In the past few articles in our blog, we had taken a detailed look at the Employee Provident Fund Scheme of India. After reading it, I am pretty sure you would have a number of questions that come up in your mind. The purpose of this article is to try to answer all those questions.
If any of your questions arent available below, please feel free to leave a comment and I would be happy to answer them...
1. Is it Compulsory for the all the employees to contribute to the Employee Provident Fund?
Yes. Anyone who is an employee of an organization that is Registered with the EPFO, has to contribute towards their respective EPF Accounts.
PS: An Employer and Employee can come to a consensus and opt not to contribute EPF if the employee's salary is above Rs. 6500/- per month. However, the employer would have to convince all other employees to agree to this because the employer cannot opt to contribute the employer portion of EPF to one employee and not do so for the rest. So, technically speaking, it is not compulsory but it is in all practical cases.
2. Can I Nominate someone to receive the proceeds of my EPF Account?
Yes. Each member has to make a nomination against their EPF Accounts, to receive the amount accumulated under it, in the event of his/her death. Usually it is the Spouse/Children for married individuals and Parents for unmarried people.
3. Can I Nominate my Brother or Sister or any of my In-Laws for my EPF Account?
No. Only Spouse, Children and Parents can be nominated as receivers of the Proceeds of our EPF Accounts.
4. Can I Nominate more than one person?
Yes. When you nominate multiple individuals, you need to mention the % share each individual must receive. If that is done, the amount will be distributed accordingly.
5. If one does not have any family, what are their options?
If an individual has no family he/she can nominate any person or persons of his choice but once they subsequently acquire a family (Marriage) such nominations become invalid. The invidual has to make fresh nominations of one or more persons belonging to his/her family.
Ex: Let us say Mr. X was brought up in an Orphanage and has no family. He finished is studies and joined ABC Private Ltd. as an employee and opened up his EPF Account. As he has no immediate family, he nominated his best friend Mr. Y against his Account. After 5 years, X fell in love with Z and eventually married her. As a result, his earlier nomination of Mr. Y became invalid and he has no choice but to nominate Z as the receiver of his EPF corpus. In future if X and Z have kids, X can include his kids too as nominees.
6. When does an employee become eligible for the employee pension scheme?
For an employee to become eligible for Pension fund, he/she completes 10 years of continuous service.
7. Does the 10 years of continuous service refer to - working in the same company?
No. 10 years of continuous service refers to keeping your EPF Account and EPS Accounts open and active for a period of at least 10 continuous years. Let us say if you switch your job from Company A after completing 7 years of service to Company B, you need to transfer your EPF and EPS Accounts to your new job. If you do so, after 3 more years, you will satisfy the 10 continuous years criteria. In case you opt to withdraw your accumulated corpus, you have to start afresh in company B and work for 10 more years to be eligible for EPS.
8. Do contract staff need to open an EPF account?
No. The EPF account is only for permanent staff of the company. Contract staff, Temporary staff and other people who arent on the permanent payroll of the company are not covered by EPF
9. Can I withdraw my EPF money anytime I want?
Yes. However, you need to satisfy a few conditions in order to be eligible for withdrawal. Read the article titled Can I Withdraw Money from My Employee Provident Fund (EPF) Account? to learn more about this.
10. Can I withdraw my EPF corpus when I resign from my Job?
Yes and No. Actually speaking it is illegal to withdraw your entire PF corpus when you switch jobs if you are going to join your new job within 2 months of resigning from your current job. Many people manage to withdraw their PF corpus when they switch jobs and join the new company immediately. Though it is possible, it is actually illegal and has to be avoided.
When you move from one job to another without taking the 2 month break as stipulated by the law, you need to get your PF Account transferred. Read the article titled Can I transfer my PF Account to my new Employer? to learn more about this.
11. Is PF Withdrawl Taxable (In case of withdrawal of the entire corpus)?
Yes and No.
If you are withdrawing your corpus after at least 5 years of continuous service, the amount received is not taxable.
If you are withdrawing your corpus before complete 5 years of continuous service, the amount received is fully taxable. The amount received will be added to your total income for the financial year and taxed according to the prevailing tax slabs.
12. How long does a usual EPF Withdrawl take?
Usually the processing time is around 2-3 weeks but in reality you will receive the money only after around 90 days. The reason is because - your previous employer cannot submit the withdrawl request until 60 days pass after your last date with them. The EPF office takes another 2-3 weeks and eventually you will get the money around the end of the 3rd month.
13. How will I receive my EPF withdrawl money?
Earlier people used to receive Postal Orders or Demand Drafts. These days people are asked to submit their bank details and the money is credited electronically (Through ECS)
14. How will I know the current accumulated EPF corpus?
Most large organizations generate EPF Account statments on a regular basis (Once a quarter or once a year) and share the same with their employees. One of my old employers in India, had an intranet website where I could login and check my running EPF corpus value on a monthly basis. Alternately you can visit your nearest EPF office and find out your EPF balance by submitting your EPF Account number along with your identity proof.
Recently, the EPFO has launched a website where people can check their balances online. Pls refer to the article titled Breaking News for EPF Account Holders in our blog for details on how to check your EPF Account balance online.
15. What is the minimum number of permanent employees an organization must have, in order to open EPF accounts for its employees?
At least 20.
16. What happens if, a company had more than 20 people and registered with EPFO but at some point in time in future, the number fell below 20?
Any establishment which has been covered under the Act once shall continue to be governed by the Act even if the number of persons employed by them at any time falls below 20.
17. Are Trainee employees covered under the EPF Act?
Yes, a trainee would be considered as an employee as per the Act but in case the trainee is an apprentice under the Apprentice’s Act then he/ she will not be considered as an employee.
18. What are the details I need to know in order to view my EPF Balance online?
You need to know your Employee Provident Fund (EPF) Account Number, Name (As per in EPF Slip/Statement) in order to use the online facility. First you need to register and then you can view the details.
19. What can I do, if my PF withdrawal or transfer request is stuck and is not getting completed?
The EPF Organization has a Grievance Redressal Mechanism in place. You can submit an online complaint and you will get a response within 30 days. Refer to the article "EPF Grievance Redressal" in our blog to learn more about how to get our grievances addressed.
20. Does the EPF Organization come under the Right To Information (RTI) Act?
Yes. All Government organizations, including the EPFO fall under the RTI Act. Refer to the article about EPFO and the RTI Act by clicking here
21. What would happen if my Employer fails to remit the EPF contribution (Both employee and employer share) after deducting it from the employees salary?
Deducting EPF from an employees salary and not remitting it to the EPFO is considered a Criminal Offense. If found, the regional PF Inspector can even arrest the employer.
22. Could the employer be punished in case the remittance of contribution by him is delayed in a Bank or post office ?
No. The Employer cannot be punished or penalized in case there is a delay in the remittance of the contribution on account of delay in Bank or post office.
23. Can I contribute more than 12% of my Basic Salary as PF?
Yes, you can. It is called "Voluntary Provident Fund or VPF". Any additional money (beyond the minimum 12%) you wish to accumulate in your EPF Account must be contributed via the VPF scheme. The money will earn the same interest as the EPF contribution and is subject to all rules and regulations that are applicable to EPF. Remember here that, any additional contribution you make will not result in an equivalent contribution from your employer. The employer's share of PF contribution will be limited to 12%
24. What is the current prevailing interest rate offered on the PF accumulations?
8.6% Compounded on an yearly basis. You can take a look at the Historic Interest Rates Offered on EPF to know how the current rates fare in comparison to history.
If you have any more queries about EPF please feel free to leave a comment in this article and I will be glad to answer them...
Thanks, I have no plans of working further,even then I can't withdraw my EPS.
ReplyDeleteYes, even then you cannot. You need to wait until you hit the retirement age. Read this article: http://anandvijayakumar.blogspot.com/2013/03/how-much-pension-will-i-get-through.html
DeleteHi,
ReplyDeleteDo we get any receipt or any kind of proof to know whether my current organisation has submitted Form 13 to EPFO office?
My PF transfer is stuck since 2010 and not yet happened.Its not getting reflected in my E-Passbook of PF as well.
Yes, you should get a notification. Try contacting your old office and get the details/dates of when it was submitted.
DeleteIf that doesnt work - Try raising a grievance or filing an RTI
http://anandvijayakumar.blogspot.sg/2013/04/what-options-do-i-have-if-epfo.html
http://anandvijayakumar.blogspot.sg/2013/04/what-options-do-i-have-if-epfo.html
hi, i left my job in 2011 but still my employer not clearing my provident fund. plz suggest me some solution on same. i had given them my signature cheque and form 11 something but still not got the any answer from them..
ReplyDeleteTry raising a Grievance first and if that doesnt work, use the RTI.
Deletehttp://anandvijayakumar.blogspot.sg/2013/04/can-i-get-my-epf-related-grievances.html
http://anandvijayakumar.blogspot.sg/2013/04/what-options-do-i-have-if-epfo.html
Hi Anand
ReplyDeleteCan a PF account to be transfer in company A to Company B.....without the taking help of company A?
It depends Rakesh. Read this article: http://anandvijayakumar.blogspot.com/2012/10/can-i-transfer-my-pf-account-to-my-new.html
DeleteHello Anand,I submitted my PF claim back in June & have the confirmation from my previous company that it was dispatched to the epfo for processing in June.However it has been more than 3 months /90 days for my submission still have not heard anything about my money. When I check the epfo link online it says NO RECORD FOUND> , Last update I got from company is that it is under process.
ReplyDeleteLast time I got my PF money on time exactly like in 90 days after submitted my claim from the same company like 2 yrs back. This time it is taking long time than the regular 90 days. Please help as to what I have to do apart from waiting.
Did you get any notification that your pf withdrawal request was processed?
DeleteRead these two articles - they can help you.
http://anandvijayakumar.blogspot.sg/2013/04/can-i-get-my-epf-related-grievances.html
http://anandvijayakumar.blogspot.sg/2013/04/what-options-do-i-have-if-epfo.html
Hi Anand Sir,
ReplyDeleteFirst of all I would like to thank you for the excellent help you are providing to people like me.
Please help me sir.
Sir today i ask for my PF balance amount on EPFO website. They send me a SMS. M sharing SMS details with you here below:
EE is Rs 11675
ER is Rs 3265
Total becomes Rs 11940
As on 20-09-2014
I joind my company on 15-09-2010 and left the job on 15-12-2013. Means i worked continuously for around 38 months. My company HR department is saying that i will receive my PF probably by this month end.
So my question is how much total amount i will receive in my bank account?
Will i get Rs 11940 or i will get more amount than this? Because as per my knowledge EE is equal to ER. So i should get more than Rs 11940.
Please at least give me an approx idea of total amount i will receive in my bank account.
I have searched Google a lot but didn't get any satisfactory answer.
I will be really thankfull to you.
My what's App no is: 9855303568
It would be great if you will text me on my what's App account or if possible please just give me a miss call on my cell I will call you back myself.
Please send me a reply mail on my I'd:
ajaykharar@gmail.com
Thanks and Regards:
Ajay Goel
Ajay - Read these 2 articles:
Deletehttp://anandvijayakumar.blogspot.sg/2013/03/employee-provident-fund-demystified.html
http://anandvijayakumar.blogspot.sg/2013/03/how-much-pension-will-i-get-through.html
Anand
Dear Sir,
ReplyDeleteI have worked 20 months for a company and my EPF deducted as
490 for 10 months, 490 x 10 = 4900
780 for 10 months, 780 x 10 = 7800
Total my contribution is 12700 and same amount should be employer contribution so total amount should be 2500 + Interest.
But i got only 20500, is it the right amount..? or should i talk to my employer.
Hi - Did you read this article? http://anandvijayakumar.blogspot.sg/2013/03/employee-provident-fund-demystified.html
DeleteYour employer contribution does not fully go into EPF. It gets split. and only a part of it goes into your PF. Read it, i dont think the amount you got is wrong.
Hello Anand,
ReplyDeleteMine is old story which is not able to get the solution for past 10 years. My PF account is KN/BN/19353/762 when I was shifted my job from Bangalore to Chennai by 2006, I had been asked to submit the PF transferring form in my new company (New PF account no: TN/49115/628 till now). After six to eight months i have checked with the present company for transferring the amount, but it has not been done. So i decided to cancel the PF account and filled the cancellation form in bangalore during 2006 december. After a month (2007 Jan) I got letter from Employers provident fund organization Bangalore, saying that my account has already been transfer to TN/49115/628. Actually it was not transferred till now and I was walking Chennai to Bangalore almost 5 to 6 times and got fed up. Finally I have taken all the relevant documents to Bangalore as one of my friend gave suggestion to get Right Act Information about the fund transfer and bank cheque number details. I got the result of saying that your account has been transferred so on so date and due to very old account they could not the trace the cheque details. Now what else I have to do to get my PF amount or due to very old account it might be lapsed? Please give me your valuable suggestion.
File a Grievance: http://anandvijayakumar.blogspot.sg/2013/04/can-i-get-my-epf-related-grievances.html
DeleteBest wishes.
Dear sir , what about an employee who was completed 9 years and 5 month of continuous job..and he / she left the job , he/ she become eligible for pension scheme ?....if he / she want to withdraw pf amount what will be the condition ..? he / she will get all pf amount
ReplyDeleteSee answer to your Question here: http://anandvijayakumar.blogspot.sg/2013/03/how-much-pension-will-i-get-through.html
DeleteHello Sir,
ReplyDeleteMy first que. is that after eligible for pension after retirement. how much amount i can get as pension? as it on monthly basis or yearly? What process i have to do for the same? Is there requirement of last employer for this process?
And second que. is that if i left last job but not completed 10 years job and if i want to get eligible for pension, can i direct deposit pf amount till completion of 10 years? Without under any employer hence no continue job?
Read this to know more about the EPS Scheme: http://anandvijayakumar.blogspot.sg/2013/03/how-much-pension-will-i-get-through.html
DeleteAnswers:
1. It will be monthly. When you retire after serving at least 10 years, the Pension starts after the forms are submitted
2. No, you cannot do contribution from yourself. You can transfer the EPF Account that did not complete 10 years to your new job and combined finish 10 years to be eligible for EPS
Hello Anand,
ReplyDeleteI have one query, and hope you can clear my doubt. I have completed 5.3 yrs in my current organization and during two months notice period I tried two time to take advance loan against PF for Housing loan repayment without any success. They are rejecting my application with giving minor excuses. now since I am very close to join the new company, I can't give more try in existing company.
since it is mandatory to have 5 yrs continuous services in order to apply advance loan for repayment, is it possible for me to try the same in new company (without waiting for another 5 yrs)if I am transferring the PF account to new company? would my tenure accumulate from previous employer ?
Thank you in Advance.
Deepak
Yes, if the transfer is successful & completed, you dont need to wait another 5 years. The experience gets carried forward to your new job.
DeleteNot: You would have to wait until the transfer is complete before you can make the advance request
Thank you - Anandji.
Deleteone more query, how much tenure is required in order to apply for PF advance loan for Repayment of Housing loan (which has been taken care from third party, like LIC...etc) ?
I was aware of 5 yrs and applied after 5.3 Yrs of service, however EPF has rejected my application due to lack of minimum of 10 yrs service requirement ?
Read this article: http://anandvijayakumar.blogspot.sg/2010/12/can-i-withdraw-money-from-my-employee.html
Deletecan i have your email id i have a big query about pf calculation .please can you send me a test mail.i will reply back or can me give me your mail id
ReplyDeleteAkshay, you can leave your comment here so others could benefit from your query too. Hope you have already read this article if not - pls do
Deletehttp://anandvijayakumar.blogspot.sg/2013/03/employee-provident-fund-demystified.html
Sir My joining date 1-Dec-2012 Basic salary 4,500 (EPF Deduction 12% RS 540) date of resign 30-7-2015
ReplyDeletemy totally withdraw money is 22000+8500=32500 lump sum
but my PF details in online company not deposit their employer part from 10 month
My question is that this withdraw money is correct or wrong about your calculation
Hi,
DeleteEven though employer contrib is also 12% (540) it gets split into multiple components and gets deposited in different places. Read this: http://anandvijayakumar.blogspot.sg/2013/03/employee-provident-fund-demystified.html
I cannot comment on whether the amount is correct without knowing the breakdown of the employer contribution.
Anyways, the online statements are usually backdated by at least 3-6 months and not up to date. If you suspect, you can ask for a detailed up to date statement and if your employer hasnt made proper payments, you can take it up with a lawyer and fight for your money
Hi Anand,
ReplyDeleteI worked for a company A in Bangalore for 4.5 years post which i went for higher studies. I had not withdrawn my PF during this time. Post my studies I joined a new organization B and gave my old PF details. I had a new PF account in the new company in Mumbai. I have now shifted to a new company C . I wanted to know that do I have to raise a request for PF transfer for both my company A and B to new PF account separately ? Also whether the interest earning of my PF amount in account A would have stopped 3 months post my resignation ?
Yes, interest stops when an account becomes inactive after 3 months however now the government recently announced that even inactive accounts will earn interest. Am not sure if they will go back and retro-pay interest for such accounts.
Deleteanyways, yes you have to initiate two transfer requests to get pf from A and B to C
Hi Anand,
ReplyDeleteThanks a lot for what you are doing.
In my case, I changed my job and hence decided to transfer the PF accounts. I tried to this from both last and current employer sides but even after their approval the transfer claim was rejected. They said they will send a rejection letter with details but we all know they don't do that often. So, I decided to withdraw the money from the old account. Well, even this time I got a text saying that the claim has been rejected and a letter will be sent. I got no letter. I emailed EPF support, filled the grievances, got no reply. What should I do now to make this clear?
Thanks in advance.
Anubhav
Pls read these 2 articles:
Deletehttp://anandvijayakumar.blogspot.sg/2013/04/can-i-get-my-epf-related-grievances.html
http://anandvijayakumar.blogspot.sg/2013/04/what-options-do-i-have-if-epfo.html
Hi Anand Sir,
ReplyDeleteI was working in a company for 7 months and quit that job on April, 2015. I applied for PF process on the same day of relieving. But, I haven’t got my PF claim. On enquiry, my previous HR told me, for the duration of minimum amount of service, the only possible way is to transfer and not to make claim on PF. But, I enquired personally in PF office. The officials said me that minimum 4 months of service is enough to get the claim. Upon that Enquiry, they resubmitted my form on April, 12, 2016. But, the problem is still the money not got activated into my account. Still how many days does it take?
Meanwhile, I have been working for another office for the past 8 months. But, I have joined in my present company only after 4 months of my former. I want to make claim on that money not want to transfer. Can I make? Thanks in advance.
I want to thank your blog. Before I made my query, I was going through some of the queries of others. Detailed and satisfied answer.
If you take a break of 4 months you are eligible to withdraw the PF from an old account plus, even if its only 3-4 months also you can get your money. The usual processing time is 8-12 weeks.
DeleteHi Anand ,
ReplyDeleteI had a query regarding pf withdrawal and I was hoping you could address it...
I am working since 6 years. And now I will be quitting due to wedding and in future will not be working. I have about 4 lakhs in my epf account (2 lakhs my contribution and 2 lakhs employers contribution). I will be applying after 60 days of unemployment i. e. in mid August. Will I get my full pf amount for my wedding?
Asking this query as I had read it in some news that from Aug 1 there are going to be some restrictions on pf withdrawal...
Will you get the full amount - YES
DeleteWill you get before the wedding? It depends on when the request is submitted. Usual processing time is about 6-8 weeks once the application is submitted
Thanks a lot sir
ReplyDeleteHello Anand, I would like to know some detail , as i left from one organization (Worked 9.6 Years) and joined another and now 6 month completed in new oranization and make request for pf transfer . I want to know after PF transfer can i withdraw my full balance as 10 years already completed and now i want to purchase one house . what is the procedure.
ReplyDeleteIf your transfer request was successfully completed then Yes you can definitely withdraw for the house. You can contact the finance department of your office for the requisite forms and then submit along with the supporting documents to prove you are buying a house.
DeleteThanks Anand for your information
DeleteHi, I am working from three and half year, and I want to withdraw my pf amount for my marriage purpose, my job is continue with same company. Can I withdraw amount? Please guide me. Reply please
ReplyDeleteNo, you cannot. Read this article: https://anandvijayakumar.blogspot.sg/2010/12/can-i-withdraw-money-from-my-employee.html
DeleteHi
ReplyDeleteif a person leaves his job and went for an employment overseas after completing 4.2 years of service with the company and allowed his EPF to continue for 8 months to complete 5 years and closes epf account, the withdrawal of that amount will be taxable? If yes then how to calculate the tax liability. Please reply....
SSA
for EPF years calculation, active employment in India is counted. So, you have to come back to india, join another job and contribute 8 months EPF to hit the 5 year mark & avoid tax liability
DeleteRight now, whatever balance remains in your EPF, if you withdraw will be fully taxable. Lets say your annual income this year is 5 lakhs and you get 2 lakhs EPF withdrawal, your total taxable salary for this year will be 7 lakhs
hi anand,
ReplyDeleteI am working in a private institute as a lecturer. currently many of us dont have PF account. Now our college is ready to open our PF account. But they put one condition that we will stop our increment for this year only. I am on scale now with basic of 15600 with 10% DA and 10% HRA and 6000-AGP. (I hope that i will get minimum 3% increment on basic and DA will be atleast around 40-60%).
First, As a long term please suggset me that should I go for PF or Increment?
second, i Hope in future it will be necessary for institute to open my PF account.
how much will be the effect of lagging of one increment in my life?
please reply... from, WE ALL
This is a question you must decide for yourself Anonymous. This years Increment will definitely impact all the increments you will get in the rest of your life. At the same time, PF means your employer has to contribute an extra 12% of your basic (to an upper limit) every year so I think going for EPF would be a better choice
Deletei am unemployed and my father is a railway employee. i want to know whether income tax cuts for my father if i get a pancard
ReplyDeleteNo
DeleteHi,
ReplyDeleteMy Previous Employer not mentioned Exit Date on the UAN Portal.
What should i do..??
Contact your employer and request them to update your last working day with EPF correctly
DeleteHi Anand
ReplyDeleteAt the time of my pf credit my account got deactivated. So I dint receive d amount. What shud I do next to get my pf amount?
You should contact the PF Office and request them to re-issue the payment citing the reason for the same
DeleteHi Anand,
ReplyDeleteI was working with L&T(ecc) in 2010 where they make me signed a bond of amount 200000 for 2 years, I joined it in July 2010 and left the same in Aug 2011. Now when I tried to withdraw my PF , The HR said first pay the bond amount.
Would you please let me the rules in this case?
Rohit, though companies arent supposed to use such bonds to restrict withdrawal or transfer of EPF they still do. As you have signed a legal bond, it will be difficult to negotiate but you can try talking to them to see if they will budge
DeleteHi Anand, after completing 11 years with an IT company in India I have joined a US based company. Can i withdraw all the money from the PF account? and if yes, will it be taxable?
ReplyDeleteYes you can withdraw your EPF and it will not be taxable.
DeleteNote: EPS will not be withdrawable since you worked for more than 11 years. You can get the pension though, if you come back to india post your retirement age
Thank you for the details. I was not in India for 3 years out of 11 years but I was working with the same company so total number of years for PF calculations will be 8 or 11? My company was not depositing PF for those 3 years as I was on onsite full salary model. Thank you in advance for the details.
DeleteIf PF Was not deposited for a certain number of years, those years will not count towards the total experience years
DeleteIf PF Was not deposited for a certain number of years, those years will not count towards the total experience years from EPF Perspective
DeleteSir,
ReplyDeleteWhat if an employee has multiple PF accounts and wants to transfer all of it? Is it possible? Suppose an employee has 3 different pf acounts and wants to transfer all of it to the current PF account, is it possible?
Hi - Yes it is possible.
DeleteDear Anand - I have worked in J&K state for 3 years and now i am working in Delhi , I had contacted PF office to check the procedure of PF transfer however i was informed that PF can't be transferred for J&K accounts as its not centralized with EPFO. J&F EPF service operates as separate state entity hence i opted to withdraw my J&K PF
ReplyDeleteWanted to check if it will be subjected to TAX as per premature withdrawal rule ( Service for 3 years only ). or there can be any exception as i was wanting to transfer it however its not possible.
Dear Ajay, as far as I know, this withdrawal will be considered taxable as the EPF Acc did not complete 5 years even though you actually wanted to transfer it.
DeleteHi Anand, i have a question in my mind. Actually i am working in a BPO and i have a pf account but per the govt. laws pf consist two parts of contribution one is employee contribution and other one is employer contribution. and if i am not wrong employer contribution is not included in employee CTC. but in bpo's what they do, they include both the employee contribution and employer contribution in the employees CTC, so is this legal? because i think employer contribution is the part which employer contribute which should be apart from our CTC.
ReplyDeleteRegards
Bhupendra Sagar
Hi Sagar, actually it is perfectly legal if they include employer contribution in CTC. However, it is illegal if they show your CTC as X rupees and say they will contribute EPF over & above the CTC and eventually deduct the PF From your CTC
DeleteHello Anand
ReplyDeleteThanks for taking out time to write such important information which always is a matter of worry for every employee. I have a question. when i filled the PF form, i was unmarried so i had nominated my parents. now i am married and resigned. however while withdrawl i do not remember i nominated my mother or father. Is there a way to know it?
Nomination comes into picture when the acc holder dies. since you are alive and done the withdrawal yourself you will get the money and the nominee info is immaterial.
DeleteI'm with a company for 6 years but since 2 years I'm in Australia and my payroll has been changed to Australian payroll of the same company. Now I' trying to quit job to go for higher studies. Now if I withdraw PF will that be taxable ?
ReplyDeleteSince you were in india payroll for only 4 years, i think the withdrawal will be taxable
DeleteHi Anand,
ReplyDeleteI have resigned from my day job after working for 3 years and 10 months(total service) to explore other career options. I am not planning to take up job any time soon, so should I withdraw my EPF or let it be idle? Also, please let me know if I need to discuss this with my employer before my last working day.
Thanks and regards,
Prasad
As you are not going to join a job in the near future, it is advisable to withdraw your pf. keeping it idle is not a good idea since the acc stops earning interest once it is dormant and in future when you take up a job maybe after 1 or 2 years, the transfer procedure will be quite difficult considering the time passed.
DeleteYes, you should talk to them before the last day so they can prepare the necessary withdrawal formalities
Hi Anand I have query with regards to PF withdrawal and need your expert advice here ?
ReplyDeleteI worked with co. X for 4 years and moved on to work with co. Y. Now its almost a year and my current employer has open PF account separately and they are not insisting me to provide UAN number that i got from my previous employer and i haven't given then my UAN number yet.
Now i approached my previous employer and requested for PF withdrawal and told them lie that i am currently unemployed and they agreed to proceed my request.
So the question is will PF dept. get to know that whether currently i am working or not ? will i be able to withdraw the PF successfully without any hassle and what will be the TDS deduction and how much time it will take for withdrawal process
Firstly - yes it is very much possible that the EPF officials can find out if you are employed or not. If they do, they may reject your request.
DeleteAnyways, if they miss the fact that you are employed and process your withdrawal, it would take about 10-12 weeks for you to get the money and potentially 30% of the amount could be cut as TDS. The entire withdrawal is considered taxable and will be fully taxed based on your current tax slab
I resigned from my company on April 30 and applied for PF in July first week.
ReplyDeletePf department of my company said they have successfully forwarded the application to PF office.
If I am joining in a new company now, will that be a problem?
I mean I had attached a letter signed by me saying that I am unemployed and wish to withdraw.
Now if they validate and by the time if I join another company , doest that violate any law? Do I have to wait until the amount credits for joining new company?
Hi,
Deleteideally the withdrawal is allowed only if you are going to be away from a job for atleast 3 months after resigning from your old job. So, per that logic withdrawal in early july is ok but the expectation from PF office is that you do the withdrawal when you are at home and if you are joining a new job you must transfer the PF and not withdraw.
This may be a problem if they try to validate but its already mid august so, law wise this is one of those gray areas thing.
Hi Anand,
ReplyDeleteI have worked for a company in Kolkata for 4 years, then in Delhi for 5 years and now in a company for the last 1 year. Now I have resigned from my current company and travelling abroad. I have not got my PF transferred from my company in Kolkata to one in Delhi and now the current company. I was thinking of withdrawing the amount, but read through the tax consequences. What is the best option I have?? Can you advice.
As you are no longer living or employed in India, the option of transfer is ruled out and since you did not transfer the old PF Acc's to the new jobs, each PF withdrawal wil get taxed separately and you will incur full tax liability on the combined withdrawn amount from the 3 jobs.
DeleteIf you get the money this year, whatever income you had india for this financial year will get added to this withdrawal amount and the total will be your taxable income and you will taxed based on the tax slab you will come under
sorry, as far as I know, this is the only option you have
Hi Anand,
ReplyDeleteAs i know if i want to withdraw PF for home loan , Minimum service of year should be 5-7 years. So here my concern is i have total 6.5 years of experience in that i have switched 3 companies but for the first company 1 year 8 months i didn't transfer the PF to the second company and the amount got credited to my account . but for second company i have transferd it(2.9 year) to current company. So now whether i am eligible for Home loan or not . Total Years of service with The membership with PF i have but whether 1 year 8 months will be considered or not .
If you did not do the transfer and actually got the money - No, it will not be considered. For more info on withdrawal rules for EPF see here: http://anandvijayakumar.blogspot.sg/2010/12/can-i-withdraw-money-from-my-employee.html
DeleteHello Sir,
ReplyDeleteI Worked In An Organization For Almost 4 Years And 4 Months, And I Resigned My Job On March 02,2016.
I Submitted My PF Form(Form 19)And It Got Approved, But I Missed To Submit My Form 10C(Pension contribution) along with my form 19.
Now Is It Possible To Submit My Form 10C Separately?? And Also Am I Eligible To Get The Pension Amount Through Form 10C"??
Usually both forms are submitted together so do check before you submit again (yes you should be able to submit it separately if it was missed first time)
DeleteBy the way, hope you are currently on a break from work because withdrawal during job switching is illegal and also fully taxable.
for how much pension you will get see here: http://anandvijayakumar.blogspot.sg/2013/03/how-much-pension-will-i-get-through.html
Hello Sir,
DeleteThanks for the reply. Yes i have missed to submit 10C. Any other documents to submit along with 10C when am separately applying for it.
Yes, I am on a break from work.
Your employer should have all the info. dont worry
DeleteThanks Sir, But now am outside India so I dont have any contact with my Employer. Can I authorize someone to go to the PF office and submit the form 10C? Can you also tell me what all documents should I submit along with 10C?
DeleteHi Sir, I am not able to find the answer for the question."But now am outside India so I dont have any contact with my Employer. Can I authorize someone to go to the PF office and submit the form 10C? Can you also tell me what all documents should I submit along with 10C?"
DeleteCould you please post the answer again?
Hi - No, as far as i know, you cannot nominate others to withdraw pf funds. You will need to finalise formalities the next time you visit india
DeleteSir,
ReplyDeleteI have got my yearly statement from my employer it shows that closing balance of Employee contribution is 21350 and for Employer 6531 upto 14/06/2016, if i resign my job how much amount i will get in my hand ...
You will get both those amounts plus any interest that the account might earn in the time between now and the time you withdraw
DeleteThank you sir,,, Then i need one more information ... my initial which is appears in PF shows is wrong because of my employer... made wrong entry...
ReplyDeleteCORRECT - ILAKYA D
WRONG - ILAKYA K
I have given a request letter to EPF office through my employer and also to update my KYC details with Employer Digital signature approval but nothing has done from there side. is there any method to do it online. Kindly help sir because one of my frd says that this is will create trouble while withdrawing my PF.
yes your friend is right, if the name doesnt match it will be a problem in future. But, if the request for amendment is already made, just wait for it to finish. it usually takes a few weeks/months to process
DeleteHi Anand Sir, I left my job on 18th july 2016. I am not working now and preparing for govt. exams. Can i submit my pf withdrawal form on 19th Sep as it will be 60 days without being employed. My second query is that I have closed my hdfc salary account. Can I get my pf in my Axis account or is it necessary to have a nationalized bank account? Thanks
ReplyDeleteYes you can withdraw and it can be any bank account. no restrictions on government banks
DeleteHi,
ReplyDeleteI have transferred my PF corpus to the new account however as per the UAN portal statement the pension amount is not transferred. Now I am jobless and planning to withdraw both PF and pension funds deposited in my account. Total contribution periof is less than 6 years. In this case do I need to mention both the PF account number while claiming the pension funds.
Thanks in advance!
Pension funds is not calculated by amount contributed each month. Instead it s based on no. of years of completed service. read this: http://anandvijayakumar.blogspot.sg/2013/03/how-much-pension-will-i-get-through.html
DeleteHi,
ReplyDeleteMy date of birth is updated in PF account is not correct. I have updated my PAN details in KYC. Will it be a problem while I apply for withdrawing the fund. Also note that I have sent request to correct the date of birth in my account but it didn't work out.
Yes, DOB being incorrect may cause problems in future. submit another request to correct it
DeleteDear Anand,
ReplyDeleteI worked in a Ltd company for 4.10 years. Due to some problem i left the company for almost 3 months from the date of leaving. Again i joined in the same company after 3 months. My HR is saying that they stopped paying pf on the date you left and that pf number is closed. They are asking to transfer the pf account. What is the effect of non-payment of pf for these 3 months. Leaving the compnay is because of employer only and again employer asked me to join the company. Can u please suggest me what to do for pf contribution for 3 months.
If you were no longer on the payroll of the company, you cannot get PF for those months even if you joined the same company back after few months
DeleteHI Anand ! My last employer is shutting down. I am almost 10 years away from my retirement. My new employer do not deduct epf as they have less employees. So, how would it be possible to withdraw my deposited amount and start the pension after getting retired when the old employer will not be available to sign the forms?
ReplyDeleteThanks in advance for your precious time.
employer closing shop doesnt impact pension as long as the EPF Acc was maintained with the regional EPF office. Since your new employer doesnt offer EPF, you can withdraw the PF Corpus and then wait until retirement age to contact the EPF office to start the monthly pension
DeleteI have left my organisation 6 months back but I didn'take my pf.can I still take my pf.
ReplyDeleteYes you can withdraw but it depends on how much the old company is willing to help. You can contact them and request for the same
DeleteHai Anand I was working for a company from 2008 to 2010 for 2 years.As of today I have not claimed my PF.Can I claim now ?
ReplyDeleteInfact even i dont remeber my PF number .Is there any way I can claim the funds ? Please advise
Yes you can withdraw but it depends on how much the old company is willing to help. You can contact them and request for the same
Deletehi Anand
ReplyDeleteReally appreciate the help, you are doing as a gud job here, thanks for all the efforts!
Now to my query, I had a running PF and pension account from Feb '08 to Oct '15, more than 5 yrs, in Oct 15 I had to leave the country to join my family in the US. Now in Mar'16 I see there is an interest entry in the account, wish to ask if the interest will be paid for a period of 3 years , even if I am not contributing?, else why was the interest paid while I did not contribute from OCt to Mar?
Also , I have my pension account, pls suggest if this could be withdrawn or I need to add some service in this account to make it 10 yrs , eligible for withdrawal?? ..Thanks again!!!
Hi - yes, interest is paid out for inactive account for a certain period (which changes from time to time per govt regulations). But, it usually stops eventually.
DeleteYes, you can withdraw both the PF and EPS because Pension is only considered if you finish 10 years of total service. here total service means no. of years you worked.
Hello sir,
ReplyDeleteI have resigned form my present company and i have served only 1 month in that company.......before that i had worked in another company A..... NOW i joined another company.....so can i directly transfer my pf from company A to the present company....without mentionning the company for which i have worked only for a one month....
Yes, sure but you will miss out the PF that was contributed in that one month you worked in that company.
DeleteHi Sir,
ReplyDeleteI am working in a private company for 15 years. I have contributed EPF and VPF amount. Since I have contributed for more than 10 years, If I resign my job , Can I withdraw the full EPF and VPF amount? or I can avail only pension? Kindly clarify.
yes you can withdraw epf & vpf. EPS contrib cannot be taken out because you completed 10 yrs. so, you have to wait till retirement age to get pension
Deletecan i get my pf into my dad's account?
ReplyDeleteas i came to do my masters i closed my salary account.
No. The acc holder name must match. If you have other bank acc in your name use that for PF withdrawal. Else, open an acc and then use it. EPF board will not credit your PF money into your fathers acc
DeleteHi my father has reached age 60. And he said he can actually freely deposit money into epf ?May I know is it true?what about the interest rate?
ReplyDeleteNo, except your employer others cannot put money into your epf acc. Maybe he is talking about public provident fund PPF
DeleteI hv not received my EPF withdrawal Amount from my employer since 4 months.
ReplyDeleteIs there any legal route to get same ASAP?
ANY case law to support the same
The EPF money belongs to the employee and cannot be used by employers as bargaining chip - this is the law but many companies abuse the EPF acc to hard negotiate with ex employees especially those who quit without service notice period. Anyways, you can try to negotiate with your ex employer to get the money
DeleteOnce the forms are submitted the usual processing time is 3-4 months. Also, you can only withdraw if you are not employed anywhere else. If employed, you can only transfer the EPF balance to your new job EPF Acc
I Claim for epf withdral.but they has been rejected with the Reason of rejection: ACCOUNT NUMBER DIFFERS.
ReplyDeleteWhat should i do now
Resubmit the request with correct account numbers
DeleteHello Sir,
ReplyDeleteI had worked for 2 years in an organization and presently unemployed.
My PF balance is above RS 50000 and withdrawing now would attract tax of 10% but I asked my employer that I can be exempted from tax if I submit form 15g but they told that as it is a pf trust form 15g would be of no use. Is it true that form 15g is not applicable for pf trust
Hi, yes form 15g is not applicable for pf withdrawals. As you are not employed, even if there is TDS, your income would be below the taxation limits so you can file a tax return and get a refund of the deducted amount
DeleteThanks for sharing your knowledge through this blog. I need clarification on the below...
ReplyDelete1. If a member starts to contribute EPF/EPS after the age of 49+ & continue service after 58+ by contributing to EPF alone, is eligible to claim EPS amount?
2. If the member died during this extented service period after 58+, is elgible for pension??
You are only eligible for EPS if you continue monthly contributions up until retirement age. I don't think you can contribute only EPF and no EPS. The survivor (Spouse) will receive pension until they are alive.
DeleteRead this article: http://anandvijayakumar.blogspot.com/2013/03/how-much-pension-will-i-get-through.html
Hello Anand Sir,
ReplyDeleteI am Jitendra Jadhav writing to you my query. Please provide your valuable comments on it.
I was working with RGB Technologies Pvt. Ltd., Mumbai since Apr 2009. This company merged with Inventys Research Company from 1st Apr 2013 and company staff also got absorbed in the new company along with me. I legally resigned from the company last year. I applied for PF withdrawal in Feb 2016 and I received PF only from new company i.e. Inventys. But I have not received my PF with RGB my earlier company i.e. from 1st Apr 2009 to 31st March 2013 yet. In this week when I visited HR of the company he told me that my PF from earlier company RGB has not been transferred yet to the new company Inventys. However, earlier when I was following with him in Aug 2016 he told that all transfer of PF has been done. Now he is telling me that he need to check with PF office what is the issue that why PF amount is not transferred yet. He advised me to fill up new PF withdrawal from and start the procedure again.
Please let me know what he is advising to apply again is right ? Is my PF amount is safe and I will get it ? Please let me know whether I will get interest on the amount which is with PF office since Apr 2013 ? RGB my earlier company is now not operative but still exists as non operative and not completely closed. By this September it will be closed..HR told me.
Awaiting your valuable comments..
Regards,
Jitendra Jadhav
Usually when a company gets merged the PF Acc of their employees get transferred as well to the new establishment. Maybe yours is a specific case where the transfer got delayed or stuck due to some reason. Or they may have not done for anyone.
DeleteReach out to your regional PF office with your old PF Acc information and check why the transfer was stuck or whether it was initiated. Don't worry your money will not be lost, it is your money and no one can take that money without your signature.
I was working in an organisation for 4 years, then i left my job to prepare for a government job. It has been almost 9 months since i left my previous job. I have not withdrawn my epf money. Now that i have cleared for a government job. Can i use my old epf account? Would i face any problems regarding the same since it is lying dormant for 9 months?
ReplyDeleteNo, i don't think so
DeleteHi Anand VijayaKumar,
ReplyDeleteFirst of all I would like to appreciate you for running this blog which is so informative.
I have a query.
I worked in company A for 4.7 years and Company B for 2 years upto May 2013 .
Company B transferred me to abroad. Last 3 years no transactions in my India PF account and totally 10 years completed in PF india account .
Details :
Company A - PF A/C opened on Nov 2006
Company B - Last PF A/c transaction on May 2013. Already I transferred the PF account from Company A to B.
Am I eligible for monthly pension after 60 years ?
Can I withdraw money ?
Thanks in Advance.
Regards,
Senthil Kumar
Thank you Senthil.
DeleteThe pensionable experience of 10 years is only counted for years/months where your company contributed EPF. I am assuming you transferred your PF from company A to company B totalling 6+ years in India. So, when you were abroad if EPF contributions did not happen then those years won't be counted. IF you come back to india and resume EPF and finish up enough years to cover total 10 years then yes you will be eligible for Pension
Yes you can withdraw @ retirement or when you resign from this job and take a 3 or more months break
I worked till April 2015 and then went for my higher studies. At that time my employer didn't provide PF as the total no of employees was less than 20. Now I would be joining another organisation after my higher studies.I don't have a UAN or a PF account. Why needs to be done in this case. Is this a problem
ReplyDeleteNo, it won't be as you never had a PF Acc.
DeleteDear sir,
ReplyDeleteI submitted my pf withdrawal form 19 to my employer and now I got an sms of rejection with the reason to submit form 15g and that rejection letter is under dispatch. Please help me understand what is the next step I should take. Should I resubmit form 19documents, along with form 15g?
Yes.
DeleteI left previous company A in October 2016 (After 2 years of service) and immediately joined small scale family business B (Proprietorship-Dad and Mom being owner). In the same period I opened PPF Account and have already transferred INR 1.5L for this year.
ReplyDeleteCan I withdraw EPF money? (No reason specified here works for me though : http://anandvijayakumar.blogspot.in/2010/12/can-i-withdraw-money-from-my-employee.html )
Or do I need to get it transferred?
EPF and PPF are two separate things. PPF can be opened by anyone while EPF can only be opened by your employer who pays your salary. As you are no longer employed as a salary earning employee you can withdraw the EPF corpus accumulated in company A during the 2 years of service. You cannot transfer money from EPF to PPF directly
DeleteHello Sir,
ReplyDeleteAn employee has retired from service on completion of 58 years and had got all monetary benefits under EPF considering the monthly salary as Rs 6500/ 2 years ago. Whether he can remit money in higher rate now and get his pension benefits at a higher rate?
Sorry i couldn't understand the question. you are saying you got your EPF benefits 2 years ago. Where do you want to remit money now?
DeleteHi Anand,
ReplyDeleteI have resigned from my previous organisation and I am currently working with another company.
Both my previous PF member ID and my current company member ID is registered/linked under same UAN. Will i be able to withdraw my PF amount of my previous organisation in this case.
Please guide me with the possibilities.
Hi Divya - No, withdrawal wouldn't be possible as both your PF acc will be linked to this UAN.
DeleteHi,my transfer claim was approved by previous employer 4 months ago and I was notified about the payment in process by cheque.but since last 4 months there is no funds transfer to my new pf account.Is it something pending by the current employer?current status is payment under process.where should i check it is stuck?.thanks
ReplyDeleteContact your current employer and check for a latest pf statement to see if money received. usually transfer happens electronically, am not sure where they will send a cheque because the money goes from PF Acc A to PF Acc B.
DeleteDear Anand. Thank you for helping folks out with these questions. Very much appreciated.
ReplyDeleteI have a question regarding a PPF account. Our status has changed recently and we are not citizens of India anymore. Can we close the PPF account prematurely on that basis or do we need to wait for maturity of the account? Can we furnish the status change documents next time we are in India to the bank and close the account? What does the rule book say and would the bank be aware of the rules here? Thanks in advance.
PPF Accounts cannot be closed mid-term unless the acc holder dies. As far as I know, for citizenship change I don't think they will entertain an account closure. you would have to wait until the Acc matures to close it.
DeleteYou can contact the bank where you opened the PPF acc and double check.
Hello Anand,
ReplyDeleteHope you are well. I am in Kind of trouble now so seeking your help.
So the situation is, I left Organisation A in January 2016 after working there for 4 years 7 Months. I joined Organisation B in January 2016. Org A was registered with EPFO and UAN. However Org B was a private Trust for PF.
I left Org B in January 2017 (one Year). During this one year, I tried my best to transfer PF from Org A to Org B which could not happen due to multiple reasons (Forms Rejected, Signature not Tallying etc). however, today morning I received a message that transfer in progress as per Para 57(1).
Now the problem is that I have initiated a pf withdrawal with Org B and its under process.I am worried that if the process gets completed and they receive transfer post that, How can i get my money ??
I am currently overseas and cannot run around. Can you please suggest.
Regards,
Tarun
Tarun - unfortunately yours is a peculiar situation and you have to wait until the outcome of the withdrawal proceeds to decide on next steps. usually, a transfer would fail if the account is closed (which would happen if your withdrawal is successful) in which case you have contact the Org A to withdraw the money from that PF Acc.
DeleteIf the transfer happens prior to the PF office closing your account then you will get both the money.
Dear Sir,
ReplyDeleteI had worked in a company in chennai from apr'12 till nov'13. The employer had deducted pf from apr'12 till oct'13 but had paid the amount only for the period from apr'12 to sep'12. From Oct'12 till oct'13 he had not paid the contributions. But the accountant of the company had filed the returns everymonth though the amount were not been paid and the ecr was generated for every month (from apr'12 till oct'13). Later pf office had inspected the company and asked them to remit the contributions which is very less when compared to the actual amount as per the ecr filed. When we submitted our pf withdrawal forms, pf office had deposited only the amounts pertaining from apr'12 to sep'12 and the amount for oct'12 to oct'13 is not deposited by pf office to our bank accounts. When we asked for the reason they simply replied that the company had not submitted the individual details of contribution which they have received during their inspection and only after the details are received from the company they can able to give our amount. It has been two years now and the pf authorities are giving the same reply that they have not yet got the details from the employer. We have even forwarded the ecr file received from the company accountant to the pf office but still no response from them. Now the company is also not in existence and got closed.
Please let us know what we should do to get our amount.
Try contacting a lawyer who specialises in company related claims as the PF office is right here - they can't do anything because the company hasn't paid their pf dues properly
DeleteHi Anand,
ReplyDeleteI have a question. i worked for a IT company's for 9years and 5months.And i resigned my job due to personal reasons.Am I eligible for Pension fund? I came to know that we should contribute at least 9years 6months to get pension fund. If its true could you please suggest the way to become eligible for Pension fund. can i pay to my pf account myself?
Regards,
Reddy
Yes that is correct, you need to complete 9 years and 6 months. Unfortunately you cannot contribute EPF or EPS persnally/directly. It has to be through your employer.
DeleteYou can take up a new job, transfer this old PF Acc to the new company and work for at least 2-3 months for the transfer to complete and the consolidate experience to cross the limit. Then you will be eligible for the pension
Hi Anand,
ReplyDeleteI have 2 queries regarding the PF account.
1. My middle name is not present in the provident fund account i.e. My name is "Sayan Kumar Dutta" but in the epf statement or in the epf online portal it is displayed as "Sayan Dutta" as registered by my employer. Will this create any trouble for any future transaction like withdrawal,closure or account transfer?
2. Can i apply for withdrawal if i remain unemployed?As the reason for unemployment is not listed in your another blog "Can I Withdraw Money from My Employee Provident Fund (EPF) Account?"
Thanks in advance.
1. Yes, it could potentially be a problem but middle name is usually not widely used in india so, it may nt be a major issue. I would recommend you update your EPF and all other places to match with your passport to avoid confusions in future
Delete2. That article is for withdrawal while still employed. You can withdraw when you are not employed provided you stay unemployed for at least 3 months from the date of leaving your company
Hi Anand.
ReplyDeleteI have a query regarding my EPF account.
I had EPF account from first organization. Went for higher studies and withdrew all amount, now my second organization is aksing my my EPF details. Will my EPF with first organization be ok to give?
Yes, sure why not? Since you were legally employed and withdrew because you went for higher education which again is perfectly legal. So, that shouldn't be any problem.
DeletePlease guide me Sir,
ReplyDeleteI gave my puff form 3 months ago in the company for the settlement but the company is saying that it will take another month (2 month) and what should I do
You are only allowed to withdraw if you are unemployed for at least 3 months. So, companies will not process PF until that time period. The 2 months is the usual processing time for withdrawal
DeleteHi Anand,
ReplyDeleteI worked in TCS for 10 Years. All my pf always got deducted from Indian Salary components. After 10 Years of completion I resigned from TCS as an Indian employee with my TCS base branch Andheri with all my settlement with no due.
After that I joined one of the UK company on UK payroll. I applied for PF withdrawal which is around Rs. 11 Lacs. in the PF withdrawal form 10C there was a options reason for PF withdrawal and I mentioned that "Settling Abroad".
Just before leaving TCS I got British citizenship, But TCS always paid me salary in Indian Rupees around 6 months until I resign.
After followup with TCS retiral team They replied today to me saying I am declared as International worker and not eligible to withdraw my PF as i am holding UK passport. and I am eligible to withdraw it only when reaching to age of 58.
1. Why the option was available in the form as Settling Abroad to withdraw PF.
2. When all 10 years of my life I was Indian Employee with India location as base branch being mentioned.
3. I earned all my salary in Indian Rupees and all my PF contribution is from Indian Salary.
4. I was deputed to UK for project work and only got UK allowance but never be the part of TCS UK or withrawn salary as TCS UK employee as all my salary slip belongs to India.
5. Why does this matter at the time of withdrawing amount if I am British Citizen.
6. How come they can declare me as International Worker when I was never be on the TCS UK payroll and only on India Payroll.
7. As I am completely settling to the UK with valid UK passport my India Passport has been surrendered just because India Government does not allow dual citizenship. But by birth I am still an Indian.
Do you know in this circumstances how to deal with PF withdrawal applications.
Hemraj
Hello Hemraj - Questions like why was an option available are beyond my purview to answer. I can only answer based on my best understanding of the system.
DeleteFirstly, PF withdrawal is allowed once you are no longer employed in India. Settling abroad is a valid reason however, you CANNOT withdraw your pension component (EPS) because you have completed 10 years of service. Being a UK Citizen your rights will be slightly different from that of an Indian citizen with regards to EPF and I would doubt if TCS would intentionally try to screw with your money. You will be an international worker when you are not a resident india by residential status.
I think you can withdraw just your EPF money and leave the EPS with the PF Trust. However, I don't think you can repatriate the EPF funds outside India.
Hi Sir,
ReplyDeleteI have this query: We are updating KYC details of employees with Aadhar, PAN, and wherein whose details do not match with Aadhar, we do it with their Bank A/c number and IFSC Code. After updating and approving these details with DSC, we want to print and keep record of approved KYC, but where do we get the approved KYC details, I am at a loss of my wits. Could you please help?
Thanks and regards
Sorry, I am not the best person to advise about organisational tax matters. Pls consult your regional EPF office.
DeleteHello Anand,
ReplyDeleteI have submitted form 13 to current employer and he has approved it on April 13 2017 (Status of transfer claim in EPF website shows as: Apr 13 approved by Present employer) but now in this month of June, when I check EPF claim transfer status it shows as "No transfer claim found". Please suggest me on this please.
The usual time to transfer (when I used to work in India) was around 3-6 months or maybe more and the same has come down in the past few years but still the whole transfer process is still a little bit cumbersome not to mention the fact that the systems aren't updated realtime and only get updates once a month or so.
Deleteconsult your current employer and they can check if the transfer did complete. If you have the UAN don't worry, your PF money from your first job will eventually reach your current PF acc
I had EPF account with one company, from which I had resigned and withdrawn my EPF; 5 years back.
ReplyDeleteNow, if I check remaining balance in that EPF account then it shows some amount in it, which could be accumulated interest.
Now, I have joined another organization, if I try to transfer old EPF account amount to current UAN number
then previous organization is declining the request.
I would like to know, if there is any way to transfer old EPF account amount to current UAN account.
Once withdrawn, you cannot transfer the old EPF Again. The number you see may be due to some incorrect data
DeleteHi Anand,
ReplyDeleteI worked with 3 organizations and maintained all PF Account numbers in single UAN. Recently i got offer in Dubai and i shifted here. But for my 1st organization Date Of Exist @ EPF its showing as Not Available will it cause any problem can i withdraw my money or not. suggest me.
I don't think that would be a problem as long as the transfer of EPF funds happened properly and is all under the current EPF Acc
DeleteHi Anand,
ReplyDeleteI worked in an organisation for 2 years and 10 months and PF account is less than 5 years. I'm planning to withdraw my PF and Pension using form 19 and 10C. For 2 years 10 months (Employee and Employer) share has Rs.46,000, so for this amount tax will be deducted? If so much percentage will be deducted. I have pan card but it's not linked with EPFO.
The amt of 46k will be added to your annual income for this financial year and the total amount will be taxed based on the prevailing tax slabs
DeleteI was a member of EPF, after joining new organization...I opt out from PF. Now after working for 8 months..i feel that should start continuing with PF..can i ask my employer to add me in PF sceme. I have PF account number as well..Please help.
DeleteYes I think you can but if your employment contract does not include EPF contributions you may need to get your HR to give you a new employment contract with EPF Terms
DeleteHi Anand,
ReplyDeleteMy previous employer end date is not reflecting in my pf portal and as a result I am not able to initiate my pf transfer. I tried to reach both my employer, present one is saying to coordinate with the past and past employer is not even responding. Is there any alternatives.
Unfortunately no choice. You have to visit/followup your old employer to update this. Alternately you can take proof of resignation & job switch to regional PF office to check if they can help you (But am not sure if this approach can actually help you can try though)
DeleteHi Anand,
ReplyDeleteMy Basic salary is 40,000. And as per the salary structure I am paying PF as below,
Employee Contribution = 4800
Employer Contribution = 5344
I have checked the EPF Passbook and as per that,
Employer Contribution + Pension Contribution = 4800 only.
Now I don't know why my company is deducting 544 Rs (5344 - 4800) Extra.
Is it legal? Do they have to pay any tax on that and that tax they are cutting or any other reason if you know?
Do I have to raise this question and ask to return those money?
Ankit - In India it is very common to include employer contribution of EPF as part of your C2C in the salary offer letter which sometimes causes this type of confusions. The amount deducted usually includes your 12%, employer 12% plus pension scheme.
DeleteSee here: http://anandvijayakumar.blogspot.sg/2013/03/employee-provident-fund-demystified.html
If you feel number is incorrect you can ask your employer for justification/explanation on the difference. They are legally bound to explain.
I have a situation where my date of relieving in previous organisation and date of joining in current organisation overlaps by few days(around 5 days).Can i not transfer my PF, how can i resolve this issue as neither employers are reluctant to change the dates.Please help me here
ReplyDeleteAm not sure I understand right, how can the dates overlap? How did the 2nd company allow you to start with your 1st day at work until you got fully relieved from your earlier job? Yes, this will potentially be a problem in the transfer since the dates cannot overlap. If both employers are aware of the dates then contact your regional PF office for advise
DeleteHi Anand,
ReplyDeleteI had applied for PF withdrawal from my previous organisation where I had worked for 3.3yrs. Today I got a credit of 39,604 as Employee Provident which seems extremely low considering my month PF which was deducted was 4566. I have 2 questions. 1. - Will there be another payment made in sometime or is this the total amount? 2. - Does the calculation seems correct to you? If you need more details please let me know.
Thanks
Hi - there are usually two payments the EPF and the EPS. The EPS is based on no. of years of service and the EPF is based on what was deducted. So, there is a chance that this is the first payment. Read this:
Deletehttp://anandvijayakumar.blogspot.sg/2013/03/employee-provident-fund-demystified.html
http://anandvijayakumar.blogspot.sg/2013/03/how-much-pension-will-i-get-through.html
Hi Sir,
ReplyDeleteI worked with my previous company during period October 2011 to October 2015 and I withdraw my PF amount in June 2016 submitting form 15g and 15 h and thus no tds was deducted when I received the full amount.I like to know how to file itr for FY 2016-17. Do I need to go back and file revised return for each year of contribution or do I need to show the whole pf amount received as income from other sources while filling it for 2016-17.Please assist.
No, you need not file revised tax returns for all those years. You just need to either amend (if already filed) or include in the tax returns for the financial year when the money was actually paid out into your account.
DeleteHi Anand,
ReplyDeleteI was worked in a company, there I am having PF account with UAN number,
Now I am shifting to new company there I don't want to reveal my previous PF details,and I don't want my previous PF amount,now if my new company generate new PF account with new UAN number is there any problem and I don't want to transfer my PF amount, I want to continue with my current UAN number, is there any problem , if so how to overcome
If you have an UAN that means you were employed before and you won't be able to close/withdraw from the old PF Acc as you are joining anew company. So, when you do a PF transfer your new company will know that you worked somewhere before.
Deletenor can you open a new UAN as it is being linked with Aadhar now.
Hi Anand,
ReplyDeleteI am glad to encounter your blog while searching around for a solution to my friend's agonising financial situation. He has worked for Escorts as a graduate engineer trainee during 2011-12 till he resigned to join a master's degree. He is currently preparing for Civil Services Exam but is under extreme financial stress due to his unemployment for past 2 years. He has lost his Provident Fund credentials. PF is his only bet at the moment to gain some financial support of his own. Please suggest a way by which he can withdraw his PF.
Am not sure if I have heard about the company closing down but anyways here goes:
Deleteoption 1: contact the company HR Department to retrieve PF Information and then ask them to submit the withdrawal request
option 2: take proof of employment and proof of EPF contribution to the regional pf office of the branch of escorts he was working on, and request them to help. With the employment info, and his identification proof they can help retrieve his PF records and help with withdrawals (if the company is closed down)
Hello sir, I have a very different PF issue where I need your assistance or guidance. I joined an organization in the month of Sep 2015 and left by Oct 2015 due to some personal reason. At this point of time company opened a PF account and credited PF amount for 2 months. Again after 8 months (May 2016) I rejoined the organization and the Finance team started using the same PF which I came to know only after few months. I worked in an organization between Oct 2015 to May 2016, now when I am trying to transfer the PF amount its not happening as the joining date of my current organization shows the old date (Sep 2015). I have asked my finance team to look into it but I am getting same reply its not possible. Please could you suggest the best approach.
ReplyDeleteHow can that be not possible? You left them legally and joined another organization and worked there for a few months. Reusing the old acc (which i suspect was the universal PF Acc number) is fine but joining/leaving dates must be updated correctly
DeleteIf you have proper documentation to prove your joining/last date with both companies, contact your regional PF office and request for guidance
Hello Anand. I have following questions wrt to PF withdrawal
DeleteMy PF is handled by ICICI provident fund trust. I joined the company on 5th December 2012. My last working day including 3 months of notice period is 11th December 2017. I had not transferred PF from my previous employer. So this is a fresh PF account. So will my pf withdrawal be tax exempt ?
I am not joining another organization immediately. Can I choose not to withdraw my PF ? For how long can I keep it with the trust ?
Can you withdraw : Yes
DeleteIs it taxable: No. You would've completed 5 full years with PF so, it won't be taxed
Can you not withdraw: Yes you can but the amount will not earn any interest. plus withdrawal in future may be troublesome
Dear Anand,
ReplyDeleteI've a total of 4 years of service with a company that operates a PF Trust, and now another year with a company that maintains PF under the EPF office.
I did not apply for a transfer when I moved companies since the process was cumbersome. However, I'm now quitting from my present company and do not plan to work in the future.
My service in the UAN portal only lists my present employer (1 year). How do I add the previous service / can I submit Form 15G when I apply for PF Withdrawal (after 60 days of unemployment) to avoid taxation?
Please let me know. Thanks.
Unless you initiate a proper transfer from company A to company B and then withdraw from the EPF, your withdrawal from both cases will be taxable.
DeleteIf you have already withdrawn the money from PF Acc of company A, there is no way you can avoid the taxation now
Hi,
ReplyDeleteI have switched company 8 months back. My current organisation provided a new UAN number. So from past 8 months my PF amount is crediting in the new PF account. Do I still get the interest for the amount in my old PF account?? Now I want to transfer all the PF amount from old organisation to the new one. If I do this the interest amount also get transfer into new account?
Dileep - an old& inactive pf acc stops earning interest as soon as monthly contributions stop. You can transfer the old PF now and the amount will start earning interest once transfer is complete but you won't be getting backdated interest
DeleteHi Sir, its been 5 months I left my previous job and I yet to join any, I opted to claim my PF amount since i need some amount on an urgent basis and the process is going now; I received all the forms from my last company and even the UAN got activated. My question is, if in case I'm selected in some other company in near future after I claimed the PF amount means, what I need to do? whether I need to share these details or I can ask for a new EPF account from them. Kindly assist with this. I'm in thought of putting fake and hide the last experience details, for the next job, keeping the career growth in mind. thanks
ReplyDeleteWith UAN activated last time, you won't be able to hide that experience without the possibility of being caught. Also hiding/faking experience is illegal and you may lose your job if found in future
DeleteHi Anand,
ReplyDeleteI have a query regarding PF. Need your help.
I was associated with a company from past 8 years. The company has its own PF trust. While leaving the company I opted for PF withdrawal as I was planning to move abroad for doing job (has proper working visa). But due to sudden changes in my family conditions, I have dropped the idea of moving abroad and have joined a new job (within 1 month) of leaving the previous company. The new company have opened my new PF account with same UAN of previous company and now my UAN is showing 2 PF accounts. Meanwhile, recently, my first company has prepared and given the cheque of my PF amount that was held with its PF trust to me. Now my questions are:
1) What should I do with this PF cheque? Can I deposit in my bank account or should I deposit it to my new PF account?? If yes, please help me with the procedure.
2) Can I deposit the cheque to the new PF account?
3) What should I do with the previous PF account which is still showing as Active in UAN? Should I transfer it to my new PF account?
Request your inputs please and Tanhks in advance for the guidance.
1. You can contact your old company to see if they can help transfer that PF to the new account instead of the cheque. If they support you can choose option 3.
DeleteNo, you cannot deposit the cheque into your new PF Acc
IF your old company says they cannot initiate the transfer as withdrawal request is already placed then you can deposit the cheque to your bank acc since the withdrawal when placed was legit
Hi, i am 29 and I was working in private firm, I've PF account since oct 2012, I've resigned at company on Feb '17 (4years & 4 month), and join goverment gob (fixed for first 5 years) with no pf or other facilities. Now I am planning to complete withdrawl of money. So my questions are., 1. If I claimed right now hoe much amount i get (Employee & employment share & pention share)?.2. whether the amount is taxable, if so then please suggest to fix the same? 3. what is the procedure i have follow for claim? 4. whether i have to take any kind of NOC or proof from my Ex employer?
ReplyDelete1. The amount you get depends on how much you contributed in the 4.4 years.you will get EPF and EPS both
Delete2. Yes, it is taxable because you spent less than 5 years. No, there is no option to fix it. The amount gets added to your annual income and taxes will need to be paid per your prevailing tax slab
3. Just contact the company and they will help you with the forms required to be filled
4. Ex employer - no.
Is there any option to not joining in PF for any employee who has recently joined the organisation with higher salary then the PF slab and he also not a member of PF in his immediate previous company, but he was a member in PF Scheme in his carrier starting stage
ReplyDeleteUsually No. Unless the company offers that option to everyone in the company, they will not entertain only for one person. You can try and find out because this scenario is different from company to company
Delete