How to Withdraw PF Amount? – Steps, Eligibility, and Status Check

Employees Provident Fund (EPF) is a government-backed retirement savings scheme. It falls under the aegis of the Employees’ Provident Fund Organisation and is governed under the Employees’ Provident Funds and Miscellaneous Provisions Act, 1952. 

Under this scheme, an employer deducts a fixed percentage of an employee’s salary every month and deposits the amount in the employee’s EPF account along with a matching contribution of their own.

How to Withdraw PF Amount?

The funds accumulated in your PF account (principal and interest earned) can be withdrawn either online or offline:

How to Withdraw Your PF Amount Online?

How to Withdraw Your PF Amount Offline?

Step 1: Download the Composite Claim Form from the official website

Step 2: If you are applying for EPF withdrawal through the Composite Claim Form (Aadhaar), link your Aadhaar number to your primary bank account (Aadhaar seeding), provide bank account details, and complete the activation process through the portal. If you apply through the Composite Claim Form (Non-Aadhaar), linking the Aadhaar card is not mandatory

Step 3: Fill out all necessary information on the form

Step 4: Ask your employer to attest to the form

Step 5: Submit the form to the relevant EPFO office in your jurisdiction

Also Read

How to Apply for EPF Loan Online?

How to Claim EPF Online: PF Withdrawal Process And How TO Check Status

When Can You Withdraw PF Amount?

Complete Withdrawal

You can completely withdraw the PF amount only in the following circumstances:

• After you retire (On or after your 58th birthday)
• In the unfortunate event of your death before the retirement age, your nominee can withdraw the corpus
• If you stay unemployed for one month, you can withdraw up to 75% of the total amount and if you stay unemployed beyond two months, you can withdraw the remaining amount as well

Please note: You can’t withdraw the entire amount from your EPF account if you don’t remain unemployed for two or more months while switching employers.

Partial Withdrawal

You can make partial withdrawals from the PF account in the following circumstances:

The withdrawal limits are discussed below.

Eligibility Criteria for EPF Withdrawal

1. An EPF account can only be withdrawn entirely after retirement
2. Partial withdrawal is allowed for medical emergencies, house purchase or construction, and higher education
3. 90% of EPF can be withdrawn one year before retirement
4. To be eligible to withdraw funds from the EPF account under the new rule, you must have been unemployed for at least one month. Upon completing one month of unemployment, you can withdraw only 75% of the total amount. The remaining 25% of the amount will be transferred to the new EPF account once you gain employment again
5. You can withdraw the EPF amount if you face unemployment before retirement in the case of lockdown or retrenchment
6. Employees who have linked their Universal Account Number (UAN) and Aadhaar to their EPF account are eligible to withdraw their EPF without their employer’s approval
7. In the unfortunate event of an employee passing away while still employed, their nominee is eligible to withdraw the EPF funds 

Documents Required for EPF Withdrawal

• Identity proof (PAN card, Aadhaar card, Voter ID card)
• Address proof
• Composite Claim Form
• Two revenue stamps
• One cancelled and blank cheque on which the account number and the bank’s IFSC code are clearly visible
• Bank statement of the account, which is only in the name of the PF holder

PF Withdrawal Limit

How to Check PF Claim Status?

Step 1: Go to the EPFO portal

Step 2: Select ‘For Employees’ from the drop-down list under the ‘Our Services’ tab

Step 3: Choose ‘Know Your Claim Status’

Step 4: Enter your UAN

Step 5: Input the Captcha code

Step 6: Fill in the required details, such as the state of the PF office, establishment code, respective PF office, and Provident Fund number

Step 7: Click on ‘Submit’ to check your EPF withdrawal status

Taxation on PF Withdrawal 

When an employee withdraws funds from their EPF account, the amount may be subject to  tax based on the duration they have worked for their employer at the time of withdrawal. 

The table below highlights the Tax Deducted at Source (TDS) applicable to different scenarios of EPF withdrawal.

Under Section 80C, an employee’s contribution to their EPF account is eligible for deductions, subject to a maximum limit of ₹1.5 lakhs. 

Employer contributions to an employee’s EPF account are exempt up to 12% of the PF amount. However, from April 1st, 2020, any employer contributions to Provident Fund (PF), National Pension Scheme (NPS), and superannuation above ₹7.5 lakhs per year are taxable under the ‘Income from Salary’ head.

Starting April 1st, 2022, interest earned on an employee’s contribution to their EPF account is tax-free up to ₹2.5 lakhs per year. Any interest earned on a contribution exceeding ₹2.5 lakhs is taxable for the employee. The threshold of ₹2.5 lakhs will increase to ₹5 lakhs if the employer does not contribute towards the EPF.

If you withdraw money from your EPF account, it will be considered as income. Therefore, you must select the option ‘Recognised Provident Fund Section 10(12)’ while filing your ITR to declare this amount.

Final Word

Withdrawing your PF amount can be straightforward if you follow the steps outlined in this guide on how to withdraw the PF amount. By ensuring that you meet the eligibility criteria and have the necessary documents at hand, you can easily initiate your withdrawal request through the EPFO portal. Remember to update your bank account details to ensure a smooth and timely transfer of funds.

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