Did you also left the job and now you want to withdraw your EPF balance? You must have heard about the long and difficult procedure of the PF withdrawal. But, Don’t worry. I will tell you the procedure of EPF withdrawal. By Following this, you will get your Employee Provident Fund money easily and quickly. But before that, Please answer some questions.
- Are you still on the job?
- Are you going to have a job?
- Do you really need EPF money?
If your answer is YES, you should not withdraw the EPF balance. There are 4 reasons to avoid the PF withdrawal.
Also Read : 4 Ways to EPF Transfer
Why Should You Avoid PF Withdrawal
- EPF is a retirement corpus. You should not touch it as far as possible. It becomes very tough to build a retirement corpus in older age.
- You can easily transfer PF balance through the online process. Build your retirement corpus by adding the PF balances.
- Your PF withdrawal amount becomes taxable if it is withdrawn before the 5 years of the PF account opening.
- It is against the rules if you withdraw the PF account balance of an earlier job while you are still employed.
- You can’t withdraw whole corpus of the EPF. The employer’s contribution and interest upon it can’t be withdrawn before the retirement age.
You should withdraw the PF amount only when you don’t have any job for more than 2 months and you are not going to get a job. According to the rules you can’t withdraw PF amount within 2 months of leaving the service. Although in certain conditions, you can get the PF amount immediately after leaving the job. Even, if the situation arises you can take loan from the EPF account.
Checklist of EPF Withdrawal
To withdraw the PF amount you should check these information.
- The UAN is mandatory for EPF withdrawal. The relaxation is given to only those who have left the job before 1 Jan 2014.
- Your name should match with the bank account.
- Your date of birth and father’s name should match with the identity proof.
- Your employer should register the exit date in EPFO records.
Also Read: EPF Withdrawal Checklist For 99% Success rate
Online PF Withdrawal Facility
Online facilities have helped you tremendously. Then why should there not be online PF withdrawal facility? Actually, It should have started years ago. Finally, the online PF withdrawal has been started in May 2017. Till that date You can only transfer EPF online. In fact, universal account number (UAN) of PF has changed the whole process of pf withdrawal and transfer. Do you know your UAN number? No, you can find out the UAN number online.
Also Read- Check UAN Allotment Status Online
There are two methods to withdraw the Employee Provident Fund. The first method is easy and preferable. You should go for the second method only if first method does not work.
1. EPF withdrawal With New Form
In this method of EPF withdrawal, you do not require the employer’s attestation! A big relief!
This method is for those members who have given their Adhaar number at UAN portal. Once your Adhaar gets authenticated by the employer, you don’t need further attestation by the employer. Thus, you should link your Adhaar with the UAN during the job. It would save you from many hassles.
Thus, to withdraw the EPF you have to go through these steps.
- Link you Adhaar number to UAN.
- Get your Adhaar authenticated by the Employer
- Download the new EPF withdrawal form. It is very small form and require few details.
- Fill the new EPF withdrawal form and submit it directly to the regional PF office.
Because of the direct form submission, the whole PF withdrawal process takes less time. You can expect PF within a week.
2. EPF withdrawal With Old Form
You have to use regular Form 19 for EPF withdrawal. Your employer should give this form to you. Else, you can directly download form 19 from the EPFO website. With the provident fund, you may also like to withdraw the pension amount. However, you can get scheme certificate instead of pension amount if your service is for less than 10 years. If you have served for more than 10 years, you will get the pension only, that also over the age of 50. To withdraw the pension amount you have to fill the form 10 C.
Details You Have To Collect
Relax, you have not to give any documents for PF withdrawal. But, you must have some information beforehand.
- PF account number
- Date of joining
- Date of leaving
- Bank Account number (it should be the same which was registered by your employer)
- IFSC code
Also, you have to give a cancelled cheque for account number assurance. There may be an error in writing the account number.
Above all, the most important thing is the good relation with the HR department of your employer. If he coöperate you need not to worry about anything and you will get the money quickly as well. Else, getting EPF money may be challenging for you. However, you can apply for EPF withdrawal without the approval/signature of the employer. You can see instruction for every column of the form 19.
Procedure For Applying
- Visit the human resource department of the employer with a copy of the blank cheque is enough.
- The HR department will give you the form 19 and 10 C. You can have it beforehand.
- Even you can ask information about your joining and leaving date from the HR.
- Submit both the forms with HR.
- HR will attest the form and send it to the regional PF office.
- The regional PF office takes about one month to process your application.
- EPFO deposits PF amount directly to the employee’s account.
Common Problems In PF Withdrawal
The signature can mismatch. After a long stint, your signature can change. If this is the situation, then you have to make an affidavit. This Affidavit should be also verified by the employer.
There may be errors in spelling of your or your father’s name. Again, your employer will rectify if first, then you can apply for withdrawal.
You may have closed your earlier account. An affidavit and employer attestation would work in this case as well.
The employer did not submit your recent PF contribution. If it happens, you can complain to regional EPFO. Else, you can wait for some days.
You have not served your notice period and the employer is not supporting. Don’t worry, you can withdraw EPF without the employer’s signature as well. If you have universal account number, don’t worry for this highhandedness.
Your employer doesn’t have a record of the EPF account number. To get the PF number search your old Pay Slip. Generally, it has the PF account number. Still, you can’t get the PF number, write a letter to the regional Pf commissioner with all the details (name, father’s name, DOB, Name of establishment, Location, date of joining date of leaving) and ask for PF number. Use register your grievance facility of EPFO.
The Company is no more. In this case, you should follow the procedure of PF withdrawal without employers signature.
EPF Withdrawal App
Now you can use the EPF withdrawal app to get your money without any role of the employer. However, to use this facility you must Link the Aadhaar with UAN. You can use this app to download EPF passbook and claim for EPF transfer.
The Rollback of EPF Withdrawal Age Condition
In April 2016, The government has made the rules of EPF withdrawal very strict. According to new rules you can’t withdraw the employer’s contribution before the age of 58. After the protest by trade unions, the government rolled back its decsion. Now the old rule of EPF withdrawal prevails. It means, you can withdraw your EPF amount before the retirement if you remain jobless for two months.
In the budget 2016, the government has also proposed tax on 60% amount of PF corpus. But after the massive protest, the government junked this proposal.