Growing My Small Business: Should I Register for EPF Now or Wait Until We Hit 20 Employees?

I am running a small software services company with about 15 people. Soon, we will be growing to over 20 employees, and we need to go for EPF registration. I am considering the following options:

Option 1: Go now for EPF registration as a voluntary contribution (as everyone in my company is ready to contribute). Then add new people as and when they join.

Option 2: Wait until the employee strength becomes 20 and then go for EPF registration.

Experts, please give your valuable guidance on which option to choose. Also, if I choose option 1 and we grow to more than 20 people at a later date, what do I need to do?

Hi there,

Even if the employee strength is less than 20, you can have voluntary registration. Once the employee strength reaches 20 and above, there are no changes. You can simply continue to add them to the contribution list and contribute for the employees who join.

Thank you.

Hi Jeeva, I hope you're doing well.

As you mentioned in the previous discussion, if the number of employees is less than 20, can we opt for voluntary registration? Will the terms and conditions remain the same?

Yes. Whether through voluntary registration or mandatory registration, all the terms and conditions, forms, and formalities will remain the same.