The EPF Register is a scheme for the benefit of employees. Under this, both the employee & employer contribute their part. In Provident Fund Online Registration in Telangana, employee shares will be deducted by the employer from the salary of the employee. The interest earned on this investment is also credited to the Provident Fund A/C of the employees. At the time of the employee’s retirement, a contribution amount and interest on such an amount are given to the employee if certain conditions are satisfied.

Important Points of Provident Fund Online Registration in Telangana:

(1) The employees provident fund new registration contribution rate will be 10% in establishments where the employees are less than 20.

(2) It is not mandatory to deduct PF if the salary is more than Rs. 15000. But if the salary is less than or equal to Rs. 15000, then the PF deduction is mandatory and after the increment, it is also mandatory.

(3) 3.67% out of 12% of the employer’s contribution shall go towards the EPF account, while the balance of 8.33% from your employer’s side is diverted to your employee’s pension scheme.

(4) As per the 2018 union budget, the EPF online register contribution rate for newly recruited female employees has been reduced from 12% to 8%. All this benefits will be available to the new female employees for the first three years of employment.

Documents for Provident Fund Online Registration in Telangana:

(1) Adhaar card copy of a director.

(2) PAN card copy of a director.

(3) Address proof of a director.

(4) A passport-size photo of a diector.

(5) The email ID of a director.

(6) The mobile number of a director.

(7) Proof of business registration documents.

Scope of the Act in Provident Fund Online Registration in Telangana:

(A) An employee’s provident fund is covered under the Employees Provident Fund & Miscellaneous Provisions Act, 1952.

(B) Not applicable to Jammu & Kashmir state.

Applicability of the Act:

(1) Any factory that is engaged in any industry specified in Schedule 1 and in which 20 or more people are employed.

(2) In any other establishment that employs 20 or more people, this act will be applicable.

(3) Any other establishment as notified by the state or central government will be covered under this act, even if it employs less than 20 people.

Provident Fund Online Registration in Telangana Contribution Rate:

(A) An equal contribution shall be paid by both employer & employee.

(B) Provident Fund Contribution paid by employer & employee is 12% of salary*.

*salary = basic pay + dearness allowance + retaining allowance

Breakup of the EPF Contribution:

(A) Employee Provident Fund = 3.67%.

(B) Employee’s Pension Scheme = 8.33%.

(C) EDLI Employee Deposit Linked Insurance will be equal to 0.5% (capped at a maximum of Rs. 15,000/-).

(D) EPF online registration administrative charges = 0.85%.

(E) PF Admin Account = 1.1%.

(F) EDLIS Administrative Charges = 0.01%.

Interest and Penal Damages of Provident Fund Online Registration in Telangana:

(A) Penal Interest under Section 7Q:

Number of days delayed in making payment x 12% per annum.

(B) Penal Damages under Section 14B:

(1) For a delay in payment less than 2 months Number of days delayed in making payment x 5% per year.

(2) For delay in payment 2 months and above but less than 4 months Number of days delayed in making payment x 10% per annum.

(3) For delay in payment 4 months and above but less than 6 months Number of days delayed in making payment x 15% per annum.

(4) For delay in payment 6 months and above, the number of days delayed in making payment x 25% per annum.

Withdrawal of PF Balance:

(A) After attaining 58 years of age, the employee will be eligible for the withdrawal of the amount of the provident fund.

(B) The total PF balance includes both the employee’s & employer’s contributions along with the accrued interest on the contributed amount.

(C) It also gets the Employees’ Pension Scheme (EPS) amount, which depends upon the years of service of the employee.

External Government Website Link: Sharam Suvidha