This Article is From Sep 26, 2017

New Provident Fund (PF) Transfer Rule Explained In 5 Quick Points

Once the previous EPF account details are provided in Form 11, the funds will be automatically transferred by the EPFO to new EPF account.

New Provident Fund (PF) Transfer Rule Explained In 5 Quick Points

The EPFO has also decided that Form 11 will replace Form No 13 in all cases of auto transfer.

Highlights

  • You are no longer required to file separate EPF claims using Form 13
  • You can give previous EPF account details in Form 11
  • The funds will then be automatically transferred to your new EPF account
Transferring your employee provident fund (EPF) corpus while  changing jobs has become easier. EPFO or Employees' Provident Fund Organisation subscribers are no longer required to file separate EPF transfer claims using Form-13 after changing jobs as it will now be done automatically. EPFO has introduced a new composite form called Form 11 that will replace Form 13 in all cases of auto transfer. This was stated by EPFO in an order dated September 20, 2017. "EPFO has embarked upon next phase of e-governance reforms with a view to make its services available to its stakeholders. EPFO has recently introduced a single page composite claim form (Aadhaar/non-Aadhaar) and composite claim form for death cases by replacing multiple forms for settlement of claims," the EPFO order said. 


5 Things To Know About New PF Rule: 


1) The Composite Form 11 is a declaration document filed by an employee through an employer to provide information on bank account number and Aadhaar and other details. 

2) At the time of joining a new employer, an employee can give details of their previous EPF account in new composite form (Form 11) to give declaration about his/her details, Press Trust of India, reported quoting a senior EPFO official.

3) Once the previous EPF account details are provided in Form 11, the funds will be automatically transferred by the EPFO to new EPF account, the official added.

4) At present, the formal sector employees are required to file Form-13 for EPF transfer to their new account on changing jobs. The EPFO has also decided that Form 11 will replace Form No 13 in all cases of auto transfer.

5) EPFO receives over one crore different type of claims every year, including EPF withdrawal, pension fixation, death claims and EPF transfer claims. The EPFO has a subscribers base of over four crore and manages a fund size of over Rs 10 lakh crore. Transfer claims constitute 10-15 per cent of the total claims filed by subscribers.  The retirement fund body also allows online facility to encourage subscribers to seek transfer of funds into their new EPF accounts when they change job.
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(Composite Declaration Form 11 issued by EPFO)


Other Recent Initiatives From EPFO: 


To further boost e-governance, EPFO has initiated a new measure under which employers will be required to intimate about the details of their new employees online to retirement fund body EPFO from October 1, 2017. The Employees' Provident Fund Organisation (EPFO) has decided to do away with filing of Form-9, a declaration by a person (employee) taking up employment in an establishment in which Employees' Pension Scheme is in force, a senior official said. This Form-9 is filed by the formal sector employers manually at present to intimate about their new employees. (With Agency Inputs)
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