Being an entrepreneur keeps you always on your toes. I am sure you will agree that your dream project consumes less time than the functional responsibilities of running a business. That is the trick of time, it tests the patience of an entrepreneur and pushes you towards your Goal.
“Sir / Ma’am mera PF account transfer karna Hain? “– Yes! This is you running a Start-up 😊Information lies right under our nose with awesome data about everything we need to know easily on various sites. Every information is fascinating but sometimes trusting the information which is not from the exact source consumes much more of our time. Lessons learned :- To embrace the information from the right source. So, when someone knocks and ask, “Sir need to transfer PF or when are we going to get EPF?”Below are the 5 questions that helped us register successfully.Basic questions that help Start-up and SMEs.
1. Eligibility to register for PF – Are you eligible to register for PF?
Add a reminder to your calendar, To notify you when you reach 20 employees. Every organisation
with employee base of 20 or more is eligible for registration for PF irrespective of the organisation type. (Like LLP, Partnership Firm or PVT.)
2. How to apply for PF and what is the Registration Process for Online? Register online through EPF Portal , Important details for registration process are as follows:
1) Activity the business/enterprise is involved in – i.e. manufacturing, production, service, etc.
2) Legal details – This pertains to legal status of a company, i.e. whether it is a private. firm/public company, partnership or society, etc.
3) Owner details, including designation and address of Directors and partners.
4) Particulars related to wage component of employees, i.e. total wage disbursed during a month
5) Details of bank with whom company has banking relationship.
6) PAN details.
7) Basic details of employee (name, date of joining, salary, etc.) To complete the above process online you as an employer need a digital signature, to know more please click on this link . Remember if you plan to get EPF registration before you are 20 it is called voluntary registration which is an option you are free to choose.
3. Can an employer and employee opt out?
As per govt rule. If the organisation and employee both come under the EPF act they both have to contribute to EPF scheme. Even if the employees decrease after a month, the employer has to pay the EPF for the remaining employees.
4. EPF is applicable to all employees including Trainees?
Yes, it is applicable to all employees including trainees.
5. What are the benefits of EPF?
Provident fund is divided into 2 parts that is provident fund and employee pension scheme.
Similarly, there are pension benefits, withdrawal benefits, insurance benefits and benefits for special occasions like marriage , education self or child’s education, you can withdraw PF for buying your dream house are the few benefits enjoyed by employees.For employers, well As Richard Branson says, “take care of your employees they will take care of your business”. So, don’t forget to put a reminder for yourself when your team is 20, you become eligible for EPF. Start-ups and SMEs are considered turbulent and many leave because they feel insecure; registering for PF, ESIC and medical policies gives your employees a stable environment to work with you.
There are employees who are experienced professionals and would want to transfer or claim their EPF. They are the ones who ring the bell “Sir PF transfer formalities karni hain” and push your panic button 😊 Don’t panic. Here’s the link of guidelines for employers to process claims online as well. In our next blog we will share about ESIC registrations requirements. Stay Tuned!We enjoy sharing our experience and problems we faced and learned from. Feel free to ask questions if any. We would love to read from you as well. Your encounters with the funny, silly questions or reactions on panic buttons being pressed. Times you try to save the day and push the need to hire HR thinking it is too soon to hire one for such a small team or just let it fly thinking you can manage alone but fail to do so. Plan to Hire a part time HR but need all the functions driving as per your needs. Well, SpiderG helps you on each step, Just download our app and manage your business from anywhere.
There are reminders you opt to set and some you opt to miss or miss it honestly. The skilled entrepreneur in you knows to hire a professional help. But it is always better to have knowledge about all the requirements of registrations for various licenses to avoid paying fine or hire last minute overpaid consultants.
SpiderG’s journey has taught us that registrations and licenses work is more of roller coaster that consumes our time and we hope our journey helps every new bee organisation in many ways to enjoy the journey and be successful.
Chief People Officer @SpiderG
SpiderG is platform for startups and SMEs to automate their bookkeeping, employee management, Collaboration Management and increase productivity.