EPFO: What is minimum balance? Check rules for early withdrawal, full list of reasons for partial withdrawal here

Members of the Employee Provident Fund Organisation (EPFO) are allowed to withdraw up to 100% of eligible funds or 75% of their total provident fund balance, according to the Union Ministry of Labour.

Notably, eligible funds are 75% of your EPF corpus, after setting aside the required minimum balance. This was brought into effect from October last year, when partial withdrawal provisions were simplified by merging 13 provisions into three categories — Essential Needs, Housing Needs and Special Circumstances.

Check full list of reasons for partial withdrawal

The partial provident fund advance allows members to claim non-refundable advances while actively employed. To make this claim, you will have to fill and submit Form 31. Reasons include medical emergencies, daughter’s or self-marriage, home loan repayments, or severe natural calamities.

• Special Circumstances: This category is in case of job loss, where you can claim up to 75% immediate withdrawal and the remaining 25% after two months of unemployment.
• Essential Needs: This includes medical reasons, education and marriage. The rules are as follows —

– In case of withdrawal for medical reasons, you can withdraw the employee share of your EPF corpus or six months’ wages; after membership of 1 year. This can be availed for self or family treatment.

– In case of withdrawal for education, you can claim up to 10 withdrawals; after membership of 1 year for children’s education.

– In case of marriage, you can withdraw up to five times after 1 year of membership for your own or a family member’s wedding.

– In case of pre-retirement, members can withdraw 90% of total balance after 54 years of age, or 1 year before retirement.

• Housing Needs: This includes expenses related to purchase or renovation, as follows —

– For purchase of a house, you can withdraw up to 90% of EPF after 1 year of membership for a property in your or spouse’s name.

– For purpose of home renovation, you can withdraw 12 times the monthly wages after 1 year of membership for a property in your or spouse’s name.

How long does PF withdrawal claim take?

• Online claims for members who have completed full KYC take between three to seven working days, according to the FAQ website.
• Meanwhile, auto-mode eligible claims take 72 hours, it said.
• And offline physical claims submitted to EPFO office can take up to 20 working days.

Once successfully submitted, claims are generally approved and settled (credited to bank account) within seven to 15 working days. You will receive an SMS alert at every stage of the process — submitted, approved, and disbursed.