2 weeks ago
21 lakh inactive EPF accounts hold ₹8,500 crore; govt acts
Many workers in India have a special savings account called a Provident Fund, where a part of their salary is saved for the future.
The government found that more than 21 lakh of these accounts have not been touched for a long time.
Together, the money in these quiet accounts is worth about ₹8,500 crore.
Most of the time, this happens because workers leave their jobs and forget to ask for their money.
The government keeps track of how many such accounts exist every year, and the number has been growing.
One reason is that the government is now better at finding these accounts using Aadhaar details.
If you do not take your money out even after you turn 58, the account stops earning interest.
To help people, the government has made a new plan where claims can be started automatically.
This way, the money can be sent directly to people's bank accounts without them having to do much.
The government told the Rajya Sabha that 21,55,387 EPF accounts with a balance of ₹8,505.23 crore were inoperative in 2023-24.
Inoperative EPF accounts have risen sharply from 11,72,923 in 2020-21 to 13,41,848 in 2021-22 and 17,44,518 in 2022-23.
Minister of State for Labour and Employment Sushri Shobha Karandlaje said the main reason is members not filing claims after exiting service.
The KYC updation drive involving Aadhaar seeding has also led to more accounts being reclassified as inoperative.
The new EPF Scheme, 2026 will auto-initiate claims for direct credit of accumulations to Aadhaar-seeded bank accounts.
EPFO continues to credit interest on accounts until the member turns 58, after which accounts may become inoperative.
- Who
- The Ministry of Labour and Employment, Minister of State Sushri Shobha Karandlaje, and the Employees' Provident Fund Organisation (EPFO); the issue was raised by Neeraj Dangi in the Rajya Sabha.
- What
- Over 21 lakh EPF accounts with around ₹8,505 crore in balance were classified as inoperative in 2023-24, and the government outlined reasons and measures to fix the issue.
- Where
- India, in a reply presented to the Rajya Sabha.
- When
- The government informed the Rajya Sabha on Thursday, August 13, with financial-year data from 2020-21 to 2023-24.
- Why
- Accounts become inoperative mainly because members do not file claims after exiting service, and the KYC/Aadhaar updation drive has newly classified previously unidentified accounts as inoperative.
Key facts
- Inoperative accounts (2023-24)
- 21,55,387
- Balance in inoperative accounts (2023-24)
- ₹8,505.23 crore
- Claims settled (2023-24)
- ₹2,673.98 crore
- Inoperative accounts (2022-23)
- 17,44,518 with ₹6,804.88 crore balance
- Inoperative accounts (2020-21)
- 11,72,923 with ₹3,930.85 crore balance
- Main reason for inactivity
- Non-filing of claims by members after exiting service
- Key government measure
- Auto-initiation of EPF claims under the new EPF Scheme, 2026
- Interest rule
- Interest is credited until the member turns 58; after that, interest stops and the account becomes inoperative





