look news india
PF Withdrawal Limit: The Employees Provident Fund Organization (EPFO) has made a big change. PF account holders will now be able to withdraw up to Rs 1 lakh instead of Rs 50 thousand. Union Labor Minister Mansukh Mandaviya announced this earlier this week on the occasion of the completion of 100 days of the government. Along with this, another change has been made in the rules.
Mansukh Mandaviya said that if you are an EPFO account holder and there is an emergency in the family, then now you can withdraw more money. He said that the limit of lump sum amount has been increased. Also, the facility of withdrawal has been given within 6 months of starting the job. Earlier PF account holders had to wait a long time. That is, even if they leave the job within 6 months, they will still be able to withdraw money from their PF account.
New digital infrastructure also launched
The minister further said that the government is making efforts to enhance EPFO operations, aimed at reducing challenges for subscribers. He announced the launch of a new digital infrastructure that simplifies the withdrawal process and allows quick withdrawal of money.
For what purposes can you withdraw this fund
EPFO provides many services to its account holders. It provides the facility to withdraw money for everything from pension to medical or other important purposes. Now, instead of Rs 50,000, withdrawal of Rs 1 lakh from PF has been allowed as an emergency fund, that is, you can withdraw money from PF for medical, marriage, education or other important family needs.
How can you withdraw money from a PF account?
- PF account holders can withdraw money from the EPFO account for medical treatment, education or any family-related emergency.
- First of all you have to visit the EPFO member e-service portal. Go to the member section here.
- After this log in using UAN (Universal Account Number), password and captcha.
- After logging in, go to the 'Online Services' tab and select 'Claim (Form-31, 19, 10C & 10D)' from the drop-down menu.
- Now verify your personal details like name, date of birth and other information and update the details before proceeding.
- Now select Form 31 for partial withdrawal and mention the reason for withdrawal from the list.
- After submitting this, an OTP will come on the mobile number linked to your Aadhaar, enter it.
- After submitting the application, you can check the status of your claim under the 'Track Claim Status' option in the 'Online Services' tab.
- Usually the money will be transferred to your bank account by EPFO within 7 to 10 working days.
8.25% interest this year
Provident funds like EPFO provide retirement income to over 10 million employees in the organised sector. These funds serve as the primary source of lifetime savings for working individuals, especially the salaried middle class. The interest rate on savings is currently fixed by the EPFO at 8.25 per cent for the financial year 2024.
It is worth noting that the Employees' Provident Fund Organization (EPFO) oversees various employee-related schemes such as provident fund, pension and insurance for organized sector employees. One of the primary schemes managed by the EPFO is the Employees' Provident Fund (EPF) scheme. The government has now eased the rules and increased the limit of lump sum withdrawal from Provident Fund (PF) accounts.