The term ‘UAN’ stands for Universal Account Number, a 12-digit number issued by the Employees’ Provident Fund Organisation (EPFO) of India. The unique number links multiple Member Identification Numbers (Member Id) allotted to a single member under a single Universal Account Number. The UAN acts as a pan for EPF(Employees Provident Fund) as it remains the same even when an employee switches jobs.
The essential objective of the UAN is to bring forth a convenient platform to monitor the EPF accounts. One UAN would encompass different account numbers provided by different employers of a person. The primary reason behind the introduction of UAN is to avoid the formation of new PF accounts when changing jobs.
UAN Benefits:
1. Consolidation of Multiple Accounts:
The UAN brings all the multiple PF accounts under one roof. Employees can view the fund’s status in each of these accounts via a single login. This consolidation reduces the complexity of managing your EPF.
2. Ease of Transfer:
With UAN, transferring the provident fund during a job change becomes straightforward, since the UAN remains the same even when you switch jobs. You don’t have to start a new account each time you change an employer.
3. Easy Withdrawal:
With UAN, you can claim your PF online using the EPFO’s official website with UAN. For partial and final settlements, you won’t need the employer’s attestation.
4. Notification of Deposits:
Once the employer deposits the PF, the employee will get a message, thereby helping track deposits and ensuring the employer is regularly depositing the EPF.
5. Seamless Communication:
With UAN registration, an employee has to provide his/her Aadhaar, PAN, and bank details. This procedure eases communication between EPFO and employees.
Understanding the importance of UAN, you may want to activate your UAN without delay to reap these benefits. Here’s how you can activate your UAN number.
1. Visit the EPFO’s portal and click on the tab ‘Our Services’. From the drop-down menu that appears, select ‘for employees’.
2. Click on ‘Member UAN/Online services’.
3. Submit necessary details like UAN, mobile number, and PF member ID.
4. Get an Authorization Pin on your mobile number. Use this Pin to validate your UAN activation.
5. Once activated, you can use your UAN along with your password to access your PF account.
Your completed KYC ensures that the activating and managing UAN and PF remains seamless. Also, remember to keep your UAN password secure and well-remembered.
While all this information equips you to make an informed decision regarding your UAN and its management, remember that market investments do come with their risks as well. Therefore, consider all pros and cons before investing to avoid any disappointments in the future.
Disclaimer: Trading in any financial market, including the Indian financial market, carries potential risks. Always carry out your own research and consider consulting a financial advisor before making any major investment decisions.
Summary
The UAN or Universal Account Number is a 12-digit number issued by the EPFO (Employees’ Provident Fund Organisation) of India. It acts as the umbrella for multiple Employee Provident Fund accounts and remains unchanged even if the individual switches jobs. The many benefits encompass convenience of monitoring your EPF accounts, ease of funds transfer when switching jobs, simplified withdrawal process, timely notifications of deposits, and seamless communication between EPFO and employees. To activate your UAN, you need to visit EPFO’s portal, provide necessary details, and use the Authorization Pin sent to your mobile number. Despite benefits, trading in any Indian financial market does demands careful consideration, so it’s essential to do your research and possibly consult a financial advisor before making any major financial decisions.
