Another good news for people working in the private sector. The Employees Provident Fund Organization (EPFO) has simplified the process for subscribers looking to transfer their Provident Fund (PF) accounts when changing jobs. A recent circular from EPFO, released on Wednesday, states that in certain situations, there will be no requirement to submit an online application from either the previous or new employer for the PF account transfer.
For employees in the private sector, 12% of their basic salary is deducted for the EPF account, with the employer matching this contribution.
From the employer’s contribution, 8.33% is allocated to the Employees Pension Scheme (EPS), while the remaining 3.67% goes into the EPF. EPFO serves millions of subscribers. As per the circular dated January 15, 2025, subscribers can now initiate the transfer of their accounts independently, without needing an online application from their old or new employers. Here’s a breakdown of who can benefit from this new policy:
– Transfers within the same UAN (Universal Account Number) issued on or after October 1, 2017, are allowed if multiple member IDs are linked to the same Aadhaar.
– Transfers between different UANs (both issued on or after October 1, 2017) can occur if an employee has multiple UANs associated with the same Aadhaar, enabling a smooth transfer without employer intervention.
– For older UANs (issued before October 1, 2017), transfers are possible only if the UAN is linked to Aadhaar and the details such as name and date of birth match in the member ID.
– Transfers between different UANs, where at least one is older, are permitted if both UANs are linked to the same Aadhaar and personal information (name, date of birth, gender) is consistent.
Connecting your UAN with Aadhaar and ensuring that personal details match will enable quicker PF transfers without needing employer verification.
What is UAN?
The Universal Account Number (UAN) is a unique 12-digit identifier assigned to each employee contributing to the Employees’ Provident Fund (EPF). This number is issued by the Employees’ Provident Fund Organisation (EPFO).
