EPFO: Good news for EPFO members. EPF subscribers have been eagerly anticipating the arrival of EPFO 3.0 for quite a while now. Once the new system is operational, individuals will have the ability to withdraw their PF funds anytime through an ATM or UPI. At present, the process of withdrawing PF involves filling out forms, submitting various documents, and enduring a wait of several days. This is precisely why all employees are keen on having the new system implemented as soon as possible. However, the significant update is that the option to withdraw PF via ATM or UPI has not yet been introduced.
Has the option for PF withdrawal through ATM or UPI begun?
No, the EPFO has not rolled out this feature yet. It was anticipated to be launched in June 2025, but the launch has been delayed due to technical challenges and ongoing system testing. The EPFO has not provided a new official date for this launch.
There were hopes that a significant decision regarding this matter would be made during the October board meeting, but the meeting only resulted in a simplification of the rules for partial PF withdrawals. Previously, there were 13 different rules for withdrawals, which have now been condensed into just three categories.
1. Essential needs (such as illness, education, marriage)
2. Housing Needs
3. Special circumstances
The limit for PF withdrawal for education has been raised to 10 times, while for marriage, it has been increased to 5 times. Previously, both could only be withdrawn three times combined.
Any partial withdrawal now necessitates a minimum of 12 months of employment. The previous rules were different.
Every member will need to keep at least 25% of the balance in their PF account to ensure the retirement fund remains secure and earns an interest rate of 8.25%.
The new withdrawal process will be entirely document-free and will be auto-settled.
The deadline for premature final settlement and pension withdrawal has been extended to allow individuals to save more.
How will ATM and UPI withdrawals work?
While the exact technical details are yet to be revealed, it is expected that:
The PF account will be linked to the UPI platform and ATM network
Members will be able to withdraw funds using a secure PIN, Aadhaar-based OTP, or other verification methods. Limits will be set on the amount that can be withdrawn per day or in a single transaction. With this feature, people will no longer need to fill out forms or wait for PF withdrawals. This system will be a major step towards modernizing EPFO ​​services under Digital India.
