PF Withdrawal Last Updated : 16 Oct 2019

Employee Provident Fund (EPF) is a savings scheme that enables EPF members to save for retirement. Upon reaching maturity, the accumulated funds in an EPF account can be used as a retirement corpus by the employee to lead a comfortable life in the absence of a regular income.

The employee and employer contribute 12% of the employee’s basic salary and dearness allowance to the EPF account regularly. 3.67% of the employer’s contribution goes to EPF while 8.33% goes to EPS. The contributions and the interest accrued over the tenure is paid to the employee at maturity or whenever PF is withdrawn.

For more information, Check out related articles UAN registration, UAN Login, PF Withdrawal Rules & EPF Claim Status

Partial PF withdrawals

Partial PF withdrawals are allowed in special cases in the form of a loan or an advance, where the account holder gives the following reasons - purchasing a house, education, wedding, or medical expenses.

Reasons for partial withdrawal Withdrawal limit Conditions to be met
Medical treatment of self, spouse, children, and parents 6 times the employee's monthly salary No service period or lock-in period to be met for this purpose
Wedding of self, siblings, and children Up to 50% of the employee's contribution with interest After completion of 7 years of service
Education for self or children after 10th standard Up to 50% of the employee’s contribution with interest After completion of 7 years of service
Purchase/construction of land or house for self or jointly with spouse
  • 24 times the employee's monthly salary for purchasing a plot or land
  • 36 times the employee's monthly salary for purchasing or constructing a house
After completion of 5 years of service
House renovation of a property owned by self or jointly with spouse Up to 12 times the employee's monthly salary After completion of 5 years of service
Home loan repayment for a property purchased and owned by self or jointly with spouse Up to 90% of the EPF account balance After completion of 3 years of service
12 months before retirement Up to 90% of the EPF balance After turning 54 years old or within 1 year before retirement on superannuation, whichever is later

When are Funds Payable to a PF Account Holder?

A Provident Fund member can withdraw the entire amount in his/her account under the following circumstances:

  • After reaching retirement age.
  • If the account holder resigns due to permanent/total mental or bodily incapacity as certified by a doctor.
  • Migrating to other countries from India for permanent relocation or taking up employment outside.
  • If service has been terminated due to individual or mass retrenchment.
  • In cases where a person is transferred by an employer from one establishment to another, discharged and given retrenchment compensation, or is suffering from a severe illness.
  • Upon death of an account holder, the amount is payable to a nominee. If there is no nominee, then the amount will be distributed in equal shares to his/her family members.

PF Withdrawal Offline

  1. Download Form 19 and Form 10C.
  2. The filled-in forms have to be submitted with a blank cheque.
  3. If going through the employer, then submit the above-mentioned documents to the employer.
  4. If the withdrawal application is not going through the employer, then another method is to get attestation from the bank manager.
  5. The completed/attested forms have to be sent to the regional PF Office for further approvals.

The regional PF Office will take atleast a month to process the withdrawal application. The Employees' Provident Fund Organisation (EPFO) will credit the PF amount directly to the applicant's bank account.

PF Withdrawal Online

EPF members can use their UAN and Aadhaar to make PF withdrawals online. The Employees' Provident Fund Organisation has launched the online PF withdrawal feature. Using the online platform, settlements will be done quickly as it is only the matter of transferring the funds from the EPF account to the member’s bank account. Any customer who wants to use the online PF withdrawal facility should have linked his/her Aadhaar, Bank Account, PAN, and Unique Account Number.

EPFO Guidelines for Initiating PF Withdrawal Claims Online

  1. EPF subscribers with activated UAN (Universal Account Number) and their EPF account seeded with Aadhaar can submit online claims for final settlement, pension withdrawal benefit, or part withdrawal of PF.
  2. The PAN details of the subscriber should also be seeded in the EPFO database if their service period is lower than 5 years.
  3. Subscribers should sign in at EPF’s member interface with their UAN credentials.
  4. They can select the claim they need settled and authenticate the same with the help of an OTP (one-time password) received at their mobile number registered with Aadhaar to complete the claim submission.
  5. Once submitted, the claim goes to EPFO database where it is processed, and the sum gets credited to the subscriber’s bank account.

How to Submit PF Withdrawal Claim Online

After EPFO had launched a new online facility for submitting PF withdrawal claims, the subscribers are no longer required to approach their employers for PF claims. Follow the below steps:

  1. Visit the EPFO website - https://unifiedportal-mem.epfindia.gov.in/memberinterface/.
  2. Enter UAN, password, and captcha to log in to the UAN portal.
  3. To ensure your KYC details are correct and verified, click on the ‘Manage’ tab and select ‘KYC’.
  4. To view member details, click on the ‘Online Services’ tab and select ‘Claim’.
  5. To submit EPF withdrawal claim, click on ‘Proceed For Online Claim’.
  6. Choose the type of claim you want to apply for - Full EPF Settlement, Part EPF Withdrawal, or Pension Withdrawal.

Acceptable Reasons for PF withdrawals

Premature withdrawal of funds from EPF is allowed for certain reasons which are specified below:

For purchasing a dwelling house or a flat/Construction of a house and purchase of a site for the same

  1. PF withdrawals can be done for purchasing a house or a flat where the account holder's family would reside. Additionally, if the account holder wants to construct a house on a site bought from the State Government, Centre, co-operative society, trust, institution, local body, or Housing Finance Corporation, withdrawals can be done.
  2. Withdrawals can be done for purchasing a site for construction or for buying a built-in house from any individual or for purchasing a flat from any promoter.
  3. PF withdrawals can be done for constructing a house on a vacant site owned by spouse or the account holder or for completing the construction of a house.

Terms and Conditions

  1. Money withdrawn for buying sites on which houses will be constructed should not be more than the holder's basic salary and dearness allowance for a period of 24 months.
  2. When withdrawals are done for purchasing ready-to-occupy flats or houses and for house constructions, the amount should not be more than the holder's basic salary and dearness allowance for a period of 36 months.
  3. Withdrawals can be done only if the member's PF account is more than 5 years old, the member's contribution is more than Rs.1,000 and a declaration is got from the holder saying that the property that is being purchased is free of encumbrances and is in the name of the holder or the spouse.
  4. Withdrawals cannot be done for buying a share from a joint property or for construction of a house on a jointly owned site, except with spouse.
  5. When a withdrawal is granted for purchasing a dwelling house or a dwelling site, the money would not be paid to the holder, but the agency in multiple installments.
  6. When a withdrawal is sanctioned for dwelling house construction, the money would not be paid to the holder in multiple installments.
  7. When a withdrawal is granted for purchasing a dwelling flat from a promoter, which is owned by the member, the money would be paid to the holder in multiple installments.
  8. Additional withdrawals can also be for an amount up to 12 months' basic salary and dearness allowance to renovate and make improvements to existing houses. The dwelling house should be owned by the member or jointly with the spouse.
Reasons for PF Withdrawal Eligibility PF Forms to be Submitted KYC Documents
Purchase of sites for House Construction The PF account should be 5 years old, with a minimum balance of Rs.1,000. Form 31 to be submitted for making withdrawals. A declaration from the account holder quoting that the new property is free from any encumbrance and is registered in his/her name or the spouse's name.
House Construction The PF account should be 5 years old, with a minimum balance of Rs.1,000. Form 31 to be submitted for making withdrawals. A declaration from the account holder quoting that the new property is free from any encumbrance and is registered in his/her name or the spouse's name.
Purchase of Flats The PF account should be 5 years old, with a minimum balance of Rs.1,000. Form 31 to be submitted for making withdrawals. A declaration from the account holder quoting that the new property is free from any encumbrance and is registered in his/her name or the spouse's name.
Renovation/ Improvements to Houses 5 years after the house has been constructed. Form 31 to be submitted for making withdrawals. -

For repayment of home loan

Withdrawals will also be sanctioned for the partial or complete repayment of loans taken from nationalised banks, State Government, State Housing Board, registered co-operative society, or Municipal Corporation. The loan availed should be in the name of the account holder or his/her spouse. The amount that is withdrawn should not exceed 90% of the EPF balance. Once the withdrawal request has been made, the payment will be made directly to the lender and not to the account holder.

Reasons for PF Withdrawal Eligibility PF Forms to be Submitted KYC Documents
Advances taken for home loan repayment PF account should be 3 years old Form 31 to be submitted for making withdrawals Account holder has to provide a certificate from the lender with the complete loan details, outstanding amount, and repayments

For purchasing a dwelling house or a flat/Constructing a house inclusive of a site owned by the account holder

For acquiring a house or a flat and for constructing a house along with the purchase of a site, PF withdrawals can be done by the account holder. For making such withdrawals, the PF account has to be 5 years old and the minimum balance in the account should be atleast Rs.20,000. The amount will be sent directly to the Housing agency or Government agency in multiple installments.

Grant of withdrawals for special cases

An advance for an amount not exceeding the employee's contribution can be granted if the account holder remains without any employment for a period of more than 15 days, when work units like industries or factories have been closed down. If an employee does not receive any wages for over 2 months for reasons other than strikes, a non-recoverable advance might be given to him/her. If the factories continue to remain shut for over 6 months, then another advance can be granted for up to 100% of the total contribution done by the employer along with the interest. The advances given will be interest free and will be recovered in monthly installments.

Withdrawals for illness and hospitalisation

A non-refundable advance will be given for hospitalisation for more than 1 month, major surgeries and to persons suffering from T.B., paralysis, mental derangement, cancer, leprosy, or other heart ailments. The advance will be given if the employer states that the employee does not get any Employees' State Insurance Scheme benefits or if the doctor certifies that surgery or hospitalisation is mandatory. Account holders can also take advance for meeting major surgery expenses and illness treatments for their family members. A statement from the doctor and the account holder's employer is required. The advance amount that will be granted should not be more than 6 months' dearness allowance and basic salary or the employee's contribution amount, whichever is lesser.

Reasons for PF Withdrawal Eligibility PF Forms to be Submitted KYC Documents
Advances taken for Illness or hospitalisation Hospitalisation should be for a month or more Form 31 to be submitted for making withdrawals The doctor should certify the need for surgery or hospitalisation

Advances for education or marriages of children/siblings/self

A non-refundable advance can be taken for the account holder's, children's or sibling's wedding or for education purposes. The amount that will be sanctioned should not be more than 50% of the employee's contribution. Account holders cannot take more than 3 advance amounts for these purposes.

Reasons for PF Withdrawal Eligibility PF Forms to be Submitted KYC Documents
Advances taken for marriages/education PF account should be 7 years old, with a minimum balance of Rs.1,000 Form 31 to be submitted for making withdrawals Account holder has to submit a declaration with the employer's attestation

Advances applicable under abnormal conditions

Advances will be granted to persons whose property has been damaged by calamities like floods, earthquakes, and riots. The advance amount that would be given is Rs.5,000 or 50% of the employee's contribution amount with interest, whichever is less. Advances might not be sanctioned if the State has stated that the calamity has affected public areas, if certificates are obtained by the holder from unauthorised sources or the application is made within four months from the declaration date.

Reasons for PF Withdrawal Eligibility PF Forms to be Submitted KYC Documents
Advances taken under abnormal conditions Certificate from the correct authorities verifying the damage, and declaration of the State Government Form 31 to be submitted for making withdrawals Certificate from recognised authorities

Advances given to persons affected by electricity cuts

If electricity has been cut at a worksite where the person is employed, then a non-refundable advance might be given. The advance will be granted only if the wages for a month starting from January 1973 has been less than 3/4th or equal to 3/4th. The amount that will be sanctioned is Rs.300, or the wage amount, or the employee's total contribution amount. Advance will not be paid if the State Government does not certify the electricity cut and the employer doesn’t give a certificate stating that the pay drop was due to the electricity cut.

Reasons for PF Withdrawal Eligibility PF Forms to be Submitted KYC Documents
Reasons for PF Withdrawal Eligibility PF Forms to be Submitted KYC Documents
Advances taken by persons affected by electricity cuts Advance will be granted only if the wages for a month starting from January 1973 has been less that 3/4th or equal to 3/4th Form 31 to be submitted for making withdrawals State Government's Certificate about the electricity cut

Advances given to physically-handicapped persons

Any account holder who is physically-handicapped can get an advance to purchase any equipment to aid him with his daily activities. The advance will be given only if the account holder has a medical certificate from a doctor stating that he is physically handicapped. The amount sanctioned is up to 6 months' basic salary and dearness allowance, or the cost of equipment, or the employee's total contribution amount, whichever is lesser. Another advance amount will not be given within 3 years of availing the first advance amount. Form 31 and the doctor's certificate have to be submitted for getting advances under this category.

Withdrawals done a year before retirement

PF account holders can withdraw up to 90% of the accrued amount before one year of retirement. Final withdrawal of EPF balance is permitted upon retirement or 2 months after quitting the job. EPF members can opt for pension upon superannuation or post quitting service after turning 50 years old subject to 10 years' service.

Withdrawals at the age of 55 for investing in Varishtha Pension Bima Yojana

Provident fund account holders can withdraw up to 90% of the accrued amount after he/she reaches the age of 55 to invest in the Varishtha Pension Bima Yojana offered by the Life Insurance Corporation of India.

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