EPF Registrations

Overview

The registration of an establishment under the provident fund organisation becomes mandatory, the moment total number of employees in the organisation reaches twenty in number. To count the statutory limit of 20 even contract employees are counted apart from the employees employed through a subsidiary company. You should be very careful in determining the eligibility of your organisation for PF Enrollment. The application for the EPFO Coverage should be made within 30 days of reaching the threshold limit of the twenty.

The application for PF Registration is made online with the Digital Signature of one director or the Authorised Signatory of the company. We assist you to ascertain the coverage and applicability of the PF and file application for registration on your behalf to the PF Office, draft all documents and do a followup with the department for issuance of the registration number of the establishment.

Contribution of EPF Registration:

1. As per EPF rules, 12 per cent of an employee’s Basic salary+Dearness Allowance is contributed to their Employee Provident Fund account.

2. A matching sum is contributed to the provident fund by the employer.

3. From the employer’s EPF contribution, 8.33 per cent goes towards the Employee Pension Scheme (EPS) and the remaining to the PF account of the employer. This EPS component is calculated on the basic pay of Rs 15,000, or actual basic pay, whichever is lesser.

4. In case an employee’s basic pay exceeds Rs 15,000, the EPS contribution would be 8.33% of Rs 15,000, which comes up to Rs 1,250 per month.

Benefits of EPF Registration:

1. EPF is availed by the person who receives a salary from the organised sector. The contributions made in EPF funds are important for both the employer and the employee and provides tax exemption.

2. EPF gets mature when he ends its service in the organised sector or when the employee reaches the age of 58 years. The employee can withdraw the EPF funds, after two months from the termination or resignation.

3. In some company in which the government has its shares also contributes to the EPF funds.

4. In the case of EPF interest rate the returns are generated on the EPF account.

5. The employee has the EPF account can obtain loan up to 50% of the amount deposited in the account for marriage and education after completing seven years of service whereas he can get up to 90% of the deposited amount for the home loan after the ten years of the service.

Documents Required

Documents Required for EPF Registration.