The work culture today depends on the welfare of employees, with employers scrambling to ensure their employees are entitled to the best care and benefits. An Employee Provident Fund is an initiative designed to offer social security benefits to employees of a particular organization, building stronger employee-employer bonds. In order to enjoy these benefits to the hilt, employers need to follow a set of rules and guidelines laid out, with registration forming the first step.
Eligibility for EPF Registration
Registration is mandatory for companies/organizations which employ more than 20 individuals, including contractual and permanent employees. Smaller organizations which do not have the minimum strength can voluntarily register themselves. Companies which grow to a strength of 20 members are expected to register themselves within one month from the time of attaining this strength, with penalties applicable for delays in registration.
Co-operative societies are expected to register if their employee strength increases to 50 or more and registered organizations continue to be under the purview of the rules and regulations of the Act even if their employee strength falls below the minimum specified number.
EPF Registration Procedure
For EPF Registration procedure, an employer can choose to register either offline or online, with the online option being the preferred mode for registration today. The registration form can be downloaded from the website of the Employees’ Provident Fund Organization (EPFO). Employers need to provide the following details to successfully register themselves.
- Name and address of company
- Head office and branch details
- Mention date of incorporation/registration of company
- Fill up details of employees – total employee strength
- Activity the business/enterprise is involved in – i.e. manufacturing, production, service, etc.
- Legal details – This pertains to legal status of a company, i.e. whether it is a private firm/public company, partnership or society, etc.
- Owner details, including designation and address of Directors and partners
- Particulars related to wage component of employees, i.e. total wage disbursed during a month
- Details of bank with whom company has banking relationship
- PAN details
- Basic details of employee (name, date of joining, salary, etc.)
A form titled “Proforma for Coverage” needs to be filled with the details mentioned above to finish the registration process. In addition to this Proforma for Coverage, employers are expected to submit Form 5A with Annexure 1 to complete the formalities.
Documents required for EPF Registration Online
Employers are expected to furnish certain documents as proof in order to successfully register EPF. A list of below documents are required for online EPF Registration
- Copy of partnership deed if the company is a registered partnership firm
- A copy of the Certificate of incorporation for a Public or Private Limited Company. This should be issued by the Registrar of Companies
- Societies should furnish a copy of their registration certificate
- Public and Private Limited Companies need to submit a copy of memorandum and Articles of Association
- Societies should furnish a copy of the rules and objects of the society
- All legal documents which might be required under the Income Tax Act
- PAN details of company
- Partition deed
- Proof of incorporation – first sales invoice/ license issued by competent authorities
- Salary details of employees
- Balance sheet details