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EPFO New Withdrawal Rules: EPFO has made a major change in the rules for withdrawing PF for crores of its account holders. Now employees will not have to wait long to withdraw money from their provident fund. Under EPFO ​​3.0, the facility of PF withdrawal through UPI and ATM is going to start soon. With the introduction of this new facility, the dependence of PF account holders on the company or employer will completely end.

PF withdrawal from UPI

Now withdrawing money from PF account will be as easy as withdrawing money from a normal bank account. Account holders will be able to withdraw their PF funds instantly through UPI apps like PhonePe, Google Pay and Paytm. In this process, verification will be done through Aadhaar OTP and the money will be directly transferred to the linked bank account.

ATM card facility

EPFO is also going to issue PF account linked ATM cards exclusively for its members. With the help of this card, they will be able to easily withdraw their PF money directly from the ATM machine. This facility has been specially designed for those people who have very limited access to the internet.

Increase in auto-settlement limit

EPFO has made a very big and important change in the old limit of auto-settlement. Earlier this limit was Rs 1 lakh, which has now been increased directly to Rs 5 lakh. With this, approximately 95 percent of the claims will be settled within a few hours without any human intervention.

New withdrawal rules

PF members can withdraw 75 percent of their total balance after one month of unemployment. Full withdrawal can be made on completion of two months of unemployment or on retirement at the age of 58 years. For future security, it has been made mandatory to maintain at least 25 percent balance in the account.

Exemption from employer’s approval

Now the employer’s approval is not required at all for withdrawing PF for needs like medical or education. Members can easily file their online claim using Aadhaar based OTP. With this, the delay caused by the company in the old system will now be completely eliminated.

Easy process and banking facility

EPFO has made this entire withdrawal process very simple and completely digital. For this, a special agreement has also been made with 32 big government and private sector banks. With this, verification of claims and payment of money will be done in a very fast and secure manner.

KYC and tax rules

To avail this new facility, members must have Aadhaar and PAN linked to UAN. Withdrawals made from PF account after five years of continuous service are completely tax free. TDS is deducted on withdrawal of more than Rs 50 thousand before five years, hence linking PAN is mandatory.