EPF registration refers to the process of enrolling employers and their employees into the Employees’ Provident Fund scheme, which is a mandatory savings scheme for employees in India.

What is EPFO and its objectives?

EPFO stands for Employees’ Provident Fund Organisation and is a non-constitutional body that promotes employees to save funds for retirement and this organisation is governed by the Ministry of Labor & Employment, Government of India & was launched in 1951.

Applicability of EPF Registration in Kodambakkam

In India, the employer must obtain the EPF Registration within 1 month of attaining the strength, failing which penalties will be applicable. A registered establishment continues to be under the Act even if the employee strength falls below the required minimum. The Central Government of India may apply the provisions to any establishment employing less than 20 employees after giving not less than 2 months’ notice for mandatory registration. Where the employer & the most of employees have agreed that the provisions of this act should be made applicable to the establishment, they may themselves apply to the Central PF Commissioner.

The Commissioner may apply the provisions of the Act to that establishment after passing the notification in the Official Gazette from the agreement date or from any particular date specified in the agreement.

All the employees will be eligible for a Provident Fund from the beginning of their employment & the responsibility of deduction and the payment of Provident Fund lies with the employer. The PF contribution of 12% should be equally divided between the employer & employee. The contribution of the employer is 12% of the basic salary. If the establishment has employed less than 20 employees, the PF deduction rate will be 10%.