Date : 18.9.2016
EMPLOYEES PROVIDENT FUND
EMPLOYEES PROVIDENT FUND
The Employees' Provident Fund (EPF) is one of the most beneficial and popular investment scheme for the salaried persons in India. The Employees'' Provident Fund Organisation, a statutory body under the Ministry of Labour and Employment, Government of India administers social security schemes framed under theEmployees' Provident Funds & Miscellaneous Provisions Act, 1952 (310 KB) 
namely Provident Fund, Pension and Insurance to industrial employees. The PF account benefits are extended to all the establishments which employ 20 or more persons.
namely Provident Fund, Pension and Insurance to industrial employees. The PF account benefits are extended to all the establishments which employ 20 or more persons.
The EPFO offers many online services through its portal to members. This way the services are delivered transparently, efficiently and comfortably to everyone. Recently a new online service was launched to facilitate members transfer their PF account online from one organization to the other. Now if an employee changes his job he can easily apply to transfer his PF account through an easy online process if the EPF & MP Act 1952 applies on both the establishments. The PF account transfer service is also available for employers. Both theemployees (525 KB) and employers (633 KB) must read the guidelines before they apply for their account transfer claims. Many essential PF services are already made available online to members by the EPFO and new initiatives are being taken to make the process easier for a large number of employees working in both the public as well as private sectors.
and employers (633 KB) must read the guidelines before they apply for their account transfer claims. Many essential PF services are already made available online to members by the EPFO and new initiatives are being taken to make the process easier for a large number of employees working in both the public as well as private sectors.
WHO CAN BECOME EPF MEMBER?
All employees are eligible to become a member of provident Fund from the date of joining the establishment. On becoming a member, an employee is eligible for provident Fund benefits, pension benefits and Insurance benefits. Every employee at the time of joining the PF Scheme should execute a nomination.
A member can also register himself/herself on theMember Portal and download his/her e-passbook having transaction wise details in PF Account. You can also Get Help (467 KB) to find how to use this service.
to find how to use this service.
BENEFITS TO EMPLOYEES UNDER EPF SCHEME
Employee Provident Fund is a very important investment for the necessities of our future. The tax free interest and the maturity award ensure a very good growth to your money. If the PF money continued for a very long period of time, it can help in meeting employee's requirements including his retirement goals.
We often fall short of funds during emergencies and at those moments borrowing is the only option left. At this time the EPF can be very helpful because the kinds of benefits it provides no other investment can offer the similar remunerations: The PF can be used for multiple purposes at different moments as it guarantees benefits such as:
- Accumulation plus interest upon retirement, resignation and death
- Partial withdrawals allowed for specific expenses such as house construction, higher education, marriage, illness etc.
Any person joining an establishment, to which the EPF &MP Act applies, shall compulsorily submit a declaration to his/her employer, whether he/she is already a member of Provident Fund (Form 11 (15.1 KB) ). This will ensure continuity of service and consequential benefits.
). This will ensure continuity of service and consequential benefits.
In case he/she was a member he/she shall also apply inForm 13 (1.3 MB) for getting the old account details and the fund balance to the new account.
for getting the old account details and the fund balance to the new account.
RECOVERY OF DAMAGES FOR DEFAULT IN PAYMENT
If an employer makes default in the payment of any contribution to the Employees' Pension Fund, or in the payment of any charges payable under any other provisions of the Act or the Scheme, the Central Provident Fund Commissioner or such officer as may be authorised by the Central Government, by notification in the Official Gazette, in this behalf, may recover from the employer by way of penalty, damages at the rates given below:
| Period of Default | Rates of damages (Percentage of arrears per annum) |
|---|---|
| Less than 2 months | 5% |
| Two months and above but less than four months | 10% |
| Four months and above but less than six months | 15% |
| Six months and above | 25% |
REGISTRATION OF COMPLAINTS
In case your establishment has not contributed into your provident funds or committed a default on payment you can file an online complaint for this. You just need fill up an online form and provide details of your establishments and other particulars of your complaint to submit it online. Members can also check the status of their registered complaints and send reminder on their complaints to the EPFO.
CLASSES OF INDUSTRIES UNDER EPF SCHEME
As on date, the EPF & MP Act extends to 187 classes of establishments. Any establishment falling in any of the 187 categories mentioned above and employing more than 19 persons automatically comes under the purview of the EPF & MP Act 1952.
Keep Posting. Click here: epf registration online
ReplyDeleteBy calculating your contributions and your employer's contributions, lump-sum amounts can be calculated for EPF plans.
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An automated payroll management system is a piece of software. To track an employee's working hours, compute wages, calculate taxes and deductions, print payslips, etc., these systems can be combined with leave and attendance tracking systems and employee self-service portals.
ReplyDeleteTo provide efficient payroll administration, salary data must be connected with current employee data in the contemporary payroll management. This procedure is one of the next stages toward automating the monthly transfer of pay into workers' bank accounts.
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