BT Explainer: Why merging multiple EPF accounts is important and how employees can do it online

Job changes are common during a professional career, especially among young salaried employees. However, every job switch often results in a new Employees’ Provident Fund (EPF) Member ID being created under the same Universal Account Number (UAN). Over time, this can leave employees with multiple PF accounts linked to different employers.

While these accounts remain connected through a single UAN, experts say merging or transferring balances into one active EPF account can simplify account management, improve retirement planning and ensure uninterrupted benefits. Here is an explainer on why EPF account consolidation matters and how subscribers can complete the process online.

Why do employees end up with multiple PF accounts?

Each time an employee joins a new company registered under the Employees' Provident Fund Organisation (EPFO), a fresh Member ID is usually generated. Although the UAN remains the same throughout an employee’s career, previous employer-linked PF balances may continue to exist separately unless a transfer request is initiated.

As employees switch organisations over the years, several inactive PF accounts may accumulate, making record keeping and future claims more complicated.

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Why is merging EPF accounts important?

One of the biggest advantages of merging PF accounts is uninterrupted compounding of retirement savings. Employees who withdraw PF balances every time they switch jobs risk losing the long-term wealth creation benefits that EPF offers.

EPF currently offers an annual interest rate of 8.25%. According to available information, if funds remain invested and continue earning interest at current rates, the accumulated balance could potentially double in nearly 8.7 years.

Another key benefit relates to pension eligibility. Under the Employees’ Pension Scheme (EPS), subscribers who complete over 10 years of eligible service can become entitled to pension benefits. Merging older PF accounts helps ensure previous years of service remain part of the total employment record.

Consolidation can also make withdrawal requests and claim settlements quicker because all savings are reflected under one active account. It additionally reduces the possibility of balances becoming inactive or unclaimed over time.

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What should employees keep ready before beginning?

Subscribers do not require physical paperwork for online transfers, but several details should be updated beforehand.

Employees need an active Universal Account Number linked with a registered mobile number. Aadhaar, PAN and bank account details should also be updated and verified under EPFO's Know Your Customer (KYC) requirements. Previous employer Member IDs should be available as they are needed during the transfer process.

How can EPF accounts be merged online?

Employees can log into the EPFO Member Portal using their UAN and password credentials.

Under the "Online Services" section, subscribers need to select "One Member–One EPF Account (Transfer Request)." After verifying personal details and employer information, users can retrieve previous employer account records.

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The next step involves selecting either the previous employer or current employer for claim attestation, depending on signatory availability. Users then authenticate the request through an OTP sent to the registered mobile number before submitting the transfer application.

Could EPF transfers become automatic?

EPFO recently proposed a framework that could allow PF balances to transfer automatically when employees switch jobs, eliminating separate requests and reducing paperwork. If implemented, the system may simplify account management for millions of subscribers while making retirement savings tracking more efficient.

For employees with multiple EPF accounts from previous jobs, consolidating them into one active account may help streamline retirement planning and make future withdrawals easier.

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