What is Provident Fund? All you need to know

1
What is Provident Fund?
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2
Employee Provident Fund (PF) Overview

• Employee Provident Fund or EPF or PF as normally
  referred is a retirement scheme for Private
  sector employees. 12 is compulsorily deducted
  from your salary and 12 is contributed by the
  employer.
• You may contribute higher from your salary but
  there is no such obligation on the employer.
• The amount accumulated is disbursed at retirement
  or VRS. It can be transferred while changing
  jobs.
• You or your family get pension after the age of
  58.

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3
Employee Provident Fund (PF) Overview
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4
PF PPF are different

• The Public Provident Fund (PPF)is an investment
  scheme for any individual (general public). This
  is a voluntary can be opened from Post Office or
  Nationalised Banks.
• The minimum annual investment is Rs 500 maximum
  investment is Rs 70,000.
• The amount accumulated can be withdrawn after 15
  years. You may also extend the maturity by 5
  years also make fresh deposits during this
  period.
• There is no pension in this scheme.

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5
Employee Provident Fund (PF) Advances
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6
Employee Provident Fund (PF) Insurance

• Employees are also insured under the Employees
  Deposit Linked Insurance Scheme
• The Employer pays for the insurance charges. The
  employee does not have to pay for the insurance.
• The insurance amount is payable to the nominee or
  family members in case of death of the employee
  while in service.
• The insurance amount is subject to a ceiling of
  Rs 60,000. Accident death benefit ceiling is Rs
  1 Lakh.

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7
Employee Provident Fund (PF) Pension

• You are eligible for lifelong pension after the
  age of 58. You need not pay for this scheme. The
  employer's contribution is used to pay the
  pension.
• You need to complete 10 years of service. In case
  of job change, the PF account has to be
  transferred not withdrawn.
• The legal heir/nominee is eligible for lifelong
  pension in case of death of the member.
• The maximum pension is Rs. 3250 per month.

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8
PF Forms for Employees

• Form 19- To claim final settlement at retirement
• Form 20- To claim settlement by legal
  heir/nominee in case of death of employee
• Form 10 C- To claim withdrawal advance
• Form 31- To claim temporary withdrawal/advance
• Form 31- To transfer account at time of changing
  job

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