Redemption of pension funds: Almost every employee pays 12 percent of the salary each month for their Employees ‘Provident Fund (EPF), a popular savings program introduced by the Employees’ Provident Fund Organization (EPFO).
Both the employer and the employee pay 12 percent of the employee’s base salary and love allowance (DA) into the EPF account. In general, PF is withdrawn after a person retires from their service.
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However, there are certain situations or conditions for which an employee can withdraw a partial PF amount before the due date (except for unemployment) including marriage, education, home loan, etc.
According to expert Jitendra Solanki, there are certain eligibility criteria for the withdrawal of the PF under certain conditions.
For the construction or renovation of an apartment: Jitendra said that the eligibility criteria for withdrawing the PF amount for this purpose is that an individual must have at least 5 years of service.
He added that the amount he / she can withdraw is 12 months of base salary, along with the love allowance (DA) and the employee’s share of interest, whichever is the lowest.
While at least 10 years of service are required to repay the home loan, a person can withdraw 36 months of basic salary along with the love allowance or the entire employee and employer share along with the interest.
For marriage: The expert said that a person can withdraw up to 50 percent of their total share in the EPF account. However, a minimum of 7 years of service is required.
For medical: Jitendra said there is no minimum length of service to withdraw money for medical purposes. The amount that can be withdrawn is up to 6 months basic wage and DA or the employee’s share together with interest.
Those who are ready to withdraw the PF amount can do so by completing the EPF withdrawal form online. They also need to link their hairs to the Universal Account Number (UAN) for the claim. Individuals must also verify their KYC information.
How can I apply for an EPF deduction?
1: Visit the UAN portal at https://unifiedportal-mem.epfindia.gov.in/memberinterface/ and log in with the UAN and password.
2: Click on “Manage” and select “KYC” to check that your KYC information is correct and verified.
3: Go to ‘Online Services’ and select ‘Claim (Form-31, 19 & 10C)’ from the drop-down menu.
4: The member details, KYC details and other service details will be displayed on the screen. Enter the last four digits of your bank account and click “Verify”.
5: Click “Yes” to sign the company’s certificate, then proceed.
6: Click “Proceed to Claim Online”.
7: Select the entitlement you want under the “I want to apply” tab.
8: Select ‘PF Advance (Form 31)’ to withdraw your funds then provide all the required details.
9: Click on the certificate and submit the application.
10: The employer must agree to the withdrawal request, after which the amount will be received by the person.
