Employees can now withdraw 100% of EPF under special circumstances

In a significant move aimed at providing greater flexibility to employees, the Employees’ Provident Fund Organisation (EPFO) has removed the earlier cap on the number of partial withdrawals for marriage and education purposes.

According to a statement from the Ministry of Labour and Employment, members can now withdraw funds up to ten times for education and five times for marriage, as opposed to the previous combined limit of three withdrawals for both purposes.

The changes are part of a broader effort to simplify the withdrawal process and reduce procedural restrictions for employees seeking access to their savings.

The ministry has also introduced a ‘special circumstances’ category, allowing EPF members to withdraw funds without specifying a particular reason. This new provision replaces the earlier rule that required applicants to justify their withdrawal requests, offering employees more autonomy over their savings.

Alongside these changes, the EPFO Board, chaired by Union Labour and Employment Minister Mansukh Mandaviya and comprising representatives of both employers and employees, approved a reduction in the minimum service period required for certain types of withdrawals.

Members will now be eligible to withdraw funds for housing after completing 12 months of service, for education and marriage after seven years, and for other purposes at any time during service.

Withdrawing from the Provident Fund is a major financial step for many employees, and the EPFO has streamlined the process to make it accessible online. Members need to have the following documents ready:

Universal Account Number (UAN)

Bank account details and a cancelled cheque showing account number and IFSC code

Identity and address proof (Aadhaar, PAN, passport, etc.)

The online withdrawal process can be completed by following these simple steps:

1. Open the official UAN portal in your web browser.
2. Sign in using your UAN and password, and complete the captcha.
3. Go to Manage → KYC and check that your Aadhaar, PAN and bank details are entered and verified.
4. After KYC verification, go to Online Services → Claim.
5. On the claim page, enter your bank account number again and click
   Verify to confirm the details.
6. Tick Yes to accept the certificate of undertaking.
7. Click Proceed for Online Claim to open the claim form.
8. Under I Want To Apply For, select the type of claim (housing, education, marriage, or special circumstances).
9. Upload scanned copies of supporting documents if prompted by the system.
10. Review all details carefully, then submit the claim by clicking the final certificate/submit button.
    
    
    

After submission, members receive an acknowledgement on screen and an update via SMS on their registered mobile. The EPFO processes the claim and transfers the money directly to the verified bank account once all information is verified.

The relaxation of withdrawal caps, along with the simplified online procedure, represents a substantial reform in accessing Provident Fund savings. These changes not only reduce administrative hurdles but also reflect the government’s broader intent to make the EPF system more employee-friendly, with online interest in PF withdrawals surging following the announcements.