PF (Provident Fund) registration is mandatory for businesses with 20 or more employees under the Employees' Provident Fund Organization (EPFO). It ensures financial security for employees after retirement or during emergencies.
Every organization with 20 or more employees must register for PF under the EPF Act, 1952. However, businesses with fewer employees can also voluntarily register to provide PF benefits.
PF registration provides financial security, retirement savings, and insurance benefits. Employees can withdraw funds during emergencies, unemployment, or retirement. Additionally, they get pension benefits through the EPS (Employees' Pension Scheme) and tax exemptions on contributions under Section 80C of the Income Tax Act.
Employees contribute 12% of their basic salary + DA towards PF, and employers match this amount. Out of the employer's 12% contribution, 8.33% goes to the Employees' Pension Scheme (EPS), and 3.67% remains in EPF.
To register for PF, businesses must provide PAN, GST certificate, company incorporation certificate, MOA/AOA or partnership deed, canceled cheque, and employee details (Aadhaar, PAN, salary details, and UAN if available).
PF registration generally takes 7-10 working days, provided all documents are correctly submitted. The EPFO portal verifies the application, and once approved, the employer receives a PF registration number (EPF code).
After registration, the employer must generate a Universal Account Number (UAN) for each employee, start monthly PF deductions, and file PF returns regularly. Employers must also submit KYC details and maintain EPFO compliance.
Yes, employees can check their PF balance online through the EPFO portal, UMANG app, or by sending an SMS to 7738299899. Withdrawals can be made for medical emergencies, home loans, education, or after retirement.
Failure to register for PF or non-payment of contributions attracts penalties, including interest at 12% per annum on unpaid amounts and additional damages of 5-25%. Businesses may also face legal action.
Yes, businesses with less than 20 employees can voluntarily register for PF under EPFO. Voluntary registration allows small businesses to offer retirement benefits to employees.
Employers must deposit PF contributions by the 15th of every month. Late payments attract interest penalties and additional charges. Contributions must be paid online through the EPFO portal.
Yes, the EPF Act applies to all employees, including contract, temporary, piece-rated, and daily wage workers. Providing PF benefits to them is mandatory for eligible establishments.
Yes, businesses can update details like address, contact information, or ownership modifications online through the EPFO Unified Portal by filing Form 5A.
Employee contributions to PF are tax-deductible under Section 80C of the Income Tax Act (up to ₹1.5 Lakh). The interest earned and the final withdrawal amount (after 5 years of service) are also tax-exempt.
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