InvestorQ : What happens to an employee’s EPS when he/she switches jobs?
Neha Samdani made post

What happens to an employee’s EPS when he/she switches jobs?

Answer
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simran Kaur answered.
1 year ago


When an individual changes jobs, his/her Employees’ Provident Fund (EPF) balance with the earlier employer gets transferred to the PF account with the new employer. The Employees’ Pension Scheme (EPS) balance, however, does not.

Previously, an employee was expected to fill up two forms:

- Form 11 to declare that you are already part of Employees’ Provident Fund (EPF) schemes, and

- Form 13 for getting the PF balance transferred from the previous organisation to the new one.

However, now there’s a Composite Form 11 which serves both purposes, provided one has an active Universal Account Number (UAN) and the employee’s Aadhaar is verified for KYC in the EPF database. Those who do not have these two prerequisites, still have to fill both Form 11 and Form 13.

Once the employee’s PF transfer request is completed, the passbook of his/her current PF account reflects a lump sum addition in the month of transfer, but the EPS column shows zero addition. Instead, the PF passbook of the employee’s previous organisation reflects the EPS amount.

The employee’s details of service are transferred from an older to a new account, but the EPS amount is retained in the older account. So, if an employee is in his/her fourth job, and has consolidated his/her EPF in the new account, then the EPS amount for the previous three employers will reflect in the respective PF passbooks.