EPFO Withdrawal Rules Simplified: Higher Medical Withdrawal Limit for Employees

The Employees’ Provident Fund Organization (EPFO) has recently updated its withdrawal rules.

This means you can now access your hard-earned savings more flexibly.

Let’s delve into the latest regulations and understand how you can utilize your EPF funds.

Key Changes in EPFO Withdrawal Rules 2024

Enhanced Medical Withdrawal Limit: You can now withdraw up to Rs 1 lakh for medical emergencies for yourself or your family members. T

his is a significant increase from the previous limit of Rs 50,000.

Relaxed Withdrawal Conditions

The EPFO has eased the conditions for partial withdrawals. You can now withdraw funds without a strict contribution period, making it easier to access your money when you need it.

When Can You Withdraw from Your EPF Account

• Medical Emergencies
• Maximum Limit: Rs 1 lakh
• Eligibility: No minimum contribution period

Marriage Expenses

• Maximum Limit: 50% of your contribution (plus interest)
• Eligibility: Minimum 7 years of contribution
• Frequency: Can be availed three times

Children’s Education

• Maximum Limit: 50% of your contribution (plus interest)
• Eligibility: Minimum 7 years of contribution
• Frequency: Can be availed three times

Home Purchase or Construction

• Maximum Limit: 90% of both employee and employer contributions (plus interest)
• Eligibility: Minimum contribution period
• Conditions: Property should be in the name of the employee or spouse
• Frequency: Can be availed once

Home Renovation

• Maximum Limit: 12 times your monthly salary (basic + DA)
• Eligibility: Minimum 5 years of contribution
• Frequency: Can be availed twice with a 10-year gap
• Conditions: Property should be in the name of the employee or spouse

Home Loan Repayment

• Maximum Limit: Up to three years’ salary (basic + DA)
• Eligibility: Minimum 10 years of contribution
• Conditions: Property should be in the name of the employee or spouse
• Frequency: Can be availed once

Pre-Retirement Withdrawal

• Eligibility: Age above 54 years
• Maximum Limit: 90% of the total PF balance

Job Loss

Maximum Limit: 75% of your contribution (plus employer’s share and interest) can be withdrawn immediately.

The remaining 25% can be withdrawn in the next two months.

Tax Implications: No tax is levied on this withdrawal.How to Apply for EPFO Withdrawal

You can apply for EPFO withdrawal online through the Unified Portal (Unified Portal for EPFO). Here’s a brief overview of the process:

Register on the portal: Create an account using your UAN (Universal Account Number) and Aadhaar number.

Submit claim: Fill out the online claim form, providing the required details and documents.

Verification: Your claim will be verified by your employer and EPFO authorities.

Disbursement: Once approved, the withdrawal amount will be credited to your bank account linked to your UAN.