> Provident Fund

Provident Fund

What is EPF?

The Employees’ Provident Fund (EPF) is a government-backed social security scheme managed by the Employees’ Provident Fund Organization (EPFO). It offers retirement savings, pension, and insurance benefits to salaried individuals working in government, public, or private sectors.

Applicability

Mandatory for establishments with 20 or more employees, including contractual staff (security, housekeeping, etc.).

Voluntary registration is also permitted for firms with fewer than 20 employees.

Deadline: Must register within 30 days of employing 20 or more individuals.

EPF Scheme Coverage

1. Provident Fund Contributions

2. Pension Scheme Benefits

3. Employee Deposit Linked Insurance (EDLI)

It ensures long-term financial security and acts as a retirement corpus.

Eligibility

Employees earning a monthly salary of ₹15,000 or less must be mandatorily enrolled.

Salary includes:
Basic Salary + Dearness Allowance + Retaining Allowance + Cash Value of Food Concessions.

Contributions

Contributor

Employee

Employer

Rate

12% of wages

12% of wages

Details

Can voluntarily contribute more (VPF)

3.67% to EPF, 8.33% to Pension Scheme

Payment Due Date: By the 15th of the following month.

Documents Required

  1. Certificate of Incorporation / Registration
  2. PAN Card and Address Proof of business
  3. Identity proof of directors/partners
  4. MOA/AOA or Partnership Deed
  5. Rental Agreement (if any)
  6. GST, VAT or Professional Tax Registration
  7. First Invoice and Board Resolution
  8. List of employees and salary details