Features and Benefits of Universal Account Number (UAN)
Universal Account Number (UAN) is the twelve-digit number allocated to every member of the EPF (Employee Provident Fund) that helps to control all his or her employee provident fund accounts. The universal account number associates with the employee and connect all his or her provident fund accounts around the organizations. Ministry of Labor and Employment, Government of India issued this universal account number. If the individual changes his or her current job, then he or she gets new provident fund account with the organization. This is the reason for multiple provident account number allocated to the employees.
Multiple provident account numbers are the concerned area as most of the employees account grievances that related to withdrawal or transfer of provident fund amount. To overcome this problem and make the PF account management easier, the UAN concept introduced. The universal account number is the single account number that can connect multiple numbers of ID associated with the same employee. With the help of UAN, employee connects all his or her provident fund accounts in order to make the transfer and withdrawal process of PF money easier.
Features of the UAN:
The main purpose of the universal account number is to maintain the centralization of all employees’ data and decrease the need of EPFO (Employee Provident Fund Organization) on employers for the employee verification purpose. Now, EPFO verified the identity of the members via the data provided by the employers. To introduce the UAN, the back account and KYC details linked so that employee’s information verified and account established. Universal account number also helps to track the changes in the job for every employee. If an employee changes his or her job, then he or she need to provide the UAN number to his or her employer to link the UAN with new provident fund account. By using this way, EPFO updated all kinds of the information such as where the individual works now. When people switch jobs, UAN also stops them making unnecessary provident withdrawals.
Check Related Pages – Universal Account Number Benefits
Benefits of the UAN:
Here are the most outstanding benefits of the universal account number (UAN).
- Employees connect all his or her provident account to a single UAN account.
- Using the UAN, the employee can withdraw his or her provident fund money online.
- Transfer the provident fund amount from the old PF account into new PF account is also made easy via the universal account number.
- Using the UAN online member portal, employees instantly check his or her PF balance.
- In addition, simply send the SMS with the UAN number the employee get to know provident fund balance.
- The universal account number is the identification number, which is independent of employers.
- If there is any need for the employer to authenticate or validate your profile, then your universal account number is KYC or Aadhaar verified.
- This UAN also helps the employees to maintain and manage his or her provident account online. This means any of the employers not hold back the provident fund amount of any employee.
- The employee also tracks if their company depositing the provident fund every month or delaying the provident fund contribution simply registered on the UAN portal.
Advantages for employees using the UAN:
Employees, those linked all his or her PF account with the UAN can get the benefits mentioned below.
- There is no involvement of employers in PF withdrawal
At present, if you request for PF withdrawal then request pass on through your old employer and they have to sign the request and then only request forwarded to the EPFO. However, with the universal account number the employer intervention reduced. The PF money on your previous PF account transferred automatically to your new PF account after the verification of KYC complete.
- There is no need to transfer fund
Transfer the provident amount from one employer account into other is the big and lengthy process. However, there is no need to transfer your PF amount at all with the advent of universal account amount. In order to change your account, all you need to do is provide the KYC and bank account details to the new employer. Once the new employer verified this information, then PF amount from your previous account transferred automatically to the new account.
- SMS alerts for the easy account management
To make the SMS alert for your PF account, you need to register with the UAN portal. Once you registered, you get messages alert from the EPFO when the employer contribute the PF amount on your account.