About EPFO

The Employees' Provident Fund Organisation (EPFO) is one of the two main social security agencies under the Government of India's Ministry of Labour and Employment and is responsible for regulation and management of provident funds in India, the other being Employees' State Insurance. The EPFO administers the retirement plan for employees in India, which comprises the mandatory provident fund, a basic pension scheme and a disability/death insurance scheme. It also manages social security agreements with other countries. International workers are covered under EPFO plans in countries where bilateral agreements have been signed. As of May 2021, 19 such agreements are in place.[1] The EPFO's top decision-making body is the Central Board of Trustees (CBT),[2][3] a statutory body established by the Employees' Provident Fund and Miscellaneous Provisions (EPF&MP) Act, 1952.

On 1 October 2014 the Government of India launched a Universal Account Number for employees covered by EPFO to enable Provident Fund number portability

APPLICABLITY

Mandatory EPF registration

• Number of employees: Any firm employing 20 or more individuals must register for the Employee Provident Fund (EPF).
• Applicability: This rule applies to both public and private sector organizations.

Voluntary EPF registration

• Number of employees: If a firm has fewer than 20 employees, it is not mandatory to register, but it has the option to do so voluntarily.
• How to register: Voluntary registration can be completed on the official EPFO website.

What to do if you are an employer

• If your firm has 20 or more employees, you are legally required to register for EPF and provide its benefits to your employees.
• If your firm has fewer than 20 employees, you can choose to voluntarily register for the EPF scheme.
• Both public and private sector firms are subject to these rules.

Epfo benefits

• Retirement savings
• Tax benefits
• Guaranteed interest
• Pension benefits
• Life insurance
• Partial withdrawals

Epfo Deduction slabe

• Employee contribution: 12% of (Basic Salary + Dearness Allowance)
• Employer contribution: 13% of (Basic Salary + Dearness Allowance)
• To Employee Pension Scheme (EPS): 8.33% of (Basic Salary + Dearness Allowance), capped at ₹1,250 per month
• To Employee Provident Fund (EPF): 3.67% of (Basic Salary + Dearness Allowance)
• 1 % Admin Chagres of 0.50% and 0.50% (Minimum 0.5% or 500/-)
• Due Date: 15th of the next month.

After Due date Applicable penalty & Interest As per structure

Fee Type	Calculation Basis	Rate
Interest	For every day of delay, calculated from the due date to the payment date.	12% per annum
Penal Damages	A percentage of the delayed contribution, based on the number of months the delay occurs.	- Up to 2 months: 5% per annum - 2 to 4 months: 10% per annum - 4 to 6 months: 15% per annum - Exceeding 6 months: 25% per annum (which can go up to 100%)