Epfo Reforms: New Proposals In 2025 That Would Ease Pf Transfers, Streamline Pension Calculations

In a important move to modernise its operations, nan Employees' Provident Fund Organisation (EPFO) has enacted respective awesome changes to its processes arsenic of 2025. These alterations are aimed astatine digitising services, simplifying procedures for members, and ensuring greater transparency. 

The caller streamlined EPF relationship transportation process is projected to positively effect much than 1.25 crore EPFO members. With this improved strategy successful operation, EPFO is aiming to facilitate soft EPF relationship transfers totaling astir Rs 90,000 crore successful PF costs annually, result minimizing delays and personnel complaints.

Form 13

The Employees’ Provident Fund Organisation (EPFO) has introduced a revamped type of Form 13 to streamline PF relationship transfers for members changing jobs. Additionally, employers tin now make Universal Account Numbers (UAN) successful bulk without Aad seeding, enhancing work ratio and personnel convenience. 

The precocious improved Form 13 characteristic connected nan EPF website now includes a important update: a much defined separation of taxable and non-taxable portions of PF savings. This enhancement is designed to facilitate precise Tax Deducted astatine Source (TDS) computations connected taxable liking earned connected PF, yet simplifying taxation compliance for some EPFO and its members.

Profile update

Another notable updates facilitates easier floor plan updates. Now, EPFO members pinch Universal Account Numbers (UAN) linked to Aadhaar tin modify individual specifications online without needing further documentation. This measurement is expected to trim administrative burdens and heighten personification convenience.

Transferring PF

The process for transferring Provident Fund (PF) balances erstwhile changing jobs has besides been streamlined. Previously, nan transportation required employer approval, but pinch caller reforms, this is nary longer basal successful definite cases. For members whose UAN is linked to Aadhaar and issued post-October 2017, transfers tin hap without employer involution if Member IDs are linked. This is besides applicable if different UANs lucifer connected cardinal individual details. 

Centralised Pension Payment System

Further digitalisation comes pinch nan preamble of nan Centralised Pension Payment System (CPPS). Effective from January 2025, this strategy allows for nonstop pension payments to immoderate slope via nan National Payments Corporation of India (NPCI) platform. This alteration eliminates nan request for transferring Pension Payment Orders (PPOs) betwixt offices, making nan pension receipt process much efficient. Additionally, nan UAN-Aadhaar linkage has go mandatory for issuing caller PPOs, facilitating services for illustration nan Digital Life Certificate (Jeevan Pramaan).

Higher pension

EPFO has besides clarified its stance connected higher pension calculations. Ensuring a azygous approach, each pensions based connected higher salaries will now travel standardised calculation methods. Institutions pinch exemptions must adhere afloat to spot rules, and to support transparency, nan process for recovering dues and paying arrears will beryllium separately managed. These measures are designed to guarantee clarity and consistency successful pension calculations crossed nan board, addressing erstwhile concerns from pensioners and stakeholders.

Published on: Apr 26, 2025 10:59 AM IST