How much amount can you withdraw from PF Account? Learn what are the latest terms and conditions
If you do a job then obviously you also have a PF account. Every month the amount of contribution made by you and your employer is deposited in the PF account. Many times such situations arise when you need to withdraw some amount from the money deposited in your PF account while in the job. But do you know when and how much zodiac you can withdraw from your PF zodiac? The EPFO has actually fixed some rules for this and there are some conditions, which you should already understand. This will not cause you any further trouble. Come, let’s discuss the important things related to it here.
EPF advances can be removed for marriage
According to the rules of Para 68K of Employees Provident Fund Scheme, 1952, you can withdraw money for marriage but PF account holder should be EPF members for at least 7 years. Also, their EPF account should have minimum ₹ 1,000. PF account holders can withdraw up to 50% of their own contribution to EPF, including interest. You can also use EPF advance for marriage or also for your marriage or your siblings or child marriage.
EPF Advance for Education
According to the EPFO rule, there is permission to withdraw money for children’s education. There are similar rules as marriage. EPFO members can withdraw money only three times in their lifetime, and the maximum limit of withdrawal is 50% of their own contribution to funds including interest. EPF advances for education can only remove the members who have completed at least 7 years in EPF.
Can remove advance for home
To buy or build a house, PF holders can withdraw EPF money under certain conditions. To buy home/land or build a house, the member should complete at least five years of EPF membership according to the EPF scheme, 1952. For home repair or improvement, members can withdraw money five years after the completion of the house. For additional repair, a person can withdraw money after 10 years from the first withdrawal. EPF members can withdraw money only once for this purpose.
Permission is to remove advance for medical purpose
The terms of withdrawing EPF amount due to medical reasons are flexible. Members can remove at any time, even after joining. According to Para 68J of EPF Scheme, 1952, EPF advances can be removed as many times necessary.
One year before retirement
If a member wants to withdraw the amount a year before retirement, he is allowed to withdraw up to 90% of the total PF fund a year before retirement according to the EPF scheme, Para 68 NN of 1952, and members can do it only once.
For disability
For physically handicapped members, the EPF scheme, according to Para 68N of 1952, is allowed to withdraw the original salary and share of the employee including DA, or interest, or the cost of equipment, whichever is low. Members can withdraw money every three years to buy equipment to reduce the problems caused by disability.
Under the circumstances of unemployment
According to the news of UPSTOX, in the event of the company/institution being closed for more than 15 days, and when employees become unemployed without any compensation, members can withdraw the share of the employee including interest, according to Para 68H of 1952, 1952. If an employee has not received salary for more than two consecutive months, he can withdraw his share of interest.
To repay the loan
To pay the outstanding principal and interest of the loan taken for buying/building or repairing a house, Member EPF Scheme, according to Para 68 BB of 1952, if the PF account holder is EPF members for at least 10 years, they can withdraw money. Members can withdraw 36 months basic salary and DA, or the total interest of the employee and employer’s share, or the total outstanding principal and interest, whichever is low.
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