EPF account holders must add nominee by Dec 31: check guidelines

From next year, only the nominated members will be able to withdraw the EPF savings in the event of subscribers' sudden demise.

All Employees Provident Fund (EPF) account holders will have to add a nominee by December 31, 2021 before the new rules come into effect, which is next month. If this is not added, the employees will lose several benefits, along with the insurance money and pension.

According to the new rules, only nominated members will be able to withdraw the EPF savings in the event of subscribers' sudden demise. Subscribers can nominate more than one nominee and also fix the percentage of sharing among all such nominees.

Account holders can add the nominee online and to avail it, all subscribers must have an active Universal Account Number (UAN). Aadhaar details should have been uploaded to subscribers' EPF account.

Steps to submit nomination details online:

1. Go to the EPFO website and choose services.
2. Select employees and click on 'Member UAN/online service'
3. Login with Universal Account Number (UAN) and password
4. Open 'Manage tab', select e-nomination
5. Click on ‘yes’ to update declaration
6. Click ‘Add family details7. Click on nomination details and save the EPF nomination8. Click on ‘e-sign’ for OTP. Submit OTP and Aadhar. Nominees added. 

The benefits under Employees’ Deposit Linked Insurance Scheme (EDLI) can be claimed by the nominee specified by the insured person in the EPF nomination. 

The official account of Employees' Provident Fund Organization recently stated that the “EPS’ 95 pensioners can now submit a Life Certificate at any time which will be valid for 1 year from date of submission.”

For the year 2020-21, 23.59 crore accounts have been credited with an interest of 8.50 per cent for the FY, the department had mentioned.

Date: 28/12/2021/ Source: Business Today