Updated By: LatestGKGS Desk
What is Provident Fund (PF) and UAN?
What is the Provident Fund (PF) and UAN (Universal Account Number)? what is the role of EPFO?
Provident Fund (PF)
Every Employee has a saving scheme provided by the government. These Employees can be of any company with more than 20 employees. These saving scheme and their look after are done by a government organization named Employee Provident Fund Organization (EPFO).
Under this Scheme, a 12% salary of every employee gets deducted and added with the same percentage of the amount that is 12% given by Company or the government and Deposited in Employee’s Provident Fund Account. Now according to the new PF scheme employee can set their monthly deduction amount to 10%. Its maturity period is 58 years of age of the employee. Some private companies can also deposit this PF amount in any trust founded by the company. But all the schemes will remain the same and trust will follow EPFO rules to fulfill scheme. You can get your deposit from the company’s accounts department.
Employees also get a pension from this same PF account. It is called an employee pension scheme. To get a pension employee’s accounts should be active for a least period of 10 years.
Universal Account Number (UAN)
After joining every employee, get a PF account Number, and after getting a PF account number Company or government also provide a Universal Account Number (UAN). This is a non-transferable and non-changing Number that will not change even after the change of job. It’s an important number that everyone should get and activate it after joining any job, Without this number one can not check their PF Balance or Withdrawal funds from PF accounts.
