Big News For Pensioners: 7 Key Changes That Will Make Pension Claims Easier!

Recently, the Employees’ Provident Fund Organisation (EPFO) has made changes and updates in the Provident Fund and pension accounts of people. A total of 7 changes, ranging from Dearness Relief to UAN activation, have been announced by the EPFO. All the changes are expected to make the lives of people much easier and smoother than before.

Read the article to learn more about the changes announced by the EPFO on PFs and pension accounts.

1. Linking Bank Account With UAN

To link one’s bank account with their respective Universal Account Number (UAN), people are no longer required to scan and upload copies of bank-related documents like cheques or a passbook. Also, from now on, employees don’t have to get their employer’s approval as well. This will make the process of linking bank accounts with one’s UAN quicker and smoother.

2. Better IT System

The Information Technology (IT) system has been revamped by the EPFO to increase the efficiency of the existing system. People would now be able to get the PF approvals quickly, make withdrawals in a week, which used to take around 10-15 days, and many other functions.

3. Facial Recognition

The Employees’ Provident Fund Organisation has introduced an extra security measure in the form of facial recognition. All those individuals who want to activate their UANs are now required to go through facial recognition through the UMANG application from the comfort of their homes. With just a few steps, interested and eligible people can activate their UANs and carry out all the functions, such as checking the passbook, KYC updates, etc.

4. Updated Form 13

EPFO has updated Form 13 (Transfer-Out) under which individuals who are planning to change their jobs don’t have to get approvals from their old and new offices for the transfer of EPF and EPS amounts; they are only required to get approval from the EPFO’s source office.

5. Dearness Relief (DR)

For pensioners, the Dearness Relief (DR) has been increased by 2%, which will make the total percentage 55% from 53%. This has already been implemented as of January 1st of 2025.

6. Centralised Pension Payments

The authorities announced a new system called the Centralised Pension Payments (CPPS) for all the offices of EPFO. Under Centralised Pension Payments, pensioners can visit any bank to withdraw their pensions and are also no longer required to visit banks for verification purposes.

Read More: Comparing India’s Pension Schemes: Differences Between OPS, NPS, & The New UPS

7. No Documentation For Home Improvement

Pensioners and employees can claim funds for home additions or alterations following Para 68B (7). They also don’t have to submit any documents as long as they prove that at least 5 years have passed since their house's completion.