The Employees’ Provident Fund Organization (EPFO) has announced a number of changes to the EPF account rules.
The Employees’ Provident Fund Organization (EPFO) has announced a number of changes to the EPF account rules. Under this, if you have not linked your PF account and UAN with Aadhaar, then the employer will not be able to contribute to your PF. Apart from this, withdrawal and other types of problems may also have to be faced. A deadline of August 31 was fixed for this. Now it has been extended to 31st December. However, the benefit of the date of December 31 will be available only to people belonging to the Northeast region and certain sections. Apart from this, EPF has fixed the rates of interest rate payment for the year 2020-21. For this, the body is now awaiting the approval of the Finance Ministry. According to this, interest at the rate of 8.5 percent can be added to the PF account of the member employees before the festivals.
After completing the new process, you will be able to see the contribution of the employer. The government has made it mandatory to link EPF account with Aadhaar. This provides many benefits to the shareholder. If the account is not linked, your employer will not be able to add the amount to the account. Apart from this, you will also not be able to see the total contribution of the amount deposited by the employer in the account. You will not be able to withdraw the amount when needed. If your EPF account is not linked with Aadhaar, then you will not be able to make any withdrawal from EPF. Now it is mandatory to link the EPF account with Aadhaar for any kind of withdrawal. Not only for you, but for your dependents, it can become a problem.
It is very easy to link with Aadhaar: First of all, login to the EPFO portal. After that enter the mobile number linked with UAN and Aadhaar. After that click on ‘Click to Generate OTP’. After entering the OTP, select the link. After that enter the Aadhaar number and click on ‘Aadhaar Verification’. Now Mobile or Email Click on ‘Verification Option’. After this another OTP number will come on your mobile or email. Verify this OTP and then complete the process of UAN and Aadhaar linking.
Not everyone will get the benefit of the new deadline announced by EPFO on December 31. According to the circular issued by the Employees’ Provident Fund Organization, only people belonging to the Northeast region and certain sections will get its benefit. Linking of EPF account with Aadhaar has become mandatory under section 142.
Apart from this, EPFO has fixed the rates of interest rate payment for the year 2020-21. For this, the body is now awaiting the approval of the Finance Ministry. According to this, interest at the rate of 8.5 percent can be added to the PF account of the member employees before the festivals. EPFO announces the rate of interest on PF amount for each financial year. In the current financial year, EPFO has decided to pay interest at the rate of 8.5 per cent. This will greatly benefit the employed people.
According to officials, the approval of the Finance Ministry is only a matter of protocol. EPFO cannot release interest rate without approval. In the last financial year, the EPFO earned Rs 70,300 crore, which includes Rs 4,000 crore from selling a part of its equity investments. Lakhs of people have withdrawn funds from EPFO during the pandemic. Now employees can get the benefit of interest before Diwali.
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