Switching jobs has become a normal part of professional life, but in the process many employees forget to transfer or close their previous Provident Fund (PF) accounts. As a result, small balances remain in those accounts for years without being claimed. Now, there is encouraging news for workers across India. The Employees' Provident Fund Organisation (EPFO) has started a special initiative to return small amounts lying in long-inactive PF accounts.

This move has been launched under the supervision of the Union Ministry of Labour and Employment and is expected to benefit lakhs of employees who may have unknowingly left money in their old PF accounts.

Automatic Refund to Aadhaar-Linked Bank Accounts

One of the biggest advantages of this initiative is convenience. Eligible members do not need to submit a separate claim or visit EPFO offices. Instead, the refund will be credited directly to the bank account that is linked with Aadhaar, provided that the member’s details are correctly updated in EPFO records.

This system aims to simplify the process and ensure that workers receive their unclaimed savings without unnecessary paperwork. Many employees who left jobs years ago may not even realise that they still have a small PF balance. With this new drive, such funds are being identified and returned automatically.

Which PF Accounts Qualify for the Refund?

According to recent data, nearly 31 lakh PF accounts in India have been marked as inactive for a long time. Out of these, around 6 lakh accounts have balances of ₹1,000 or less. These accounts are currently being prioritised for the refund process.

If your PF account has remained inactive for several years and the balance is ₹1,000 or below, the amount may be transferred directly to your Aadhaar-linked bank account. However, this will only happen if the following conditions are met:

• Your Aadhaar number is verified and linked with your Universal Account Number (UAN).

• Your bank account details are correctly updated in the EPFO database.

• Your KYC details are complete and accurate.

If there is any mismatch or missing information in the records, the automatic transfer may not take place. In such cases, you will need to update your KYC details through the EPFO portal to receive the refund smoothly.

What Does an Inactive PF Account Mean?

A PF account is considered inactive when it does not receive any contribution for three consecutive years and no withdrawal has been made during that period. This situation often occurs when employees change jobs but fail to transfer their PF balance to the account linked with their new employer.

It is important to note that an inactive account does not mean the money is lost. Employees can still reactivate their Universal Account Number when they join a new organisation. Once reactivated, the PF balance can be transferred or managed as needed.

There have also been instances where companies deducted PF contributions from employees’ salaries but delayed depositing them with EPFO. To address such issues and improve monitoring, EPFO is integrating its systems with government platforms like the Government e-Marketplace and the GST department. This integration aims to identify non-compliant employers and increase transparency.

Ways to Check Your PF Balance and Status

If you suspect that you may have an old PF account with an unused balance, checking your status is easy and can be done from home. Here are some simple methods:

1. EPFO Member Portal
Log in to the official EPFO member portal using your UAN and password. In the passbook section, you can view details of contributions and your current balance.

2. Mobile App Access
You can also use the government services mobile app to check your PF passbook, claim status, and other services directly from your smartphone.

3. Missed Call Service
Give a missed call from your registered mobile number to receive your PF balance information via SMS.

4. SMS Facility
Send an SMS in the prescribed format from your registered mobile number to instantly receive your PF account details.

What Employees Should Do Now

If you have switched jobs in the past and never checked your previous PF account, this is the right time to review your details. Ensure that your Aadhaar, PAN, and bank account information are properly linked to your UAN. Keeping your KYC updated can prevent delays in receiving refunds.

This initiative highlights the government’s effort to ensure that even small savings reach employees without complex procedures. It also reminds workers to keep track of their PF accounts regularly. After all, even a small amount left behind represents your hard-earned money, and it should rightfully return to you.