Continuing its push towards digitisation, the Employees’ Provident Fund Organisation (EPFO) has made it mandatory for withdrawal claims above Rs 10 lakh to be made online. The threshold is set lower at Rs 5 lakh for Employees’ Pension Scheme (EPS) claims. The decision was taken at a meeting on 17th January 2018, chaired by the Central Provident Fund Commissioner, a PTI report said quoting an EPFO official. An official notification is not out yet.
This is the second major digitisation step for the EPF this year, following the launch of the UMANG app which will cover EPF along with a host of government services. The EPFO has proposed to go completely online by independence day this year (15th August 2018). Newer alternatives such as the NPS (National Pension Scheme) have already enabled completely online account opening and operation through the eNPS platform.
EPF Subscribers will have to:
1. Have a bank account that is seeded and verified into the EPF system
2. Have a UAN (Universal Account Number) which is activated.
When can you withdraw?
Withdrawals from the EPF can be made when you hit the age of 58. You can also withdraw your own contribution if you have been unemployed for more than two months. However, your employer’s contribution remains locked-in till the age of 58. You can also make partial withdrawals on specified grounds.