Big Boost for Salaried Employees: EPFO Now Allows ₹5 Lakh Withdrawal Within 72 Hours Without Officer Approval

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In a major relief for Employees’ Provident Fund (EPF) subscribers, the government has significantly increased the limit for emergency withdrawals from ₹1 lakh to ₹5 lakh. This change was approved during the 113th meeting of the EPFO’s Executive Committee, held in Srinagar on March 28. Union Minister Mansukh Mandaviya officially announced the decision on June 24.

The enhanced limit is aimed at helping salaried individuals access their own savings quickly during urgent medical, housing, educational, or other personal emergencies—without needing approval from EPFO officials.

Automated Processing: No Human Approval Needed for Up to ₹5 Lakh

The new system relies heavily on auto-settlement, a fully automated process where eligible withdrawal claims are processed digitally with minimal or zero human intervention. If your UAN is linked to your Aadhaar, PAN, and bank account, and your KYC is fully updated, your claim can be verified and settled within just 72 hours.

This is a big improvement over the earlier limit of ₹1 lakh and offers peace of mind to millions of working Indians during emergencies.

Manual vs Auto Claims: Key Differences

While automated claims can now be settled within 3-4 working days, manual processing—still required for larger or more complex claims like retirement settlements—takes longer.

In manual claims:

  • You need to fill out online or offline forms (like Form 19, 31, or 10C).

  • EPFO staff manually verify your documents, eligibility, and exit dates.

  • The process may take 15 to 30 days, or even longer if paperwork is incomplete.

Coming Soon: Withdraw PF via UPI or ATM

In another game-changing update under the proposed EPFO 3.0 framework, subscribers may soon be able to withdraw PF funds through UPI or ATM-like cards. According to media reports, this service will allow PF account holders to:

  • Use withdrawal cards, similar to bank debit cards.

  • Withdraw a pre-approved limit of funds from their EPF account.

  • Link their PF account to UPI to enable direct transfers into their bank account.

This move aims to make PF withdrawals as easy and flexible as regular bank transactions, especially in urgent situations.

Lost Your Job? Access 75% of Your PF After One Month

EPFO rules also support those who lose their jobs. If a subscriber becomes unemployed:

  • They can withdraw up to 75% of their PF savings after one month of job loss.

  • The remaining 25% can be accessed after two months, helping individuals manage expenses during career transitions.

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