A big gift from EPFO to the workforce! Instantly withdraw 75% of your PF if you lose your job...
For salaried individuals, the Employees' Provident Fund Organisation (EPFO) serves not merely as a retirement safety net but also as a vital 'crisis manager' during difficult times. People often mistakenly believe that PF funds can only be withdrawn upon retirement or during total unemployment. However, the EPFO has introduced several flexible provisions to ensure employees do not face financial hardship during emergencies.
**Withdraw 75% of funds upon job loss**
Losing a job is one of the most stressful experiences for any employee. To provide financial support during such times, the EPFO has significantly simplified withdrawal rules.
Under the new rules, if you lose your job for any reason and remain unemployed for one month, you can withdraw 75% of the total amount accumulated in your PF account. Withdrawing this 75% helps meet your financial needs, and the best part is that your PF account remains active. If you secure a new job after a month, you can transfer the same account to your new employer. Conversely, if you remain unemployed for two months, you can withdraw the remaining 25% and opt for a full and final settlement of the account.
**Advance available for home repairs too**
If you have purchased or built a home that now requires painting, repairs, alterations, or renovation, the EPFO allows you to withdraw funds for these purposes.
You can withdraw an amount equal to the lowest of the following three figures: 12 months of your basic salary plus Dearness Allowance (DA), the employee's share of contribution (including interest), or the actual cost of the repairs. To avail of this facility, you must have been an EPFO member for at least five years (meaning you have completed five years of service). Additionally, the house or flat must be registered in your (the employee's) name, your spouse's name, or jointly in both names.
How to withdraw money from the comfort of your home?
You no longer need to make repeated visits to your former employer or the PF office to withdraw your PF. You can complete this process online using your mobile phone or laptop from the comfort of your home.
1. Log in to the EPFO's 'Member e-Sewa Portal' using your UAN (Universal Account Number) and password.
2. Go to the 'Online Services' tab and click on 'Claim (Form-31, 19, 10C & 10D)'.
4. Enter the required amount and fill in your full address.
5. Finally, submit the claim by entering the OTP sent to the mobile number linked to your Aadhaar.
Disclaimer: This content has been sourced and edited from Dainik Jagran. While we have made modifications for clarity and presentation, the original content belongs to its respective authors and website. We do not claim ownership of the content.