Alteration in EPF Withdrawal Policies Imminent: Retirement No Longer a Prerequisite for Withdrawals
In a significant move, the Employees' Provident Fund (EPF) in India has introduced updated withdrawal rules effective from 2025. The new rules offer more flexibility while ensuring that EPF savings remain primarily for long-term goals such as retirement.
## Withdrawal Frequency and Percentage Limits
One of the key changes is the introduction of instant withdrawals for emergencies. Starting June 2025, EPFO members can withdraw up to ₹1 lakh via UPI and ATM for immediate needs.
For housing needs, members can withdraw up to 90% of their EPF corpus after completing three years from the date of account opening. This facility is limited to once in a lifetime for a member.
Members can also withdraw up to 90% of their EPF corpus one year before retirement (age 54+), provided they are not less than 54 years old. Post-retirement withdrawals at age 58 are completely tax-free.
Partial withdrawals can be made under specific circumstances such as home loan repayment, house renovation, marriage, and medical treatment. The specific amounts and conditions vary based on the purpose of withdrawal. For example, for home loan repayment, 90% of the PF balance can be withdrawn after three years.
Withdrawals before five years of continuous service are subject to TDS, except if the withdrawal amount is less than ₹50,000.
## Other Key Changes
The advance claim limit for EPF withdrawals has increased to Rs 5 lakh, allowing members to get money faster without requiring approvals. Partial withdrawal for EPF is no longer limited to special needs like building a house, medical treatment, education, or marriage.
EPFO is planning to allow EPF members to withdraw some or all of their EPF money every 10 years. However, no official notification has been issued regarding the crediting of 8.25% interest for 2024-25 to members' PF accounts.
The interest rates on EPF may remain unchanged at 8.1%. Future promotions to sub-inspector posts in the State Excise Department will be 100% from ranks, according to Deputy CM Ajit Pawar.
Meanwhile, in other news, Arshdeep Singh is teaching Kuldeep Yadav the steps of a Punjabi song amid the IND vs ENG Test Series, as per a new video. Arshad Nadeem, Pakistan's Olympic javelin champion, has made a revelation that his reward for the achievement remains unfulfilled, according to a report. IndiGo Delhi-Imphal Flight returned after one hour in the air due to a technical snag, and all passengers are reported to be safe.
In light of the increased advance claim limit for EPF withdrawals, members can now get up to Rs 5 lakh without approval, broadening the scope for partial withdrawals beyond traditional needs like education, medical treatment, or marriage. Amidst the changing landscape of sports, Arshdeep Singh is seen teaching Kuldeep Yadav a Punjabi song in the IND vs ENG Test Series, as reported in the news. Additionally, the business sector and finance market are closely monitoring the potential change allowing EPF members to withdraw some or all of their EPF money every 10 years, as announced by EPFO.
