EPF Payment Online on EPFO(Employees’ Provident Fund Organization) Portal
What is EPFO?
Employees’ Provident Fund Organization (EPFO) is a statutory body incepted by the government of India. Being the country’s largest social security organization, it mainly encourages people to save for retirement, among others. EPFO comes under the purview of the Ministry of Labour and Employment and was established in 1952.
What is EPF Payment?
A salaried person who falls under the EPF scheme regularly contributes 12% of the basic salary and the dearness allowance towards the scheme. The employer should also make an equal contribution to the EPF scheme. This contribution towards this scheme is called epf payment. The person will get this accumulated fund at retirement, along with the yearly accumulated interest.
It is compulsory for all employees who draw a basic salary of less than Rs 15,000 per month to become members of the EPF. The employer is liable only to match the contribution of up to 12% of the employee’s salary.
It is mandatory for both employer and employee to make a payment towards the PF account. Since September 2015, it has been mandatory for all registered employers to make the payment online. The EPF online payment can be made either through the EPF’s official website or through the bank’s website if it is provided on the bank’s website. Currently, Banks in the list below provide this facility on their websites.
Banks List for EPF Payment
The Following Banks have a Tie-up with EPFO to Make Online Provident Fund Payment:
- Axis Bank
- State Bank of Bikaner and Jaipur
- Bank of Baroda
- State Bank of Hyderabad
- Bank of India
- State Bank of India
- Bank of Maharashtra
- State Bank of Mysore
- BNP Paribas
- State Bank of Patiala
- Canara Bank
- State Bank of Travancore
- Catholic Syrian Bank
- 35 Syndicate Bank
- City Union Bank
- UCO Bank
- Corporation Bank
- Union Bank of India
- Cosmos Bank
- United Bank of India
- Deutsche Bank
- Vijaya Bank
- Development Credit Bank
- Allahabad Bank
- Federal Bank
- Andhra Bank
- HDFC Bank Limited
- Bank of Bahrain and Kuwait
- ICICI Bank Limited
- Central Bank of India
- Indian Overseas Bank
- Dena Bank
- Jammu and Kashmir Bank
- Dhanlaxmi Bank
- Janta Sahkari Bank
- IDBI Bank
- Karur Vysya Bank
- Indian Bank
- Kotak bank
- IndusInd bank
- Lakshmi Vilas Bank
- ING Vysya Bank
- Oriental Bank of Commerce
- Karnataka Bank
- Punjab & Maharashtra Coop. Bank
- RBS (The Royal Bank of Scotland)
- Punjab and Sind Bank
- Saraswat Bank
- Punjab National Bank
- Standard Chartered Bank
- Ratnakar Bank
- Tamilnad Mercantile Bank
- Shamrao Vithal Co-op. Bank
- TNSC Bank
- South Indian Bank Ltd
- YES Bank
Steps to Make EPF Payment Online
Log In:
- Access the EPFO portal using your Electronic Challan cum Return (ECR) credentials.
Verify Establishment Details:
- Ensure that details such as establishment ID, name, address, and exemption status are accurate.
Navigate to ECR Upload:
- From the dropdown menu, go to the 'Payment' option and select 'ECR Return Filing and then click on the option of ‘ECR Upload’'.
Prepare ECR Details:
- Select the appropriate 'Wage Month', 'Salary Disbursal Rate', and 'Rate of Contribution'.
- Upload the ECR text file.
File Validation:
- The uploaded ECR file will be validated against predefined conditions.
- If validation is successful, a message saying 'File Validation Successful' will appear.
- If validation fails, an error message will prompt you to correct the ECR text file in the specified format and re-upload it.
TRRN Generation:
- Once validated, the Temporary Return Reference Number (TRRN) will be generated.
- Click on the 'Verify' option on the page.
Generate ECR Summary:
- Click on 'Prepare Challan' to generate the ECR summary sheet.
- Enter the Admin/Inspection charges and click on 'Generate Challan'.
Finalize and Pay:
- Verify the Challan amount and click on 'Finalize'.
- Click on 'Pay' against the relevant TRRN.
Select Payment Mode:
- Choose 'online' as the payment mode.
- Select the bank you wish to pay through from the dropdown list.
Make Payment:
- Complete the payment on the bank’s Internet banking page.
- Upon successful payment, you will receive a transaction ID and an e-payment slip.
Transaction Confirmation:
- The transaction status will be updated on the EPFO page.
- You will receive a confirmation of the payment made against the provided TRRN number.
Benefits of Contributing to EPF
Tax benefit | In addition to an employee’s contributions to an EPF account being tax-deductible under Section 80C, the interest earned on these contributions is also tax-free. Furthermore, if an EPF account remains inactive for more than three years, it will still continue to earn interest. EPF withdrawals are only permissible after five years of continuous service unless he employment is terminated. |
Lifelong Assured Pension | All employers and workers contribute 12% of salaries to the Employees’ Pension Fund. From the employer's contribution, 8.33% is allocated to the Employees’ Pension Scheme (EPS). According to the retirement fund agency, under the Employees’ Pension Scheme 1995, ten years of contributory membership guarantees a lifetime pension. |
Insurance | The EPFO’s Employees Deposit Linked Insurance (EDLI) Scheme provides insurance coverage. If the insured individual dies during their service period, the designated nominee will receive a lump-sum payout.The EPFO’s Employees Deposit Linked Insurance (EDLI) Scheme provides insurance coverage. If the insured individual dies during their service period, the designated nominee will receive a lump-sum payout. |
Premature Withdrawal | While the EPFO advises against using PF money like a bank account, as social security benefits require long-term stability, members are encouraged to make partial withdrawals after 5-10 years of service for specific needs such as medical care, home loan repayment, and unemployment. |
High Returns | Your PF account has the potential to earn more in the future. The EPFO invests 5-15% of its investible deposits in exchange-traded funds (ETFs). However, ETF shares do not appear in members’ accounts, and the percentage of retirement assets held in securities cannot be increased. Additionally, the PF fund is invested in government securities (45-50%), debt instruments (35-45%), and money market instruments and infrastructure trusts (5% each). Consequently, the annual return on PF savings is slightly lower than that of the National Pension System (NPS), which has more aggressive investment options. |
Death | In the event of an employee’s death, the accrued EPF fund balance is transferred to the nominee to support the family during difficult times. |
Late EPF Payment Penalty
Upon late payment of the EPF Challan, two penalties are applied:
- Interest for Late Payment (Section 7Q): An interest rate of 12% per annum is charged if the employer fails to deposit the EPF contribution before the deadline.
- Penalty for Late Payment (Section 14B): If the Challan payment is delayed, the following penalties shall apply:
- 5% per annum for a delay of up to 2 months
- 10% per annum for a delay of 2-4 months
- 15% per annum for a delay of 4-6 months
- 25% per annum for a delay of more than 6 months
- In any case the amount of penalty shall not exceed the amount in arrears.
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Employee Provident Fund Organisation
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Frequently Asked Questions
About the Author
Adnan Ali
I am a curious person, and Finance is at the top of my list of interests. With more than 5 years of experience in fintech, I am an expert in lending, investment and personal finance. I believe the Devil lies in details, so I dig a lot before writing anything and armed my writing pieces with figures and facts. Read more
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