I had a PF account with company A, where I worked from 2009 to 2011. There was no concept of UAN then. Since then, I have worked at a few more companies where I never had a PF account. Now I have joined a company B (basic>30K) which is asking for my UAN and eNomination proof. I don't want to contribute PF and want the maximum in-hand salary. They say I can opt out of PF only if I never had a PF account. Can I declare that I never had PF account? Will it create any problems in future?
Provident Fund is a good investment which will give interest along with income tax exemptions to certain extent. Still, if you do not want to get covered, you can declare that you do not have a UAN. If you do not generate a UAN for your previous PF account, you will not be able to withdraw the amount in that account. At the same time, if you declare that you had a PF account but does not have UAN, the present company will cover you under PF, and a new UAN will be generated. You can transfer the old PF to this account by using the online facility available. But in future also you should continue to contribute to PF.
In future, if the EPF &MP Act is amended and the threshold limit is increased from Rs 15000 to Rs 30000 (there is a proposal to make it Rs 25000 at least) then you would become covered then, and in that situation if you declare that you had a PF account with your earlier establishment, then it will become a concealment. Having PF is always good, both in respect of investment and tax savings, but from the point of view of other benefits like Pension and insurance (Employee Deposit Linked Insurance) associated with it. But it is your choice.
From India, Kannur
4242In future, if the EPF &MP Act is amended and the threshold limit is increased from Rs 15000 to Rs 30000 (there is a proposal to make it Rs 25000 at least) then you would become covered then, and in that situation if you declare that you had a PF account with your earlier establishment, then it will become a concealment. Having PF is always good, both in respect of investment and tax savings, but from the point of view of other benefits like Pension and insurance (Employee Deposit Linked Insurance) associated with it. But it is your choice.
From India, Kannur
Thanks for detailed reply. From your reply it looks like I can generate my own UAN for the old PF account. Is it true? What documents are necessary for it?
Yes, you can generate your UAN. But what are to be ensured before that are, the name as per your adhar should exactly match with the name the employer had given while registering you under EPF and the mobile phone number should be the same linked to the adhar. If these things are okay you can generate adhar by visiting the EPFO' website, https://unifiedportal-mem.epfindia.gov.in/memberinterface/ and then taking the link "Direct UAN Allotment by Employees".
At the same time, if you declare to the new employer that you are an existing member but does not have a UAN, they can create a UAN. Once a UAN is created you can "activate" it by visiting the above said portal. After activating, you can transfer the old PF accumulations to the one created now by using the field " One member One PF" in your member portal. This member portal will be active always. Once you generate your UAN, you can see how much balance is available in your PF account using the Passbook link in it.
From India, Kannur
At the same time, if you declare to the new employer that you are an existing member but does not have a UAN, they can create a UAN. Once a UAN is created you can "activate" it by visiting the above said portal. After activating, you can transfer the old PF accumulations to the one created now by using the field " One member One PF" in your member portal. This member portal will be active always. Once you generate your UAN, you can see how much balance is available in your PF account using the Passbook link in it.
From India, Kannur
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