EPFO withdrawal update: Statutory body announces big changes for withdrawing PF balance | Step-by-step guide
The EPFO has announced big changes for withdrawing PF advance. Scroll down to read the guidelines and new rules.
EPFO- Representational Image
EPFO withdrawal update: In a big update for subscribers of Employees' Provident Fund Organization (EPFO), the statutory body has announced several updates in the EPF advance rules. In its recent post on social media platform X, the EPFO shared comprehensive details PF advance withdrawals, including how many times employees can withdraw funds for various purposes. For those unversed, Employee Provident Fund (EPF) is a government-backed savings scheme in India that helps salaried workers build a retirement fund. Here are all the details you need to know about the recent update shared by the EPFO regarding advances.
EPFO withdrawal details: Step-by-side guide
Category 1 EPFO withdrawal rule:
- In the case of health issues of self and family, there is no limit on the number of times you can withdraw your money.
- In case of educational needs of self and family, the amount can be withdrawal ten times during the membership period.
- In case of marriage of self and family, the amount can be withdrawal five times during the membership period.
Category 2 EPFO withdrawal rule: In case of housing related needs, the amount can be withdrawal five times during the membership period.
Category 3 EPFO withdrawal rule: In case of special circumstance (notified by Central Board, EPF0, the amount can be withdrawal 2 times during the membership period.
Note: You can withdraw up to 100% of your eligible balance (defined as 75% of your total PF corpus), while retaining a minimum 25% balance to continue earning interest after completing 12 months of membership.
Also read: Good news for over 7 crore EPFO subscribers as Modi govt ratifies 8.25 pc EPF interest rate for FY26
EPFO claims via BHIM-UPI likely within a month
In another big update for the EPFO subscribers, the statutory body is set to introduce a new claim settlement mechanism through the BHIM app, enabling members to receive settlements directly in their UPI-linked bank accounts, with the framework expected to be rolled out within a month, Central Provident Fund Commissioner Ramesh Krishnamurthy said.
The move is part of EPFO's broader push to modernise its services and improve the experience for both employees and employers.
New framework would allow members to submit claims through the BHIM app
Speaking to new agency IANS, Krishnamurthy said the new framework would allow members to submit claims through the BHIM app, with the amount being credited directly to their UPI-linked bank accounts, making the settlement process faster and more seamless.
"The claim settlement process we'll be introducing through the BHIM app and to, the claim will be settled to the UPI-linked bank account. So, this framework will also get implemented in maybe maximum a month from now," Krishnamurthy said.
(With inputs from agencies)
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