You will be able to withdraw PF through UPI-ATM from this month: Preparations to launch the new system completed, 7.8 crore subscribers will get money immediately.

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EPFO ATM UPI Launch: PF Withdrawal Instant Money For 7.8 Crore Subscribers

New Delhi1 hour ago

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Employees’ Provident Fund Organization (EPFO) is going to start the facility to withdraw funds through ATM and UPI by the end of May. Under the EPFO 3.0 initiative, 7.8 crore subscribers will be able to get funds instantly without any paperwork.

This system will be fully implemented by mid-2026. After this, all the processes related to PF will become user friendly. This includes features like auto-claim settlement and direct fund transfer to the bank account of the employee’s choice.

With the option of ATM and UPI, PF account holders will not need to go to the office. Let us understand this new system and the changes arising from it through these questions and answers…

Question 1: What is EPFO 3.0 and why is there so much discussion about it?

answer: EPFO means Employees Provident Fund Organization. It manages the PF amount deducted from the salary and makes arrangements for saving for retirement. EPFO 3.0 is its new digital upgrade, which is going to make the PF process easier and faster for 7.8 crore members. EPFO 2.0 already had some improvements, but 3.0 is being considered a game-changer.

Question 2: What is the facility of PF withdrawal from ATM-UPI and how will it work?

answer: This is the most special feature of EPFO 3.0. Currently, to withdraw PF one has to fill online form, submit documents and wait for 7-10 days.

But in EPFO 3.0, you will be able to withdraw money directly from your PF account through ATM, like withdrawing cash from debit card.

Also, up to Rs 1 lakh can be transferred instantly through UPI apps like PhonePe, GooglePay. With this, the need of money in emergency can be easily met.

Question 3: Will everyone get the facility of easy withdrawal?

answer: There will be some conditions for withdrawal from ATM, UPI. The member’s Universal Account Number must be active. It should also be linked to documents like Aadhaar, PAN, bank account number, IFSC code.

How much money can be withdrawn from PF account?

answer: EPFO is going to fix the limit for withdrawal through ATM or UPI. Under this, users will be able to withdraw only a maximum of 50% of the total amount deposited in their PF account.

However, under the rules of PF withdrawal, if a member loses his job then he can withdraw 75% of the money from the PF account after 1 month. With this he can fulfill his needs during unemployment. The remaining 25% deposited in PF can be withdrawn two months after leaving the job.

Question: 4 How to withdraw PF money from ATM and UPI?

answer: In this new process, EPFO will issue a special ATM card to its subscribers, which will be linked to their PF account. Using this card, subscribers will be able to withdraw their PF money directly from ATM machines. To withdraw money from UPI, you will have to link your PF account with UPI. After this, subscribers will be able to transfer PF money to their bank account.

Question 5: Apart from ATM withdrawal, what else will be new in EPFO 3.0?

answer: Many new features will come:

As soon as the claim is filed, it will be approved automatically, no need for manual checking.

If there is a mistake in PF details, there is no need to go to EPFO office, it will be corrected online.

e-KYC process will be easy. Updates will be available immediately on the app or portal.

Centralized Payment System for Pensioners. With this, pension will be available from any bank branch.

It will be easy to withdraw PF for purposes like housing, education, marriage.

Question 6: What will be the benefit to the members? Are there any conditions?

answer: There will be benefits like facility of instant withdrawal of money, less paper work, saving of time. But there are some conditions like UAN should be activated, Aadhaar-PAN should be linked to the bank account.

If service is less than 5 years, PAN is required for final settlement. The proposal to withdraw the entire amount after 10 years of service is also under consideration, but not confirmed yet.

Overall, these features will be very useful for job changers and those seeking help in emergencies.

Question 7: How right is it to withdraw money deposited in PF account?

answer: According to experts, PF account is the basis of your retirement. The compound interest earned in this creates a huge fund in the long run. EPFO has certainly made the withdrawal process digital and faster, but every small withdrawal weakens their old age security.

PF withdrawal income tax rules

If an employee completes 5 years of service in a company and withdraws PF, then there is no income tax liability on him. The period of 5 years can also be by combining one or more companies. It is not necessary to complete 5 years in the same company. The total period must be at least 5 years.

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