That’s awesome news for salaried individuals! If your PF gets deducted every month, there is a big push for an update that might make things easy for you.
In a historic decision meant for more than 75 million EPFO members, it is said that the central government has plans to increase the limit of the auto-settlement withdrawal application from ₹1 lakh to ₹5 lakh. Yes, you heard it correct-no more long approvals or piles of paperwork to lay your hands on your savings.
Massive Update for PF Members – What’s Changing?
Until now, withdrawing over ₹1 lakh from the Provident Fund required manual approval, which sometimes gave rise to problems of urgency. This limit, under the new PF rule, will now go up to ₹5 lakh and, hence, allow for faster, paperless withdrawals. This means the money will be deposited directly into your bank account without unnecessary delays.
Withdrawing PF Soon Via UPI And ATM!
The EPFO has conducted trials on PF withdrawals through UPI and ATMs, and whenever accomplished, this would be a paradigm shift. At present, online claims take 2-3 days. But soon employees will have the option to withdraw money through UPI or ATMs instantaneously, much like drawing cash from one’s savings account.
This new facility is supposed to be functional by end May or early June 2025.
When would the new rule apply?
The proposal is presently under consideration with the Ministry of Labour and the Central Board of Trustees (CBT) for final ratification. During a March 28th deliberation at Srinagar, the proposal gained acceptance. With approval, this shall prove beneficial for millions of EPFO members across the country.