EPFO: Big news for EPFO members. There’s some really positive and reassuring news for working individuals. The Employees’ Provident Fund Organization (EPFO) is set to roll out a feature that will make it as simple to withdraw PF funds as it is to take out cash from an ATM. Soon, the government will permit PF account holders to access their deposits via ATMs and UPI. This means you won’t have to deal with lengthy procedures to get your funds when you need them.
The facility may start by March 2026
Union Labor and Employment Minister Mansukh Mandaviya recently shared this initiative at an event. He mentioned that the government is dedicated to simplifying and enhancing access to PF. He emphasized that PF funds belong to the employees, so barriers to withdrawing them are being removed. According to the minister, this new withdrawal system is anticipated to be in place before March 2026. This change could be a significant advantage for employees.
What is the current process and what will change?
At present, to withdraw PF funds, account holders need to apply either online or offline. The claim is then processed, and the funds are transferred to their bank accounts. This process often faces delays due to verification and administrative challenges. Claims can sometimes be denied over minor mistakes. The proposed ATM and UPI-based system aims to remove this waiting period. This will greatly assist individuals, enabling them to withdraw funds as required.
How will the new system function?
With this new setup, PF accounts will be connected to members’ bank accounts. This is already being accomplished through Aadhaar and Universal Account Number (UAN). This connection will allow a dedicated PF feature to be incorporated into debit card and ATM systems, making it easy for subscribers to access their funds. The minister also noted that 75% of the PF balance can already be withdrawn without needing a specific reason, but the new feature will expedite this process.
It should be noted that earlier in October 2025, at a meeting of the EPFO’s Central Board of Trustees, significant changes were made to withdrawal rules. These included allowing partial withdrawals of up to 75% of the deposit amount. Furthermore, the minimum service period for advance withdrawals was reduced to one year. A 12-month waiting period was also established for full withdrawals. Now, with the introduction of ATM facilities, employees will benefit even more.