.
UAN acts as an umbrella for the multiple Member Ids allotted to an individual by different employers. UAN enables linking of multiple EPF Accounts (Member Id) allotted to a single member.
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UAN offers a bouquet of services like dynamically updated UAN card, updated PF passbook including all transfer-in details, facility to link previous members’ ID with present ID, monthly SMS regarding credit of contribution in PF account and facility for auto-triggering transfer request on change of employment.
Further, ClearTax report also explains the procedure to transfer PF online using UAN number.
Step 1 - Login to unifiedportal-mem.epfindia.gov.in
Member Home - Employees' Provident Fund Organisation
Download/Print your Updated Passbook anytime. Download/ Print your UAN Card. Update your KYC information.
by using your credentials i.e., UAN number and password
Step 2 - After login, click on ‘One Member – One EPF Account (Transfer Request)’ under Online Services
Step 3 - Verify personal information and PF account for present employment.
Step 4 - PF account details of previous employment would appear on clicking on ‘Get details’ below.
Step 5 - You have the option of choosing either your previous employer or current employer for attesting the claim form based on the availability of authorized signatory holding DSC. Choose either of the employers and provide member id/UAN.
Step 6 - In the next step, click on ‘Get OTP’ to receive OTP to UAN registered mobile number and enter the OTP and click on submit.
The employer will digitally approve your EPF transfer request by accessing the employer's interface of the unified portal.
Currently, an employee is asked to contribute 12% of their basic salary plus dearness allowance in EPF. On the other hand, an employer contributes only 3.67% towards EPF, while remaining 8.33% is added in your employee pension scheme.