If you’re a salaried professional, your payslip is most likely to reflect a percentage going out every month towards the Employee Provident Fund (EPF). Under this scheme, an employee pays a certain percentage of his pay and an equal amount is contributed by the employer towards the EPF account. The employee gets the accumulated amount with interest upon retirement or two months after switching jobs.
However, in order to create an EPF account and receive its benefits, you need to have a Universal Account Number or UAN. Read more to know about UAN and its benefits:
What is UAN?
As mentioned above, a Universal Account Number or UAN is a unique 12-digit identification number of every employee. It is allotted by the Employee Provident Fund Organisation (EPFO), and acts as an umbrella number for the many PF accounts of an employee. It does not change when you switch your job and allows you to manage all your PF accounts from different employers at one place.
Benefits of UAN
Two separate UAN numbers are assigned – to you and your employer, by the EPFO. The UAN once generated, stays the same throughout the company’s business years and all along your employment duration. Here are the primary advantages of having a UAN:
Simplifies the EPF Process
UAN acts as an umbrella number for multiple EPF accounts of the same employee. You can check and manage all your EPF accounts under the same UAN by simply logging into your account online. It also makes the PF account more accessible to the members and allows the EPFO to keep track of updated information as to where you’re currently employed, hence facilitating simplicity of the EPF process.
Makes PF Transfer very Easy
The UAN solves the problem of transferring your EPF account when you switch jobs. When you change your employer, the PF balance transfer is triggered by itself after the linking of all previous EPF accounts under your UAN. You need not apply for a PF transfer separately.
Know your PF Balance
You can check your current PF balance with the help of your UAN. There are different methods to check your PF balance through your UAN. You can log in to your UAN account through the official EPFO website and access your PF account balance and statements. Alternatively, you can send an SMS to ‘7738299899’ or give a missed call at 011-22901046 from your registered mobile number to know your current EPF account balance.
Withdraw and Transfer Funds
You can also withdraw and transfer funds from your Employee Provident Fund account quickly and in a hassle-free manner with the help of your UAN. It means that you don’t have to depend on your employers for your EPF transfers and withdrawals. With UAN, you can communicate directly with the EPFO regarding your PF account.
So, a UAN not only makes accessing your PF a much more organised and efficient process, but also saves you the effort of maintaining various passwords and account details of multiple PFs. In case you need any financial assistance to support your business or family in-between jobs, you can avail a gamut of loans from Bajaj Finserv. Don’t forget to check your pre-approved offers by sharing your few basic details.