Several employees forget to transfer balance from their earlier provident fund (PF) accounts when they shift to new companies. Some of them also withdraw the money from the PF account.
Since it is s meant for one's retirement years, financial specialists advise that savings should not be withdrawn during one's working years.
To inspire employees consolidate multiple accounts, Employees' Provident Fund Organisation (EPFO) has launched a special drive called "One Employee-One EPF Account".
Here is a 10-point cheat-sheet:
•EPFO has set up a website for the "One Employee-One EPF Account" drive. Under this step EPFO will assist those who want to transfer the balance from their past PF accounts to current PF account which is connected to universal account number (UAN).
•You have to enter your activated UAN along with your current UAN-linked PF number and mobile number listed with the EPFO.
•Both your PF and UAN is mentioned on your salary slip. If your UAN is already active, you will be asked the next page after you enter One-Time-Password (OTP) that you will receive on filling up the details.
•After that you will have to enter the details of your past PF numbers that you want to be shifted to your current PF account. Up to 10 earlier PF numbers can be added under this facility.
•Numbers you provided are sent to EPFO offices in which your past PF money was deposited. The offices will then et in touch with the employers. After the employer confirms the PF claim, the transfer will be done.
•EPFO regional office will get in touch with you if you face any problem after filing balance transfer request.
•Even though facility to transfer PF balance online was there earlier, it could be used if the particulars of the earlier PF accounts are available in the EPFO database and the employers have digital signs.
•Body has been advising subscribers to link all their PF account numbers with the Universal Account Number (UAN). With coming up of the Aadhaar Act, 2016, EPFO is planning to make Aadhaar the primary identifier for consolidating PF accounts.
•UAN was launched in October 2014 to help members continue their PF membership on change in jobs. The UAN remains movable throughout the lifetime of an employee. All active subscribers have been assigned a UAN which needs to be linked to Aadhaar, PAN and bank account.
•Employee donates 12 per cent of basic salary to PF. The employer too has to contribute the same amount towards Employees' Provident Fund as its share.