Personal Finance

Provident Fund: Change in Rules from 1 September 2021

Employees’ Provident Fund Organisation (EPFO) has announced it is mandatory to have Provident Fund (PF) UAN (Universal Account Number) linked with Aadhaar. This announcement applies from 1 September 2021 and is an extension from the earlier deadline of 1 June 2021. 

By not linking UAN with Aadhaar, employers will not be able to remit PF and other dues. The benefits that subscribers can lose out on are COVID-19 advances and insurance benefits connected with the PF account. It is mandatory to link UAN and Aadhaar by 31 August 2021. 

Visit the official website at www.epfindia.gov.in, and select the e-KYC portal in the Online Services tab. On the new page, click on “Link UAN with Aadhaar”. Enter the UAN and Aadhaar details to generate a One Time Password (OTP) on the registered mobile number. Fill in the Aadhaar number again to verify the OTP. 

EPFO is one of the world’s largest social security organisations. The benefits of having a PF account for the salaried employees are the tax benefits, insurance benefits, pension and partial withdrawal. The employee receives the sum of contributions made by the employee, the employers and the interest earned until retirement. 

For any clarifications/feedback on the topic, please contact the writer at jyotsna.singh@cleartax.in

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