Employees Provident Fund (EPF) is one of the world’s oldest provident funds. The EPF Scheme, 1952 was introduced to provide social security to employees employed in an EPF covered establishment. The interest rate on EPF is reviewed on a yearly basis. For 2023-24, the EPF interest rate is 8.15 per cent.
An employee of an EPF establishment earning a monthly wage up to Rs 15,000 is mandated to join the fund and to contribute 12 per cent of wages, which includes basic wages, dearness allowance and retaining allowance, if any. Also, the rules mandate the employer to contribute 12 per cent of the wages.
The rules allow an EPF member to withdraw money from his account for various purposes, including purchase/construction of a dwelling house, illness, education, marriage, etc. A member is also entitled for credit of interest on his/her PF accumulations each year. Employees’ Provident Fund (EPF) is popularly referred to as PF (Provident Fund).
Withdrawal process of EPF
The PF members wishing to withdraw EPF for any of the above-mentioned purposes, the individual has to submit a withdrawal application either offline or through EPF online portal.
The offline process requires EPF members to fill a ‘new composite claim form’ or a ‘composite claim form” and submit it to the EPFO office. Next step would be to get the composite claim form attested by the employer.
PF withdrawal online process
EPF members should ensure they have an active Universal Account Number (UAN) and it should be linked with Aadhaar. The mobile number which is used to activate the UAN should be active. PAN number and the bank details with their IFSC code is also needed for PF withdrawal.
After ensuring all the mentioned requirements are in place, the members should log into the UAN online portal, verify their KYC details and then proceed as per instructions.
The interest rate for Employees’ Provident Fund (EPF), also referred to as PF (Provident Fund), was fixed at 8.15 per cent for 2023-24. EPF is a retirement savings scheme mandated by the government for people earning monthly wages up to Rs 15,000. Personal Finance Business News – Personal Finance News, Share Market News, BSE/NSE News, Stock Exchange News Today
