EPFO has made provisions on its online portal that enable members to transfer their old EPF accounts to a new one in just a few steps. The online method of transferring EPF saves a lot of time and lets the user transfer his provident fund at the comfort of his home or office. The process also involves uploading of documents online, thereby saving the employees from the hassle of getting the documents verified by the employer physically (the documents are verified digitally).
In order to transfer your EPF from an old account to a new one, you need to fulfill the following requirements:
- The employee should have activated his UAN on the EPF portal here
- The employee should seed his bank details such as the account number and IFSC code which should have been verified by the employer at the time of making transfer request.
- Aadhaar should also be seeded in the UAN account
- The Date of Joining (DoJ) and Date of Exit (DoE) should be mentioned on the portal along with the reason for exit.
- Only one transfer request against one member ID is accepted by EPFO
How to Transfer EPF Online/ Step by Step Process at EPFO Portal
Employees need to follow the given steps in order to set up a transfer request online:
- Login to your EPF account using your UAN and password here
- Click on the ‘Transfer Request’ option in the ‘Online Services’ section
- Give your previous EPF account details (previous Member ID)
- You have to submit the transfer request for attestation to either the current or the previous employer
- Provide your Member ID or UAN in required fields.
- You can also generate your MID by clicking on the ‘Get MID’ option
- After entering your MID, click on the ‘Get OTP’ button to send the OTP to your registered mobile number
- Once you receive the OTP, enter it in the space provided and click on the ‘Submit’ button
- Submit the self-attested copy of your online PF transfer request in PDF format to your selected employer within 10 days of submitting the request online
- The employer then approves the PF transfer request digitally
- Once the approval is made, the PF is transferred to the new account with the current employer
- A tracking ID is also generated that can be used to track the application online
- The employee has to download the Transfer Claim Form (Form 13). In some cases, the employee has to submit this form to the employer to complete the process of EPF transfer
Documents Required for EPF Transfer
In order to ease the process of EPF transfer, you must be ready with the following documents before you begin with the process-
- Revised Form 13
- Valid Identity Proof (PAN, Aadhar or Driving License)
- Current employer’s details
- Establishment Number
- Account Number
- Bank account details of the salary account
- Old and current PF account details
Forms Required for EPF Transfer
Given below is a list of forms that one may require while transferring the PF online-
- PF Transfer form
- Form 13
Points to Consider while Transferring PF Online
Before applying for PF transfer, employees must ensure that their-
- UAN is active on the portal
- Registered mobile number is active
- Bank account is linked to UAN
- KYC is verified against UAN
- Both the employers (previous and current) have registered authorised digital signatures
- PF numbers of both employments (previous and current) is saved in the EPFO database
What is the Use of UAN for Online Transfer of PF?
Different employers allot different member IDs to an individual. UAN or Universal Account Number serves the purpose of linking those multiple PF account IDs that belong to one individual. Using the UAN, an individual can the following benefits-
- Update the UAN card dynamically
- Updating PF passbook (along with transfer-in details)
- Receiving SMS update about the monthly credits in the PF account
- Automatically transferring the account on change of employer
- Linking previous member’s ID with the current one
How to Check the Status of PF Transfer?
There are three ways to check the status of your PF transfer:
1. Track your Status using the Member Claim Status Link
To check your status for PF transfer online, you must follow the given steps-
- Go to EPFO portal here
- This will lead you to the employee’s page on the portal
- Under ‘Our Services’ section, click on ‘Know your Claim Status’
- You will now be taken to a page where you need to enter your details such as UAN number and Captcha
- After entering the required details, click on ‘Search’
- On the next screen, you will be asked to select the Member ID for the account for which you wish to check the status
- Then, click on ‘View your Claim Status’
- The next screen will display your PF transfer status
2. Track your Status using EPFO portal
- Visit the EPFO portal here
- Enter the details like UAN, password and captcha
- After logging in, go to ‘Online Services’ and select ‘Track Claim Status’
- From the next tab that appears, click on ‘Transfer Claim Status’
- You status will appear on the next screen
3. Track your Claim Status directly from the website
- Visit the website here
- Go to ‘Click here for Knowing your Claim Status’
- Select the state where your PF office is located from the dropdown list
- Select your regional office from the list that appears
- Once you enter this information, the region and office code will automatically be entered
- Enter the ‘Establishment Code’ (if you have any)
- Enter your 7-digit account number
- Click on ‘Submit’ and your status will appear on the next screen that appears
Why Transfer from EPF to NPS Transfer
EPS and NPS are both government-backed retirement savings schemes with the provision of pension after retirement. However, individuals may wish to transfer their EPF account to NPS because of certain reasons such as:
- Employees working in the public sector have to create an account in NPS, unlike private organizations. Transfer of job from a private organization to a Government organization will lead to withdrawal of EPF by the employees
- While EPF involves almost no risk and offers fixed returns, NPS offers a better return in comparison at the cost of a moderate level of risk
- NPS is a more transparent investment option in comparison with EPF as it lets you take an insight into where your money is being invested
- Investments made in NPS allow you to make changes in your portfolio and manage your retirement corpus. For instance, you can make changes in asset allocation in NPS and thus get a chance over earning better returns
- NPS offers better tax benefits than EPF. You can get an extra tax deduction of up to Rs. 50,000 by making investments in NPS
EPF to NPS Transfer Process
To transfer your EPF account to NPS, you must follow these steps-
- Open an NPS Tier-1 account
- You need to contact your employer and seek for the recognised PF
- The PF will then initiate the fund transfer process
- After the process has been initiated, your EPF corpus will be released
- The cheque of Demand Draft will be released in the name of employee
- You will be issued a letter stating the transfer of your EPF account to NPS
Note: The EPF transfer amount will not be eligible for tax deduction since it is not an actual investment made to the NPS account.
The transfer of EPF to NPS involves a number of hurdles during the process as well. Hence, it is advised that you go through the entire process in detail and transfer your account only if it is necessary.
Benefits of Transferring PF Online
If you are still working and tend to continue with the same, you are advised not to withdraw your PF corpus. PF is a long-term fixed investment backed by the Government of India, and there is hardly any risk involved in this investment. It is, therefore, advised that you withdraw your PF only in case of emergency. You should transfer your EPF amount instead of withdrawing it. The PF transfer option comes with a range of benefits for employees, some of which are listed below-
- TDS is charged on PF withdrawal if the account is less than 5 years old. If you transfer your PF account and maintain it for 5 years, you become eligible for tax-free withdrawal of your money
- EPFO offers compound interest on your savings. This implies that if you close your current PF account and open a new one, the interest earned would reduce with respect to the transferred account
- Employees who continue with the same EPF account for more than 10 years become eligible for pension after they attain 58 years of age which will not be possible if an employee closes the account every time he switches his job
Importance of Linking UAN with Aadhar
Here’s why you are advised to link your UAN with Aadhar-
- Since your Aadhaar card contains all your personal information, it is considered one of the most important documents required for personal verification
- Linking your UAN with Aadhaar will ensure that the information provided by you is consistent and free of errors
- In order to ensure safety, EPFO has made it mandatory to link your UAN with Aadhaar such that only you can make EPF withdrawals and payments in your EPF account
- The data provided in Aadhaar works as a proof of citizenship as well
- Linking of UAN with Aadhaar ensures that only one person has access to one account, thereby eliminating duplicacy of accounts
Q1. Can EPF withdrawal be done without PAN?
If you wish to withdraw EPF without PAN, you will be liable for deduction of TDS at the maximum marginal rate of 34%. However, if your claim amount is more than Rs. 50,000, no TDS will be deducted.
Q2. When is EPF withdrawal taxable?
EPF withdrawal is taxable if it is made before 5 years continuous years employment.
Q3. How much tax is applicable on EPF withdrawal?
If you have submitted your PAN, then a TDS of 10% is applicable at the time of withdrawal. If not, then a TDS of 34% will be applicable at the time of withdrawal of EPF.
Q4. How to show EPF withdrawal in ITR?
The withdrawals from EPF are considered income for the employee and should be mentioned under the head ‘Income from salary’. If you have withdrawn money from your EPF account, then you may report the same at the time of filing the ITR by selecting ‘Section 10(12) Recognized Provident Fund’ on the portal.
Q5. What is the EPF withdrawal enquiry number?
PF withdrawal Enquiry number is 1800 118 005.
Q6. How to withdraw EPF without company’s approval?
If you have submitted your Aadhaar number to the PF office, you will not require the approval or authorization of your employer while withdrawing your PF.
Q7. Can EPF be withdrawn while working?
No, money from PF account cannot be withdrawn while you are still working. You must have been unemployed for a minimum of 2 months to apply for partial withdrawal of your PF corpus.
However, you can apply for partial withdrawal of EPF under certain conditions such as medical emergency of the account holder or family member, wedding of self or child, purchase or construction of a house
Q8. How many times EPF can be withdrawn?
The maximum that can be withdrawn is either the total employee’s share or six times his wage, whichever is lower. The number of times that you can withdraw for a similar reason is 3.
Q9. Can EPF be withdrawn anytime?
No, EPF cannot be withdrawn anytime, There are a number of conditions that must be met in order to be eligible for PF withdrawal such as employment tenure, reason for withdrawal, the account holder’s age, etc.
INVEST IN ELSS FOR 3 YEARS & GET HIGHER RETURNS
Invest in ELSS for 3 Years & Get Higher ReturnsInvest Now