EPFO Rules 2026: The death of an employee during their service disrupts the family’s financial stability, often forcing them to face numerous hardships. Having a Provident Fund (PF) account provides significant assistance to the employee’s family. However, many families are unaware of the process for claiming PF funds, who is eligible to apply, and the consequences of a delayed claim.
According to EPFO rules, the nominee can claim the PF amount. To do so, a family member must submit the necessary documents. Let us understand the process in detail.
What happens to the PF account after the employee’s death?
If an employee passes away during their service, the accumulated PF amount remains intact. The nominee can withdraw this amount. Under EPFO rules, if a claim for the PF amount is not made within 36 months of the employee’s death, the funds are transferred to an ‘inoperative account’ category.
What happens to the PF account after 3 years?
According to EPFO, once PF funds are classified under the ‘inoperative account’ category, they cease to earn interest. Therefore, the family should file a claim before this period expires. However, the 3-year rule does not apply to every PF account; rules are implemented based on the account’s specific status. The accumulated PF amount is not simply forfeited after three years.
Who can withdraw the money?
The registered nominee can withdraw the PF amount following the employee’s death. If family members are eligible, they can claim the PF amount by submitting the necessary documents. Even if an eligible claimant is not a family member, they can still legally claim this amount.
Documents required for the claim
If you are the nominee for the deceased person’s PF account, you will need specific documents to file a claim. These include the employee’s death certificate, the nominee’s identity proof, bank details, proof of nomination, etc. A family membership certificate may also be required if necessary.
Initial steps for the family
If an employee has passed away and funds remain in their PF account, the family must first obtain details regarding the account and the nominee. Subsequently, they should gather the required documents and file a claim in accordance with the EPFO’s prescribed procedure. If a nominee’s name is not registered, the family can visit the EPFO office to obtain the necessary information.