The Employee Provident Fund is a mandated savings and retirement program for qualified employees, and its regulations are governed by the Employees’ Provident Fund Organization (EPFO). Employees who participate in the EPFO pay 12% of their base income each month, and their employers match this amount. Every year, the funds pay interest.
When an employee retires, they are entitled to take out their whole EPF balance; however, some rules permit early withdrawals under certain circumstances.
Types of EPF Withdrawal – When can you withdraw EPF?
For employees to organize their money, they must comprehend the regulations about EPF withdrawals. The conditions under which workers may withdraw all or a portion of their EPF corpus are listed below.
Complete PF Withdrawal
In the following circumstances, employees may take out their whole EPF balance:
- Retirement: Upon reaching retirement age, the whole EPF corpus may be withdrawn.
- Unemployment: A person is entitled to withdraw 100% of their EPF corpus if they are jobless for longer than two months. Furthermore, people who have been unemployed for longer than a month are now eligible to withdraw up to 75% of their EPF amount.
Withdrawal From PF Partially
A part of an employee’s EPF balance may also be withdrawn, subject to restrictions based on the reason for the withdrawal and the length of service. The building or purchase of a home, medical care, debt repayment, home renovations, and marriage are some of these particular requirements.
Without The Employer’s Signature, The EPF Withdrawal Process
After submitting the claim online, it is usually feasible to withdraw the EPF amount without the employer’s signature in 15 working days. The Composite Claim Form (Aadhaar) or Form 19 for final settlement, Form 10C for pension withdrawal, and Form 31 for partial withdrawal are the forms that must be submitted to start this withdrawal.
Make sure you have a valid Universal Account Number (UAN), that your KYC information is connected and confirmed, and that your mobile number is linked to your UAN to be eligible for an EPF withdrawal without your employer’s consent. Employee convenience is increased by the ability to withdraw your EPF balance without your employer’s signature, provided certain requirements are satisfied.
Documents Needed To Withdraw From The EPF:
To properly withdraw your EPF balance, you must provide the following paperwork:
- Universal Account Number (UAN): Your personal identifying number for EPF funds is your Universal Account Number (UAN).
- Information on the Bank Account: The specifics of the bank account to which the EPF funds will be sent.
- Verification of Identity and Address: Accurate records attesting to your present identity and address (such as an Aadhar card, passport, or voter ID).
- Cancelled Cheque: A cancelled check with the account number and IFSC code on it so that the transfer can be made easier.
How Many Days Does It Take the EPFO To Settle Or Process A Provident Fund Claim?
The EPFO estimates that processing an EPF claim and transferring funds to an applicant’s bank account takes 15 to 20 days.
The member may inquire with the regional PF commissioner about the delay if the procedure takes longer than expected and the applicant does not get the money by the deadline. The participant can To this, he or she may also register a complaint on the official EPFO website.
