Employee Provident Fund (EPF) in India – Withdrawal, Transfer & Your Rights 2025

Have EPF account? Wondering how to withdraw PF? Changing jobs and need to transfer?

Employee Provident Fund (EPF) is retirement savings scheme covering crores of Indian workers. Understanding your PF rights saves you from losing hard-earned money.

Let's understand everything about EPF – from contributions to withdrawal.

What is EPF?

Employee Provident Fund (EPF) = Mandatory retirement savings scheme for salaried employees

Managed by: Employees' Provident Fund Organisation (EPFO) under Ministry of Labour

Purpose:

• Retirement corpus

• Financial security

• Social security

Governed by: Employees' Provident Funds and Miscellaneous Provisions Act, 1952

Who is Covered?

Mandatory for:

• Establishments with 20+ employees

• Employees earning basic salary up to ₹15,000/month (at time of joining)

Once enrolled, contributions continue even if salary increases beyond ₹15,000

Voluntary:

• Employees earning above ₹15,000 can opt-in

• Establishments with less than 20 employees can voluntarily register

Exemptions:

• Some industries/establishments have exempted/own trusts

• Check with employer

How EPF Works:

Monthly contribution:

Employee contribution: 12% of basic salary + DA

Employer contribution: 12% of basic salary + DA

But employer's 12% split:

• 3.67% → EPF account (your retirement savings)

• 8.33% → Pension Scheme (EPS) [Maximum ₹1,250/month]

• 0.5% → EDLI (insurance)

Example:

• Basic + DA: ₹15,000/month

• Your contribution: ₹1,800 (12%)

• Employer contribution to PF: ₹550 (3.67%)

• Employer contribution to Pension: ₹1,250 (8.33%)

• Total PF per month: ₹1,800 + ₹550 = ₹2,350

Note: Employer contribution to PF capped at ₹1,250 for pension calculation but full 3.67% goes to EPF

Three Components:

1. EPF (Employee Provident Fund):

• Your 12% + Employer's 3.67%

• Can withdraw on retirement/resignation

• Earns interest (currently 8.15% p.a. for FY 2023-24)

2. EPS (Employee Pension Scheme):

• Employer's 8.33%

• Pension on reaching 58 years

• Can't withdraw (goes toward pension)

• Or withdraw as per pension scheme rules

3. EDLI (Employee Deposit Linked Insurance):

• Employer's 0.5%

• Life insurance cover

• Family gets money if employee dies during service

• Maximum benefit: ₹7 lakh

EPF Interest Rate:

Declared annually by EPFO

Recent rates:

• FY 2023-24: 8.15%

• FY 2022-23: 8.15%

• FY 2021-22: 8.10%

Higher than most savings accounts, lower than some market investments

Interest:

• Calculated monthly

• Credited annually (usually in February/March)

• Compounded

• Tax-free if withdrawn after 5 years continuous service

How to Check EPF Balance:

Method 1: Online (UAN Portal)

Step 1: Visit unifiedportal-mem.epfindia.gov.in

Step 2: Login with:

• UAN (Universal Account Number)

• Password

• Captcha

Step 3: Go to "View" → "Passbook"

Step 4: Select Member ID (if multiple jobs)

Step 5: View complete transaction history

Shows:

• Monthly contributions

• Interest credited

• Total balance

Method 2: Umang App

Download Umang app (by Government of India)

Steps:

• Login with UAN

• Go to EPFO services

• View passbook

• Check balance

Method 3: SMS

Send SMS to 7738299899:

Format: EPFOHO UAN ENG

Example: EPFOHO 123456789012 ENG

Reply: Your EPF balance

Method 4: Missed Call

Give missed call to 011-22901406

From registered mobile number

SMS reply: Balance details

Method 5: EPF Member e-Sewa Portal

Website: epfindia.gov.in

For Employees section → Check balance

What is UAN?

Universal Account Number (UAN) = Unique 12-digit number for every EPF member

One UAN for lifetime (even if you change jobs)

Benefits:

• All PF accounts from different employers linked to one UAN

• Easy to transfer PF

• Online services access

• Track entire PF history

How to get:

• Employer generates when you join

• Check with HR department

• Or retrieve from EPFO portal using details

Activate UAN:

• Visit UAN portal

• Activate using Aadhaar and other details

• Link mobile number

• Set password

EPF Withdrawal:

When can you withdraw?

1. After Retirement (Age 58+):

• Full withdrawal allowed

• Both EPF and EPS

• Tax-free

2. Resignation/Job Change:

Two options:

A) Full Withdrawal (if unemployed for 2+ months):

• Can withdraw entire EPF amount

• But lose pension benefits (if less than 10 years service)

• Not recommended if you'll join another job

Taxation:

• Tax-free if service 5+ years

• Taxable if withdrawn before 5 years (added to income)

B) Transfer to New Employer (Recommended):

• PF from old company transferred to new

• Service continuity maintained

• Pension benefits protected

• Online transfer (easy)

3. Unemployment:

If unemployed for 1 month:

• Can withdraw up to 75% of EPF

• Remaining 25% after 2 months

Or wait 2 months, withdraw 100%

4. Pre-mature Partial Withdrawal:

While still employed, can withdraw for specific purposes:

A) Medical Emergency:

• Serious illness (self, spouse, children, parents)

• Hospitalization

• Can withdraw amount needed (no limit if service 5+ years)

• Medical documents required

B) Marriage:

• Own marriage or sibling/children's marriage

• Can withdraw 50% of employee share

• After 7 years of service

C) Education:

• Self or children's higher education

• Can withdraw 50% of employee share

• After 7 years of service

D) House Purchase/Construction:

• Buying land

• Constructing house

• Renovating house

• Can withdraw up to 90% of employee + employer share

• After 5 years of service

• Once in lifetime

E) Home Loan Repayment:

• Outstanding home loan

• Can withdraw amount needed

• After 10 years of service

• Or within 3 years before retirement

F) Illness (Non-hospitalization):

• Medical treatment

• Can withdraw 6 times of monthly salary or employee share (whichever less)

• After 1 year of service

G) Advance for House:

• Can take advance (not withdrawal)

• To be repaid in 50 installments

• Interest charged

EPF Withdrawal Process:

Online Withdrawal (Easiest):

Step 1: Login to UAN portal (unifiedportal-mem.epfindia.gov.in)

Step 2: Go to "Online Services" → "Claim (Form-31, 19, 10C)"

Step 3: Bank account must be verified:

• KYC (Aadhaar, PAN) must be approved

• Bank account linked and verified

Step 4: Select claim type:

• Form 19: For final settlement (full withdrawal)

• Form 31: For partial withdrawal (specific purpose)

• Form 10C: For pension withdrawal

Step 5: Enter details:

• PAN

• Bank account (IFSC)

• Address

• Purpose (if partial withdrawal)

Step 6: Submit

Step 7: Certificate upload (if needed - medical/marriage/education documents)

Step 8: Track status online

Processing time: 3-20 days (if KYC complete, usually within 7 days)

Money credited to bank account directly

Offline Withdrawal:

If online not possible:

Step 1: Download forms from EPFO website

• Form 19 (PF withdrawal)

• Form 10C (Pension withdrawal)

Step 2: Fill manually

Step 3: Attach:

• Cancelled cheque

• Latest PF slip

• ID proof

• Documents for purpose

Step 4: Employer attestation

Step 5: Submit to EPFO office

Time: 20-30 days

EPF Transfer (Job Change):

Online Transfer (Recommended):

Step 1: Both old and new employer must have your UAN

Step 2: Login to UAN portal

Step 3: "Online Services" → "One Member - One EPF Account"

Step 4: Select:

• Previous employer (from dropdown)

• Current employer

Step 5: Submit request

Step 6: Previous employer approves (or auto-approved after 15 days)

Step 7: Transfer happens automatically

Timeline: 2-3 weeks

No physical paperwork needed!

Benefits:

• Service continuity (for pension)

• Don't lose employer contribution

• Keep earning interest

Offline Transfer:

Form 13:

• Submit to new employer

• They forward to EPFO

• Transfer processed

Takes longer (1-2 months)

Pension (EPS):

Employee Pension Scheme:

Eligibility:

• Worked 10+ years under EPF

• Reached age 58

Pension amount:

• Based on average salary of last 60 months

• Years of service

• Formula: (Pensionable salary × service years) / 70

Example:

• Average salary: ₹15,000

• Service: 25 years

• Pension: (15,000 × 25) / 70 = ₹5,357/month

Early pension:

• Can start at age 50 (reduced pension)

Pension for family:

• Widow/widower gets pension

• Children (if orphaned)

Higher Pension Option:

Supreme Court (Nov 2022): Allowed employees to opt for higher pension

How:

• Joint option by employee and employer

• Contribute on actual salary (not ₹15,000 limit)

• Higher pension on retirement

Deadline extended multiple times - Check current deadline on EPFO website

EPF Withdrawal Taxation:

Tax treatment:

Exempt (No tax):

• Withdrawal after 5 years continuous service

• At retirement (age 58+)

• Due to ill health

• Due to business discontinuation

Taxable:

• Withdrawal before 5 years

• Added to your income

• Taxed as per slab

• TDS @ 10% deducted if amount > ₹50,000 (without PAN: 20% TDS)

Interest on EPF:

• Tax-free if conditions met

• Taxable if excess contribution (over ₹2.5 lakh/year by employee)

KYC for EPF:

Must link:

• Aadhaar

• PAN

• Bank account

• Mobile number

How to update:

Login to UAN portal → "Manage" → "KYC"

Upload:

• Aadhaar (digitally verified)

• PAN

• Bank account (passbook copy)

Employer approval needed

Important: Without KYC, online claims not processed

Common Problems & Solutions:

1. UAN not activated: Solution: Activate online using Aadhaar

2. Multiple UANs (due to multiple jobs): Solution: Merge UANs (one EPF office visit or online request)

3. Employer not depositing PF: Solution: Check contributions online, complaint to EPFO

4. Transfer delayed: Solution: Track online, contact EPFO grievance (if delayed beyond 20 days)

5. Withdrawal claim rejected: Solution: Check rejection reason online, rectify (usually KYC issue), re-apply

6. Bank account not verified: Solution: Employer must verify, or visit EPF office with cancelled cheque

EPF Grievances:

If problem not resolved:

1. EPFO Portal: Website: epfindia.gov.in → Register grievance

2. EPF Helpline: Toll-free: 1800-118-005 (8 AM - 8 PM)

3. Email: Region-wise email IDs on EPFO website

4. Visit EPFO office: Locate using office locator on website

5. CPGRAMS: (Central Public Grievance Redress System) Website: pgportal.gov.in

Recent Changes (2024-25):

✓ Aadhaar-based e-KYC: Simplified, instant

✓ Auto-transfer: If both employers use same bank

✓ Higher pension implementation: Ongoing

✓ Faster claim processing: Average 3-7 days now

✓ No employer attestation: For online claims with verified KYC

✓ Account portability: UAN makes switching jobs easier

Tips for Employees:

✓ Activate UAN immediately when you join

✓ Check contributions monthly (employer depositing or not?)

✓ Complete KYC ASAP (enables online services)

✓ Don't withdraw early (lose tax benefit + pension)

✓ Transfer PF when changing jobs (don't withdraw)

✓ Update mobile/email in UAN portal

✓ Nominate family member (for death benefits)

✓ Keep UAN safe (needed for all transactions)

Conclusion:

EPF is valuable retirement benefit. Understanding how it works and your rights ensures you maximize benefits.

Key points:

• 12% + 3.67% contribution (total 15.67% of basic)

• Check balance online anytime

• Transfer PF between jobs (don't withdraw)

• Tax-free if withdrawn after 5 years

• Complete KYC for smooth claims

Your EPF, your retirement security. Manage it well!

Haven't activated UAN? Do it today and take control of your PF!