EPFO: Members of the Employees’ Provident Fund Organization (EPFO) can easily withdraw the entire amount from their PF account. The rules for partial withdrawals have also been simplified. Withdrawals are now allowed after 12 months of service.
EPFO: Employed individuals will now be able to withdraw the full amount from their PF accounts. However, there will be a requirement to maintain a minimum balance of 25%. This means that you will be able to withdraw 75% of your PF account easily. Withdrawing from your EPF will now be easier than ever. It’s also a relief that you won’t need to provide a reason for withdrawing 75% of your funds. In cases of natural disasters, pandemics, job loss (unemployment), and other such special circumstances, you will be able to withdraw funds without providing a reason.
To further modernize its services, the EPFO has approved the “EPFO 3.0” digital transformation framework, which will include features such as cloud-based technology, mobile apps, and automatic claim settlement.
100% Withdrawal Facility
EPFO has eliminated 13 previous, onerous rules and now allows partial withdrawals in only three categories: essential needs (illness, education, marriage), housing needs (house-related expenses), and special circumstances. Members will now be able to withdraw the entire balance in their PF account (including both employee and employer portions). Previously, only three withdrawals were allowed for education and marriage, but now 10 withdrawals can be made for education and five for marriage.
Additionally, the minimum service period, which previously varied for different requirements, has been reduced to 12 months. The most significant change is that employees can now withdraw up to 100% of the balance in their account, including both the employee and employer contributions.
25% minimum balance required
EPFO has also ensured that members always maintain a minimum balance of 25% in their accounts. This will ensure that members continue to benefit from an interest rate of 8.25% and compound interest, which will help them build a substantial retirement corpus.
Withdrawals without explanation
Previously, in special circumstances (such as natural disasters, unemployment, or pandemics), a reason had to be given for withdrawals. Claims were often rejected in these circumstances. Now, this hassle has been eliminated. Members will be able to withdraw money without explanation under special circumstances.
How to withdraw money from EPF online?
These conditions must be met for online EPF withdrawals:
1. The UAN must be active and the registered mobile number must be working.
2. The UAN must have KYC (Aadhaar, PAN, bank details, and IFSC) linked to it.
3. If these conditions are met, employer verification is not required.
Steps to withdraw EPF on the UAN portal
1. Go to the UAN portal. Login with your UAN and password, enter the captcha, and click “Sign In.”
2. Go to Manage > KYC and verify your Aadhaar, PAN, and bank details.
3. Select Online Services > Claim (Form-31, 19, 10C, and 10D).
4. Enter your bank account number and verify.
5. Click “Yes” and sign the certificate of undertaking.
6. Click on “Proceed for Online Claim.”
7. Select the withdrawal type in the “I Want To Apply For” section:
Full EPF settlement
Partial PF withdrawal
Pension withdrawal
8. Fill out the form and click “Submit Certificates.” Upload scanned documents if required.
9. After your claim is verified, the money will be credited to your account.
