How to Open a VPF account?
1. Basic of all the employee should be a salaried employee and should be working in an organization recognized by EPFO and should have an active EPF account.
2. First of all the employee working in an organisation should approach his HR/Admin officer about his willingness of opening a VPF account, and intimate the amount he would like to contribute in the VPF account. A form for opting for VPF is to be collected from HR/Admin officer sharing all the necessary details.
3. The VPF account can be created at any time during the year, however to maximize the returns it is suggested to open the account during the starting of financial year and once opted applicant can’t discontinue the VPF scheme during the financial year.
4. Maximum contribution under VPF scheme is 100% of basic salary + dearness allowance, and if applicant makes a withdrawal before 5 years, proceeds received from VPF account will be taxable.
5. In case the applicant wants to increase the amount of VPF in later years, he can intimate the same in writing stating his willingness to increase the contribution under VPF and the amount to his HR/ Admin officer.
6. Applicant can also check his balance of VPF anytime through EPFO website or mobile application through his UAN(Universal account number).