Rules for Withdrawal of EPF are available on a number of platforms, but rules related to withdrawal are still unclear. The subscribers especially those who are in private jobs are not made aware by the employers about the EPF withdrawal rules.

For employees who have been in the workforce from before 2014, a part of the employers’ contribution (8.33 per cent of pay, subject to a cap of `15,000/month) is diverted towards the Employee Pension Scheme, with only the remaining sum getting invested in the EPF.

To accumulate a decent-sized retirement kitty, it is essential to let your investment compound over many years. But in practice, most employees dip into their EPF accumulations early and often in their careers. The withdrawals are mostly frittered away in unproductive
expenditure, leaving them with a depleted retirement kitty.

The EPF’s quirky withdrawal rules actively encourage this. On the face of it, the EPFO’s withdrawal rules allow a final settlement of your dues only on reaching the age of 58. But there are so many exceptions to this rule that this doesn’t happen often.

For one, the EPF allows you to make part withdrawals, subject to different sub-limits, towards certain needs ‘approved’ by it.

The EPFO allows many opportunities wherein a subscriber may withdraw partially and based upon his needs can use the funds. These rules are summarized below-

Withdrawal of EPF Rules

Hope its an eye-opener and useful information. Share your views in the comments section.