The EPF was formalised by enacting the Employees’ Provident Funds and Miscellaneous Provisions Act 1952. Because of its size, scope of services, and volume of transactions, the Employees’ Provident Fund Organisation (EPFO) is in charge of its day-to-day operations. Like an employer-provided retirement benefit, an employee’s EPF helps fund their golden years (EPFO). So, let’s explore more about EPFO employer registration in the article below.
Why is It Important for an Employer to Register for EPF?
Due to the withholding of TDS from employees’ paychecks, it is crucial for companies to register with the EPF. In order for employers to handle remittances, they must first use the EPFO employer portal to create challans. Consequently, they are forced to go through with it.
The main purpose of the Provident Fund is to safeguard employees and their families financially in the case of retirement, illness, or death.
Two of the best things about a Provident Fund account are how consistent it is and how easy it is to move money around. Any individual with a PF account is eligible to join the Employee Pension Scheme (EPS). At 58 years of age, workers are eligible to receive a monthly pension equivalent to 8.33% of their employer’s contribution, up to a maximum of Rs.15,000.
For many long-term goals, like getting married and going to college, having access to funds right away is crucial. The accumulated PF money usually comes in handy during these times.
Weddings, other family gatherings, accidents, and diseases are examples of unexpected events that might need fast financial assistance.
Applicability of EPF Registration for Employers
The applicability of EPF employer registration includes the following:
- The EPFO employer registration is mandatory for all businesses.
- This includes any company that employs twenty people or more in an industrial setting.
- That is, any company with 20 or more employees or any kind of company that the federal government may notify is eligible for this exemption.
- If the employer fails to register with the EPF within 30 days after attaining the strength, penalties will be enforced. If a registered company has less than the minimum number of workers, the Act still applies to them.
- After obtaining a minimum of two months’ notice of required EPFO employer registration, any firm with fewer than twenty staff may be subject to the laws. The employer and most of the employees may petition the Central Provident Fund (PF) Commissioner to have the law amended if they believe it should be applied to their company.
- The Central PF Commissioner may apply the provisions of this Act to the establishment after publishing it in the Official Gazette. The provisions will take effect either on the date of the agreement or on a later date specified in the agreement.
- The employer is responsible for withholding and paying the PF from each employee’s paycheck beginning on the first day of employment. Twelve per cent goes into the EPF from both the employer and the worker.
- A 12% deduction is made from the employee’s basic salary to meet their PF contribution. Employer payments amount to 12% of a worker’s basic salary. If the business has employed less than twenty workers, the PF deduction will be 10%.
EPF Registration Procedure Online
The enrolment document is available on the EPFO website. The following details are required of employers that want to enrol in the EPF registration process for employer.
- Name and address of the business
- The incorporation or registration date of the firm must be included.
- All workers must fill out the personnel information form.
- Owner details, including names and addresses of directors and partners
- Details on employees’ salaries, including the total amount of earnings paid out in a certain month
- Bank details that the company uses for banking
- The PAN Card Details
- Information about employees (such as their names, start dates, salaries, etc.)
Steps to register online:
- To register the organization, the employer has to visit the EPFO portal (https://www.EPFindia.gov.in/site_en/index.php). Select “Establishment Registration” from the given option.
- Go to https://registration.shramsuvidha.gov.in/user/register and download the manual by clicking on “Establishment Registration” next. Please be sure to read the user manual thoroughly before registering as a new user.
- Select the “Sign Up” option to start.
- Select “Sign Up” and then fill out the form with your name, email, phone number, and verification code. Fill out all the fields that are necessary, and then click “SIGN UP” to create your account.
- It will say “Registration For EPFO-ESIC” when it appears here.
- After that, you’ll notice an option that says “Apply for New Registration” on the next page. In the next window, choose “Employees’ State Insurance Act, 1948” and “Employees’ Provident Fund and Miscellaneous Provision Act, 1952” from the respective drop-down menus. The “Submit” button will then be available for your use.
- You may get the company’s data—including its establishment facts, electronic contacts, contact individuals, identifiers, employment details, worker particulars, branch/division, activities, and attachments—by clicking this link. If a red asterisk (*) appears next to a field, it is mandatory that you fill it out.
- The dashboard will provide a brief overview of the EPFO registration online for employer form.
- Press the “Submit” button to complete the EPFO registration online for employer process.
- The next step is for a company to register for a DSC or digital signature certificate. You can’t apply for an EPFO new registration for employer unless your DSC registration is active.
- Once they confirm the procedure with an email, your DSC registration will be legally finished.
EPF Registration for Employers
These days, it’s all about the workers’ well-being on the job. Therefore employers are scrambling to provide the best benefits and attention to their employees. Employee Provident Funds are a kind of retirement savings scheme that assists cement the bond between employers and their employees. Businesses need to register first and follow a set of rules and processes before they can enjoy all these benefits.
Within 30 days of attaining 20 members, businesses must register or face penalties. Failure to do so will prolong the EPFO online registration employer process. Regardless of whether their employee strength falls below the minimum criteria, organisations that are registered with the Act are subject to its rules and regulations. Companies that are co-operative societies are needed to register if their employee strength exceeds 50 or more.
Documents Required For EPF Registration
Verification documents are needed for employers to register EPF. The following items are required for EPFO online registration employer:
- Partnership deeds and other official documents attesting to the company’s status as a registered partnership
- A formal document that each public or private limited liability corporation must have in order to be formed.
- Every company must have an extra copy of their EPFO new registration for employer certificate on hand.
- All businesses, whether publicly traded or privately held, must provide an original copy of their memorandum and articles of organisation.
- A copy of the group’s objectives and rules
- Organisational PAN details
- A valid license or the first sales invoice
- Statement for PF and pay stub
- GST certificate
- Billing statement for the first transaction
- The bank’s name, branch number, IFSC code, and actual address
Initial expenditures on equipment and supplies.
FAQ’s:-
Employers can register with EPFO through the online portal by providing the necessary details and completing the registration form.
No; failing to input the PIN during registration will require the employer to input all data again and acquire a new PIN.
Yes, EPFO registration is mandatory for establishments employing 20 or more employees. However, voluntary registration is also possible for establishments with fewer than 20 employees.
Digital Signature Certificates (DSC) are the digital equivalent of a handwritten or printed signature; they verify the authenticity of digital documents. You may use DSC to e-verify taxpayer returns, and it’s typically needed.
Yes, employers can update and modify their registration details, such as changes in the number of employees, addresses, or other relevant information, through the EPFO portal.
If the employer forgets the password, the ‘Forgot Password?’ option will show on the login page. You may change your password by providing your establishment ID, primary email address, or phone number.
Documents such as the company’s incorporation certificate, PAN card, address proof, and bank details are typically required for EPFO employer registration.
Failure to register with EPFO may lead to legal consequences, penalties, and difficulties in employee management. It is essential for employers to comply with EPFO regulations.