Concept of EPF

The Employee Provident Fund is a perk given by the employer to their employees over and above their basic remuneration.

              What is Employees Provident Fund (EPF)

EPF registration is one of the primary platform of savings for working class in India. And Establishment or business is mandatorily required to obtain EIN No. if total employee strength is 20 or more. But The total strength of employee Includes contractors or temporary employees like housekeeping staff,and daily wage worker security or other temporary workers in the business. But Even if a company has employee strength less than 20 then too company apply EIN. Provident fund Registration certificate obtain within 30 days from the date so completing 20 employees.

           What is the rate of EPF Contribution?

1. 12% of Basic Salary of Employee deposited directly towards EPF
2. 12% of Employer contribution is divided as –
3. 8.33% of contribution towards Employees’ Pension Scheme
4. 3.67% of contribution towards Employees’ Provident Fund
5. 1.1% of contribution towards EPF Administration Charges ( After 01/04/2017 0.65% )
6. 0.5% of contribution towards Employees’ Deposit Linked Insurance ( minimum RS. 500/-)
7. 0.01% of contribution towards EDLI Administration Charges ( After01/04/2017 RS. 0/-)

           What are the different Provident Fund forms?

1. EPF Form 11
2. EPF Form 19, 10C, 31(New)
3. EPF Form 19
4. EPF Form 13 Transfer Form
5. EPF Form 31 Advance From the Fund
6. EPF Form 20,10-D,5IF(NEW)
7. EPF Form-10C

              WHAT ARE THE BENEFITS OF PF REGISTRATION?

• Risk coverage: The most fundamental benefit of the Provident Fund is to cover the risks employees and their dependents that arise due to retirement, an illness or their demise.
• Uniform account: One of the most important aspects of the Provident Fund account that it’s steady and transferable. It so carry forward to any other place of employment.
• Employee Deposit Linked Insurance Scheme: This scheme is for all the PF account holders. But According to it, 0.5% of the salary is deducted from the life insurance premium.
• Long-term goals: There are so many long-term goals such as Marriage or higher education that require the urgent availability of funds. Because The accumulated EPF amount often comes handy during such occasions.
• Emergency needs: There are certain unanticipated occasions like marriage or other family occasions, and any mishappening or illness that require urgent finance. The PF amount  of great help.
• Covers pension: Apart from the employee’s 12% contribution towards EPF, an equal amount is contributed by the employer, But which includes 8.33% towards Employee Pension Scheme (EPS).

         Documents Required For EPF Registration

• PAN Card copy of firm/company/society/trust
• Partnership deed (In case of partnership)
• Cancelled cheque (bearing pre-printed company / firm name & Current Account No)
• Certificate of Registration (In case of Proprietorship/ Partnership/ Company / LLP)
• Certificate of incorporation (In case of company/ society, trust/ NGO)
• Copy of PAN Card of Directors / Partner
• Copy of Aadhaar Card/ Voter identity card of Director

             Eligibility for Employees Provident Fund

At the time of joining an employee in the employment and getting wages up to Rs. 15,000/- is require to become a member.

In this act, Wages implies and includes Basic + Dearness Allowances, So, Cash value of food concession and retaining allowances, if any.