EPF (Employees’ Provident Fund) is compulsory for any company or organization having 20 or more than 20 employees. All employees with wages upto Rs 15,000 required to join the EPF. The EPF is mandatory like income tax and it has many benefits. This was stated by Mr. Ankit Soni, Assistant Commissioner of Employees’ Provident Fund office.
In an Awareness programme organised by Accuprec Research Labs under the series of AccuPulse, he explained that there are Three schemes: (1) EPF scheme, (2) Employee Pension Scheme (EPS) & (3) Deposit Linked Insurance Scheme. The EPF scheme involves 12 % deduction from employees salary + 12 % Employer contribution = 24 % compulsory savings every month. EPF accumulations payable on retirement, resignation, death. Partial withdrawals permitted for financing life insurance policies; Acquiring house or site; Marriage of self or dependents; Education of children; Treatment of illness etc. Now marriage card is not necessary with EPF fund application.
Earlier employees were thinking that their EPF contribution may be available after retirement only. But due to changes in rules and regulations, now EPF scheme becomes faster. Now as a part of completion of Three years of Modi Government, decision has been taken to clear the claim of employee within 10 days. Due to Aadhaar linking and KYC with Bank Account detail, claim settlement is now done directly in Bank Account of an employee.
Every EPF contributor is now getting Universal Account Number (UAN), which acts as an umbrella for many Employee Fund Numbers or member id’s which given to an individual’s. UAN consists of unique 12 digits number which helps everyone very easily to check their pf details online in India and to transfer their pf funds without any hassle.
WHY UAN?
UAN will act as an umbrella for the multiple Member Ids allotted to an individual by different establishments.
UAN enables linking of multiple EPF Accounts (Member Id) allotted to a single member
Members can view details of his/her all EPF Accounts.
Huge labour turnover rate due to increasing short-term contractual employments.
UAN facilitates linking of multiple EPF accounts of a member.
Aadhaar, Bank Account and PAN are the key KYC documents identified.
Digitally authenticated KYC would facilitate clubbing of all previous PF account numbers.
UAN is lifelong account number.
Aadhaar enabled UAN will eventually enable members to access EPF services directly.
In Employees’ Pension Scheme, entitlement for pension after 10 years of service & on attaining the age of 50 years. Minimum pension of Rs 1,000/- & Pension admissible to dependents; widow, children, dependent parent, nominee.
In Employees’ Deposit Linked Insurance Scheme, maximum admissible amount Rs 6 lac.
After the informative session by Mr. Ankit Soni, Technical expert Mr. Gaurang Dhaval answered questions of employees. After that Dr. Manish Rachchh (Director & CEO) gave brief introduction of both the guests and informed that as the company is planning to implement EPF scheme for employees, the detail given by both the experts will be helpful to them. Shri Mayur Kandoriya (Director & CMO) presented small memento to the guests as a token of remembrance on behalf of Accuprec.
Glimpse from the event:
