EPFO 3.0: In the new update of EPFO 3.0, people will be able to withdraw PF funds through UPI. Employer approval will no longer be required for this. Under EPFO 3.0, PF account holders will now be able to withdraw money instantly through UPI without the approval of the employer.
Auto-settlement limits
At the same time, the auto-settlement limit for emergency needs has been increased from Rs 1 lakh to Rs 5 lakh. It will be mandatory to maintain at least 25% funds in the account and withdrawal of the entire amount will be allowed only in exceptional circumstances. Keep in mind that, people will be able to withdraw only 50% to 75% of their total EPF balance.
Employer approval expired
The biggest advantage of this change is that now you will not have to wait for your employer’s approval to withdraw money. Let us tell you that, in this update, the limit of auto-settlement claim without any intervention in emergency conditions has been increased from Rs 1 lakh to Rs 5 lakh directly. If you suddenly need money for treatment or higher studies of your children, you can still withdraw the money.
What is EPFO 3.0 system?
EPFO 3.0 is set to prove revolutionary for millions of employed people in the country. This is a major digital upgrade of EPFO, whose main objective is to make the entire process of withdrawing and transferring PF funds completely paperless and instant. Until now, withdrawing PF funds required filling out numerous claim forms and long waits for official approval. However, this new upgrade will eliminate the hassle of this entire processing. Members will be able to instantly view and transfer their PF savings directly through their UPI and UPI-enabled ATMs, making it easier to meet emergency cash needs.
Know how much money you can withdraw
Many PF members always have this question in their mind that how much money can they withdraw from their account and whether the entire balance can be withdrawn in one go. According to the new rules of EPFO 3.0, members can withdraw 50% to 75% of their total EPF balance through UPI or UPI ATM, depending on certain conditions. An important rule in this is that you will have to always maintain at least 25% of your total PF contribution in your account, that is, it will be mandatory to leave it in the account. You cannot withdraw the entire 100% money through this method.
This new digital system will be extremely easy and secure to use. Once this feature goes live, PF members will be able to see the available balance against their linked bank account on the EPFO portal. You will then need to use your registered UPI PIN to transfer the amount you are eligible to withdraw. Once you enter the UPI PIN, the transaction will be completed securely and the funds will be transferred to your bank account instantly.
