Categories: Tax Saving Investments

What is EPF Form 5? – How to Fill Form 5 & How to Make Corrections?

EPFO or Employees Provident Fund Organisation encompasses all establishments within the formal services sector that employ 20 or more employees. These establishments are mandated to provide Employees Provident Fund / EPF services to all eligible employees and must also contribute to the employee’s EPF. It is important for eligible establishments to inform EPFO whenever new employees join the organisation and who may be eligible for EPF services. This is to be done by filling and submitting the EPF Form 5 to the regional EPF Commissioner.

Table of Contents hide

1 What is EPF Form 5?

2 Components of EPF Form 5?

3 Why is EPF Form 5 important?

4 When to fill EPF Form 5

5 How to fill EPF Form 5?

6 What is the process for error rectification in EPF Form 5?

7 What does an employer need to do for error rectification?

8 End Note

9 FAQs

What is EPF Form 5?

To learn about EPF Form 5, we must first know what is EPF.

EPF / Employees Provident Fund is:

A social security scheme
Designed to provide retirement benefits
Managed by the Employees Provident Fund Organisation (EPFO)

EPF Form 5 is:

Filled by employers
Submitted every month
A form containing details of new employees (of previous month) eligible for EPF services

An employer must use EPF Form 5 to:

File details of new employees who qualify for the membership of
- Employees’ Provident Fund,
- Employees’ Pension Scheme and
- Employees’ Deposit Link Insurance Fund.
It has to be done every month depending on the joining of new employees in the organisation.

Once the EPFO is informed about these employees, it allots fresh Universal Account Numbers to the newly enrolled members. Both employee and employer contributions can then start being deposited in EPF accounts.

Components of EPF Form 5?

Mentioned below are the key components of EPF Form 5:

Timeline of form submission
- Month
- Year
Name and address of the establishment
Code number of establishment
New employee details
- Name
- Gender
- Father’s or Husband’s Name (applicable to for married women)
- Date of Birth
- Date of joining EPF
- Account number
- Previous service time period in total – as on the date of joining EPF
Employer or authorised officer of the company’s signature
Company stamp
Date of filing the form

Why is EPF Form 5 important?

EPF Form 5 is very important for new employees who have not had any employees’ provident fund account in the past. This form helps such new members to easily fetch the benefits through EPF provisions. Without this form, an employee’s social welfare and financial security may remain incomplete. This form also allows employers to ensure that all new employees are covered under EPF rules.

When to fill EPF Form 5

An employer must file EPF Form 5 every month.

EPF form 4 to be submitted before 25th of the month
The Form 5 must contain all the new employee details
Form must be submitted to the EPF Commissioner’s office.

For instance, if an employee has joined the organisation on 10th October 2021, his/her employer must submit EPF Form 5 to the EPFO office by 25th October.

How to fill EPF Form 5?

An employer fills EPF form 5, stating all details of new employees.
The details can be sourced from:
1. Form 2 (nomination details) and
2. Form 11 (EPF basic details)
It is not mandatory to furnish Aadhaar details for EPF scheme benefits. Therefore, the employer may not ask for Aadhaar details from new employees.

What is the process for error rectification in EPF Form 5?

EPF Form 5 provides an opportunity to rectify any errors noticed within the form details. For this, an employee can reach out to his/her employer and request for correction of details. Employees can submit any of the below-mentioned documents to employers for error rectification:

Aadhaar Card
PAN Card
Passport
Voter ID Card
Driver’s License
School Certifications

Here are the steps that an employee can follow for error rectification in EPF Form 5:

Download EPF Form 5 rectification form through the EPFO website
Take a physical print of the same
Furnish correct details before signing the form
Get your employer’s signature along with the company’s stamp
Submit the form along with self-attested document copies, as required

What does an employer need to do for error rectification?

Employers must submit the rectification form to the local EPFO office. Parallely, they must apply for corrections of errors with the EPFO field offices.

End Note

Employers can download the EPF Form 5 from the official EPFO website. This form is available in pdf format. Post download, employers can take a physical print of the form and enter details before submitting the same.

FAQs

Do companies need to submit EPF Form 5 even if there are no new joinees in a month?

EPF Form 5 must be submitted by a company even if there is no new employee in the previous month. In such cases, a company can mention ‘NIL’ under the employee details section in the form.

If a company has 24 employees, does it have to submit EPF Form 5?

A company that has more than 20 employees is covered under EPFO. Therefore, it has to submit EPF Form 5 for eligible employees.

Is it the employee’s or employer’s responsibility to submit EPF Form 5?

It is the employer’s responsibility to fill up and submit EPF Form 5 for all new employees joining the organisation.

If an employee has switched jobs, does he/she get a new UAN?

Once a UAN is allotted to an EPF member, it remains the same throughout his/her service period. The employer opens a new PF account for the employee and this is linked to the existing UAN of the employee.

What is the percentage of EPF deduction from an employee’s salary?

As per EPFO norms, 12% of an employee’s salary is deducted for contribution to Provident Fund.