What is Provident Fund?
PF is a retirement savings scheme introduced by the Employees provident fund organization in 1952. All organizations having more than 20 employees are eligible under this scheme. Both the employees and employers have to contribute 12% of their basic pay.
When it can be withdrawn
1. An employee can opt to withdraw either fully or partially.
An employee can withdraw fully when,
- He/She gets retired
- And, when he/she are unemployed for more than 2 months
2. An employee can withdraw the PF amount partially under certain emergencies
Reason for withdrawal
Years of service required
Limit of withdrawal
|1||Education||7 years||50% of his contributions|
|2||For house construction/purchasing plot||5 years||a. For purchasing land/plot – 24 months of the basic salary including dearness allowance
b. For constructing a house – 36 months of the basic salary including dearness allowance
|3||House renovation||5 years||a. For purchasing land/plot – 24 months of the basic salary including dearness allowance
b. For constructing a house – 36 months of the basic salary including dearness allowance 12 times of monthly salary
|4||Medical||No lock-in period||An employee can withdraw up to 6 times the monthly (basic)salary.|
|5||Marriage||7 years||An employee can withdraw up to 50% of his contributions|
|6||Years before retirement||Once an individual reaches 54 years||90% of his balance|
Steps to withdraw provident fund balance online
- Visit the EPFO portal – https://www.epfindia.gov.in/
- Select the “For Employees” alternative under the “Our Services” tab.
- On the new page click on the “Part UAN/Online Service (OCS/OTCP)” choice under the “Services” tab of the “For Employees” page.
- This will redirect you to another website page. Sign in to the entrance utilizing your UAN, password, and the Captcha code.
- Click on the “KYC” alternative under the “Manage” tab.
- You will be diverted to another website page. Look down to the base of the page to discover the “Digitally Approved KYC” area and check your KYC details. Guarantee the details are right.
- Click on the “Online Service” tab from the top menu to continue with the withdrawal if all the KYC details are right.
- Next, click on the “CLAIM (FORM-31, 19, and 10C)” option from the drop-down menu.
- Later, click on the Claim Form.
- You will be redirected to another site page with an automatically produced “ONLINE CLAIM (FORM 31, 19, and 10C)” structure.
- Next, you will be required to enter the Last 4 digits of your bank account number and check the equivalent.
- After the confirmation of the account, an “Authentication of Undertaking” will be produced. Snap “Yes” on the pop-up to continue.
- Click on the “Continue for Online Claim” alternative.
- For online withdrawal, select the “PF ADVANCE (FORM – 31)” choice starting from the drop menu given by the “I want to apply for” option.
- An explanation behind the case must be chosen to start from the drop alternatives given beside the “Reason for which advance is required” choice. The fields accommodated the location of the worker and the sum for the advance is likewise required to be filled.
- Click on the checkbox toward the finish of the page and present your withdrawal application.
- You may be required to upload certain scanned documents (relies upon the idea of withdrawal).
- When the employer favors the withdrawal demand, the withdrawal sum will be pulled back from the EPF account and will be deposited into the particular financial balance. When the claim has been settled, you will get an SMS notification on your registered mobile number.
Steps to withdraw PF balance offline
- To withdraw the PF balance, an individual should fill the form 19. It is available in the regional office or from the EPF website.
- Then fill the specified fields with the relevant information in the application.
- And attest to the signature of any gazette officer or postmaster or notary public or magistrate officer.
- Along with the application, one must attest to the letter for a reason to withdraw the PF balance.
- Later, submit the withdrawal application to the regional office in the office.
- Once you submit the application, you’ll get the amount within 3 months from the submission of the application.
- You will get the full amount that was subtracted from your account monthly with high interest of concerning 8.75% every year.