I had transferred my EPF account from my old organization to the new company. While EPF transfer was reflected in the UAN passbook there was no information about EPS transfer. I checked my UAN passbook of both the old account and new account Pension contribution was 0. What happened to my EPS during the transfer? Did I not fill some form? Did I lose the amount? were some of the thoughts that plagued me. After searching and digging I found that EPS depends on the length of service detail and that is all EPS needs to decide the Pension. The Service history information is captured in View->Service Details section of the UAN. You can get Annexure K from EPFO by raising EPF grievance for record purposes. This article details the transfer of your old EPF account to a new employer, What is Annexure K of EPF? Scheme Certificate and EPF Transfer, and EPS Pension.
Table of Contents
When you transfer your old EPF account to a new employer
An employee should transfer his provident fund Using EPFO’s online facility from the previous employer to a new employer. You can do it offline and online. Online you can transfer from the EPFO UAN Portal using Online Services->Transfer Request. To use the facility one must have their KYC approved in the UAN and Employer should have a digital signature. The Employee has to get his claim attested by the current or the previous employer.
Our article How to Transfer EPF Online on changing jobs explains the process in detail.
I had transferred my EPF account from my old organization to the new company. While EPF transfer was reflected in UAN passbook there was no information about EPS transfer. In my UAN passbook of both the old account and new account, Pension contribution was 0. The 2 passbooks of EPF site for unexempted trusts are shown below. You might have more depending on how many EPF accounts you had. Exempted Trusts passbook is not available on the net.
The image below shows the Transfer In to the new passbook. Note Pension contribution column is 0.
Old passbook which shows the transfer out.
If you look carefully, the transfer In and transfer out amounts do not match. Transfer In was 439,268 and 2,20,716 and Transfer-Out was 464,059 and 2,43,932. Difference was 464,059- 439,268 = 24,791 and 2,43,932-2,20,716=23,216 which is due to interest earned on the EPF amount for Year 2018 as shown in the image below.
Actually, there were two entries for Transfer In. One was for the EPF employee and employer, 439,269 and 220716. Another later in Sep 2017 interest for the EPF with the old employer was also transferred.
EPS Transfer: What happened to my EPS during the transfer?
What happened to my EPS during the transfer? Did I not fill some form? Did I lose the amount? were some of the thoughts that plagued me. I followed up with my finance time and they had no idea. I checked with my colleagues and did not get any concrete answer. I googled, I asked but not much of help. I asked UAN helpdesk(which was functional then but is non-functional since Nov 2017) and got the following response
“WHILE TRANSFERRING PF FROM ONE ESTABLISHMENT TO ANOTHER, THE SERVICE DETAILS INFORMATION (VIZ LENGTH OF SERVICE, NON-CONTRIBUTORY PERIOD, LAST WAGES DRAWN ETC) ARE FURNISHED TO THE RECEIVING PF OFFICE IN ANNEXURE-K WHICH WILL BE USED TO CALCULATE PENSION BENEFITS. AMOUNT IN PENSION FUND IS NOT REQ”.
Our article UAN helpdesk explains how to get common UAN problems solved such as What is UAN status? How to get Date of Birth Corrected?
The Service history information is captured in View->Service Details section of the UAN, as shown in the image below
What is Annexure K of EPF? How is it related to EPS transfer?
Annexure-K of EPF is a document which contains details of EPF account. It is internal document sent between regional EPF offices during transfer of the accounts. It is especially useful during the transfer of EPF from exempted private trusts. The private PF trusts maintain their workers’ PF money and account themselves. They are called exempted establishments because they don’t have to file PF returns.
Anyone can get the Annexure-K by raising the grievance.
- Visit http://epfigms.gov.in/
- Click on the Register Grievance to register EPF complaints. To lodge the complaint you must have your EPF UAN number. This has been made mandatory from 1 January 2016.
- Our article How to register EPF complaint at EPF Grievance website online explains the process in detail.
Sample Annexure-K is shown below.
Scheme Certificate and EPF Transfer
I have worked for 10 years. When I transferred by EPF I did not get my scheme certificate?
If you have worked in an organization for more than 10 years and you want to withdraw from EPS you will not get your money but would get an EPS Scheme certificate, which you can use at age of 58/60 years to EPFO to get your pension. When you transfer your EPF you do not get scheme certificate.
EPS Scheme certificate is a certificate issued by the Employees Provident Fund Organisation(EPFO), Ministry of Labour, Government of India. stating therein the details of service of the PF member. The EPS Scheme Certificate shows the service & family details of a member who is eligible to get provident fund pension in case of death of the member. Scheme Certificate is also an authentic record of service.
Our article What is EPS Scheme Certificate? explains it in detail.
Employees’ Pension Scheme (EPS) of 1995 offers pension on retirement, disablement, pension to widow and pension for nominees. Pension depends on your contribution to Pension Fund and your years of contribution to EPS.
- A lifelong pension is available to the member and upon his death members of the family are entitled to the pension.
- You may be drawing a very high salary, but your contribution to Pension Fund will be only Rs. 541 and after Oct 2014 Rs 1250 max. This is because, as per EPF scheme, the employer has to remit 8.33% of actual salary or of Rs. 6500(before Oct 2014) or 15,000 whichever is minimum. If your contribution in terms of amount or number of years is less, your pension will be less.
- Unlike the EPF contribution EPS contribution does NOT get any interest.
- An employee can start receiving the pension under EPS only after rendering a minimum service of 10 years and attaining the age of 58/50 years.
- Early pension can be claimed after 50 years but before the age of 58 years. But it is subject to discounting factor @ 4% (w.e.f. 26.09.2008) for every year falling short of 58 years. In case of death/disablement, the above restrictions don’t apply.
- For those who joined after 15 Nov 1995, the formula for calculation of Pension is,
- EPS Pension = Average Salary x Number of Years Service /70
- If you withdraw your EPS from an earlier job, through Form 10C, then earlier years of service will not be counted.
Our article How much EPS Pension will you get with EPS Pension Calculator explains the EPS Pension
Conclusion of what happens to EPS on the transfer of EPF
For those who joined after 15 Nov 1995, the formula for calculation of Pension is, EPS Pension = Average Salary x Number of Years Service /70
You may be drawing a very high salary, but your contribution to Pension Fund will be only Rs. 541 and after Oct 2014 Rs 1250 max. This is because, as per EPF scheme, the employer has to remit 8.33% of actual salary or of Rs. 6500(before Oct 2014) or 15,000 whichever is minimum.
Unlike the EPF contribution, the EPS contribution does NOT get any interest.
When you transfer your EPF, EPS amount will not be reflected in your passbook. But you will get your pension based on the number of years you have contributed, which one can find out from View->Service History of UAN website.
YouTube video on EPF Transfer
If you still want a document to see the amount in EPF, in EPS during your work life, you get request for Annexure K from EPFO using grievance.
- How to Transfer EPF to NPS
- Basics of Employee Provident Fund
- EPF Form 11 on Joining a New Job
- Understanding EPS or Employee Pension Scheme
- EPF Private Trust
We think that EPF passbook and/or website should be improved to reflect that EPS is also transferred. What do you think? What are your suggestions to improve the EPF passbook and UAN?