EPF Claim In 5 Days By Linking Aadhaar UAN

Earlier, filing for an EPF claim was cumbersome, involving employer attestation and lengthy processing, sometimes taking months or years. However, thanks to the Government of India's efforts to streamline the process, EPF customers can now have their claims settled in just five days. By linking their Aadhaar card to their UAN, customers can swiftly get their EPF claims processed, eliminating the long waiting periods that were once a norm.

Form 13 Withdrawal

EPFO's Composite Form, commonly known as Form 11, is poised to take over Form 13 for online automatic transfers. Until now, employees utilised Form 13 to initiate PF account transfers between employers. However, the retirement fund body has opted for Form 11 to be the designated form for all automatic transfer instances, replacing Form 13.

Requirements for the EPF Claim Settlement

The Government of India has introduced the Composite Claims Form, which incorporates a customer's Aadhaar card details. With this form, employees no longer require their employer's attestation for withdrawals. This innovation has significantly reduced the time taken for EPF claim settlements to just five days.

To ensure a prompt claim within this timeframe, employees need to adhere to specific conditions:

1. File the EPF claim online through the official portal.
2. Only those with a UAN (Universal Account Number) are eligible to apply for PF settlements.
3. Update Aadhaar card details and bank account information (account number, account name, bank name, etc.) on the EPF portal.
4. Have the details verified by the current employer, including the KYC documents submitted by the employee.

Composite Claims Form- Benefits

The Government of India has introduced the Composite Claims Form, replacing the advantages offered by Form 19, Form 10C (pertaining to pension), and Form 31 (for partial EPF withdrawals). Now, customers are required to utilise the Composite Claims Form solely for EPF settlements.

Here are the benefits of the Composite Claims Form:

• Employer's attestation is no longer mandatory for the claim settlement process.
• Documentary evidence is not necessary for claiming partial withdrawals.

Claim Settlement Steps 

To initiate a claim settlement, employees should adhere to the following steps:

1. Log in to the EPF member portal.
2. Under the "Manage" option, select "KYC" on the website.
3. Enter your Aadhaar card and bank details as required.
4. After filling in the required details, click on "submit."
5. Verification and approval of Aadhaar card and bank details by the current employer are necessary.
6. Customers are eligible to file for a claim settlement two months after changing their job.
7. Once the employer verifies the details and the employee files for a PF settlement, an OTP is forwarded to the registered mobile number.
8. Enter the received OTP and submit the Composite Claims Form.
9. This initiates the withdrawal process, and employees can anticipate their PF settlement within 5-10 days.

Tax Deductions for Premature Withdrawals

The EPF entails a lock-in period of 5 years, defining any withdrawal within this period as premature. Withdrawals post five years in the EPF enjoy complete tax exemption under the EEE (Exempt, Exempt, Exempt) status. However, withdrawals made before this period attract TDS (Tax Deducted at Source) under Section 80C of the Income Tax Act. For instance, if an employee has contributed to the same PF account for three years in one company and two years in another, withdrawals are entirely tax-free.

Presently offering an interest rate of 8.65%, the EPF stands as one of the highest in tax-saving instruments. The prevalence of online processes for EPF, enabling contributions and withdrawals, serves as a significant advantage for customers. This convenience is enticing more employees to opt for this savings scheme.

New Facility to Link Aadhaar with UAN Online

EPFO subscribers now have the option to link their Aadhaar number with their UAN online. EPFO has implemented this step as part of the verification requirement for online claims.

Introduced just before Diwali in 2017, this facility aims to enhance services for UAN members, offering faster and improved assistance, according to the retirement fund body.

Upon linking Aadhaar or UID (Unique Identity Number) issued by UIDAI with UAN, EPFO subscribers gain access to additional online services that mandate Aadhaar linking.

The Process of Linking Aadhaar with UAN 

The process to link Aadhaar with UAN via the EPFO website is outlined below:

1. Access the "eKYC Portal" within the "Online Services" section on the EPFO website.
2. Click on the "Link UAN Aadhaar" link.
3. Provide the UAN to proceed and avail an OTP on the mobile number registered with the UAN.
4. Complete the OTP verification process.
5. Enter the 12-digit Aadhaar number.
6. Receive another OTP on the mobile number or email linked with Aadhaar.
7. Verify this OTP.
8. If the UAN details match those in the Aadhaar database, the UAN will be successfully linked with Aadhaar.