Online facility has made EPF transfer and withdrawal easy
With the dynamism of our current global economy and the professional spectrum, changing jobs every few years is the ground reality for most salaried individuals. While employment changes are unavoidable, the cumbersome amount of paperwork it calls for, often leaves employees feeling tired and irked out. Amongst the never ending array of background checks, declarations and settlements involved, the humble EPF (Employee Provident Fund) is one aspect that is often the most neglected. While feigning unemployment and withdrawing your PF amount might seem like an easier bet, you may as well change your mind on being introduced to the novel world of online EPF transfers.
Why opt for Online EPF transfers
After contributing 12 % of your hard earned money to the noble EPF, we reckon that most of us would want to avail its benefits. The now archaic method of physical PF transfers requires the employee to run from pillar to post to have his PF transferred to another account. The tedious method involves filling out form 13, followed by a long verification procedure by the employer and the EPFO, often leading to failed transfers. However, with the introduction of the online PF transfer functionality, you can now transfer funds from one account to another within a matter of few clicks, while also being able to track the entire process online. This method saves not only your time, but also your much precious gusto.
How the Online EPF process works
The new online functionality earlier came with its own hiccups. But over the last year it has been streamlined and now works efficiently to the employees’ convenience. Broadly speaking there are two main methods that one can use to process their PF online, highlighted in brief as follows:
A. By making a claim on the OTCP: OTCP stands for the Online Transfer claim portal of the EPFO. For using this method, you are required to follow the below mentioned steps:
- To start off, you must visit the OTCP section on the EPFO website and check your eligibility for filing Online Transfer Claims.
- On clicking the “check eligibility” option, you will be requested to provide your previous as well as present PF number.
- Once verified as eligible, you will be required to log in to the member portal by registering freshly (by following the instructions mentioned on the website) or by using your existing user id and password. ( To register, you will be required to put in your PAN /Aadhaar card or any other personal verification number along with your phone number).
- On logging in, you will see an option for “Request for Transfer of Account”, that further obliges you to enter the Previous and current PF number. On entering the same, a drop down auto fills all the mandatory details from the EPFO database.
- Once the application is completed from your end, your previous or present employer will be required to authenticate it online by attesting his/her digital signature. You will also need to send a signed hard copy of your application to your employer. As a final result (post a waiting period of 3 -4 weeks), your funds will be successfully transferred to your new PF account.
B. By way of Automatic EPF transfer with the use of UAN: This functionality is by far the most efficient for online PF transfers and is a cakewalk for employees. The recently opened PF accounts present the employees with a unique 12-digit number called the Universal account number. Owing to the UAN, employees are not required to file any claim or form for the transfer of PF. Instead, the funds are auto transferred between accounts. To use this function, the following steps need to be followed:
- Employee must have his UAN before taking up the new employment offer.
- Such UAN must be updated in the records of the new employer.
- The personal details with the previous and current employer from the PF point of view should match.
- Employees can get to know their respective UAN from the previous employer. However, if the employer is not willing to provide you with this information, you can visit the UAN enabled portal – epfoservices.in to recognize your UAN and activate it.
Ways to withdraw EPF online
As a thumb rule of the Employees Provident Fund act, you can legally withdraw your PF only on quitting employment altogether or on retirement. While the EPFO has devised an online withdrawal scheme, it is yet to see the light of the day. Essentially, the pre requirements for a successful online PF withdrawal are the UAN, a KYC verification by the employer and/or the linking of the Aadhaar card to the UAN by the employee. Since, the employer/employees often fail to link the KYC / Aadhaar card as required, this functionality is yet not fully efficient. In the meanwhile, employees can stick to the physical process of filling form 19, followed by the employer’s attestation to avail their final PF.
With technology being the only way forward, initiatives like the above by the EPFO and the government are much applauded. The online transfer of PF funds requires minimum or nil movement of documents, ensuring your time is not unduly wasted. While the initiative comes with a number of pros, the only cons are employers not being diligent with online attestations or employees subsequently not taking enough efforts to link identification records in the system. Although a few finishing touches may be necessary to streamline this system further, the online PF transfer by the EPFO is certainly a fresh breath of air for all!
