Under what situations can you withdraw the EPF
One may choose to withdraw EPF completely or partially. EPF can be completely withdrawn under any of the following circumstances:
a. When an individual retires from employment
b. When an individual remains unemployed for a period of 2 months or more. Here, it needs a mention that the fact that the individual is unemployed for more than 2 months has to be certified by a gazetted officer. Further, complete withdrawal of EPF while switching over from one job to another without remaining unemployed for 2 months or more(i.e. During the interim period between changing jobs), will be against the PF rules and regulations and therefore illegal. Partial withdrawal of EPF can be done under certain circumstances and subject to certain prescribed conditions which have been discussed in brief below:
| Sl No | Particulars of the reason for withdrawal | Limit for withdrawal | No of years of service criteria | Other conditions |
|---|---|---|---|---|
| 1 | Marriage | Up to 50% of employee’s share of contribution to EPF | 7 years | For the marriage of self, son/daughter, brother/sister |
| 2 | Education | Up to 50% of employee’s share of contribution to EPF | 7 years | For the education of either himself or his children after class 10 |
| 3 | Purchase of land/purchase or construction of a house | For land – up to 24 times of monthly wages plus Dearness allowance
For house – up to 36 times of monthly wages plus Dearness allowance |
5 years | The asset i.e. land or the house should be in the name of the employee or spouse or Jointly. |
| 4 | Home loan repayment | Up to a maximum of 90 %, from both employee’s contribution and employer contribution in Employee Provident Fund. | 10 years | i. The property should be registered in the name of the employee or spouse or jointly
ii. Withdrawal permitted subject to furnishing of requisite documents as called for by the EPFO relating to the housing loan availed, iii. The accumulation in the member's PF account (or together with the spouse), including the interest, has to be more than Rs 20,000. |
| 5 | Renovation of house | Up to 12 times of the monthly wages | 5 years | The property should be registered in the name of the employee or spouse or jointly. |
| 6 | A little before retirement | Up to 90% of accumulated balance with interest | Once he reaches 57 years ( as per recent amendment) | For himself |