EPFO allows 100% EPF part withdrawals, 13 rules merged into 3 categories
Members can now withdraw for education up to 10 times and for marriage up to 5 times, with the minimum service requirement reduced to just 12 months
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In a major relief to over 7 crore subscribers, the Employees' Provident Fund Organisation (EPFO) has liberalised its partial withdrawal rules, now allowing up to 100% withdrawal from EPF accounts under simplified provisions.
The Central Board of Trustees, chaired by Labour Minister Mansukh Mandaviya, has merged 13 existing rules into three broad categories—Essential Needs, Housing Needs, and Special Circumstances.
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Members can now withdraw for education up to 10 times and for marriage up to 5 times, with the minimum service requirement reduced to just 12 months.
A 25% minimum balance rule will ensure members continue earning interest (currently 8.25% p.a.) on a portion of their funds. Claim processes have been simplified for auto-settlement, with no documentation needed in most cases.
Additionally, the EPFO launched the ‘Vishwas Scheme’ to resolve litigation related to delayed PF payments by reducing penal damage rates and encouraging compliance.
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To assist EPS'95 pensioners, especially in rural areas, the EPFO has tied up with India Post Payments Bank (IPPB) to provide doorstep Digital Life Certificate services, free of cost.
The Board also approved four new fund managers—SBI MF, HDFC AMC, UTI AMC, and Aditya Birla Sun Life AMC—to manage its debt portfolio for the next five years, aiming to boost returns and ensure secure retirement savings.
Up to 100% EPF withdrawal allowed (employee employer share)
13 withdrawal rules merged into 3 categories:
Essential needs: illness, education, marriage
Housing needs
Special circumstances
No need to specify reasons under Special Circumstances (e.g. natural calamities, unemployment).
Education withdrawals allowed up to 10 times and marriage up to 5 times (earlier total limit was 3).
Minimum service requirement reduced to 12 months for all partial withdrawals.
25% of contributions must be maintained as minimum balance for interest and corpus growth.
No documentation needed, enabling 100% auto-settlement of partial claims.
Changes in final settlement periods
Premature EPF withdrawal period changed from 2 months to 12 months.
Final pension withdrawal period extended from 2 months to 36 months.
With PTI inputs
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