After the unprecedented financial crisis aroused last year, the central government allowed withdrawal of PF money. The salaried class can withdraw money from their respective provident fund for medical purposes in wake of the virus spread.
Employees’ Provident Fund Organization (EPFO) laid different norms on which the workers can withdraw money. They include medical emergency, construction or purchase of new house, renovation of house, repayment of home loan, and wedding purposes.
Withdrawal rules of Provident Fund
Meanwhile, the employees who require money from Provident Fund can withdraw it under medical conditions. It can relate to their spouse, parents, child or any family member.
Also, the employee can draw money for nearly six times his share or monthly salary along with interests (whichever happens to be less). The interest occurs from EPF FOR treatment of medical affairs as well as COVID 19.
As per the provisions stated a member of Employees’ Provident Fund Organization (EPFO) is allowed to withdraw about 75% of their Provident Fund balance. Or either they can even re estate their basic wages of three months and allowances. It will therefore be based comparatively on whichever’s low.
Generally, an EPF can be stated by an individual if he retires or is unemployed. As per the basic regulation, 75% of the EPF money can be debited after a month of unemployment. Remaining 25% can be obtained after two months of the unemployed status.
About EPF
Provident Fund is a government assured retirement savings scheme practiced in India and other developing nations. The employee here needs to save a portion of their salary for PFs and the employer equally requires contributing in the scheme. These are often incurred as taxes. Rules regarding withdrawal and minimum age limit are asserted by the Centre itself. It is regarded as a compulsion to a specific section of the society.
Required Documents for PF withdrawal
• The Employee must have access to Universal Account Number
• Bank Details must match with EPF number
• ID Proof
Also here is how you can file COVID claim via UMANG app
Step 1: Go to UMANG app
Step 2: Select EPFO
Step 3: Now, click on “Request for Advance (COVID-19
Step 4: Type your UAN details and click on ‘Get OTP’ to get one-time password. Use this OTP to login in your account.
Step 5: Enter the OTP and click on login. Once you are logged in you are required to enter the last four digits of your bank account and select the member ID from the drop-down menu. Click on “Proceed for claim”
Step 6: Enter your address. Click on ‘Next’.
Step 7: Upload the cheque image with your account number and name printed on it.
Once all the details are entered, your claim will be successfully filed.
ALSO READ: EPFO Keeps Interest Rate Unchanged At 8.5 For 2020-21
