Latest news with #EPFO3.0
India Today
16 hours ago
- Business
- India Today
Don't ignore your EPF: Here's why checking it regularly matters
Many salaried employees do not check their Employees' Provident Fund (EPF) accounts for years, often thinking it will quietly grow in the background until you leave your bank account unchecked for years, so why do it with your EPF?Think of your EPF account as your financial time capsule, slowly growing in the background while you hustle through the 9-to-5 grind. But what if one day you pop it open and find a big chunk missing? Or worse, no updates for years?advertisement Experts warn that many salaried employees don't realise until it's too late that their employer hasn't been depositing funds, or that a simple KYC error has locked their money away. And by then, the damage is already done, to both your money and your peace of Kumar, Sebi Registered Investment Adviser and Founder at said it is important for employees to keep an eye on their EPF accounts. 'It helps in keeping one updated on their retirement savings growth and interest accrual,' he major reason to check your EPF regularly is to ensure that your employer is depositing the money properly. In some cases, employers deduct the EPF amount from the salary but fail to deposit it with the Employees' Provident Fund Organisation (EPFO). 'Checking the EPFO balance helps in identifying such issues early on,' Abhishek are several other problems people face when they do not track their EPF accounts for a long time. 'Common issues include missing or delayed employer contributions, outdated KYC information, and technical errors that can make funds inaccessible or cause withdrawal delays,' he or missing deposits also hurt your savings in the long term. Over time, this could result in a smaller retirement fund than expected. 'Missing or incorrect deposits reduce one's retirement corpus and the compounding interest they earn over time. This can significantly impact their financial security after retirement and limit their access to EPF benefits,' Abhishek an employee notices any mistake in the EPF account, whether it's about the contributions or KYC details, it is important to act fast. 'Employees should first contact their employer to resolve discrepancies, and if unresolved, escalate the issue through the EPFO grievance system,' he advised. For problems related to KYC, employees can also update their details online through the EPFO Member EPF accounts has become easier in recent years due to new technology and rule changes.'Recently, EPFO has upgraded its system and now includes Aadhaar-based authentication for transfers, removal of certain documentation requirements, and the upcoming EPFO 3.0 platform, which will offer features like ATM card withdrawals, auto-claim settlements, and easier self-correction of personal details,' Abhishek The views, opinions, recommendations, and suggestions expressed by experts/brokerages in this article are their own and do not reflect the views of the India Today Group. It is advisable to consult a qualified broker or financial advisor before making any actual investment or trading choices.) - Ends
Economic Times
09-06-2025
- Business
- Economic Times
EPF 3.0: Withdraw PF by swiping from ATMs
Getty Images Currently, for PF withdrawals, EPF members are required to fill their online composite forms on the EPFO website. Theoretically, the money lying in our provident fund, or PF, account, is touted as our safest asset class, not subject to any attachment or lien or any market volatility. Practically, though, the very idea of taking out this money makes us fret, courtesy the cumbersome process of making claims for PF withdrawal and the associated long waiting periods for requisite approvals from the Employees Provident Fund Organisation (EPFO). However, the situation is going to change as the EPFO is rolling out its upgraded platform EPFO 3.0, most likely in June, for its 9 crore members. EPF members will be able to take out their PF money instantaneously via ATMs, just like from bank accounts, simply by swiping their PF withdrawal (ATM) cards. For such withdrawals, the members will need to keep their Universal Account Number (UAN) activated and seed their Aadhaar in their bank accounts. The EPFO has extended the last date for activating UAN and Aadhaar seeding in bank accounts to June 30. Currently, for PF withdrawals, EPF members are required to fill their online composite forms on the EPFO website. Though the specified period for settling such composite claim forms by the EPFO is 20 days, in reality, it takes much longer to get one's PF the upcoming UPI integration and withdrawal facility via ATMs, PF withdrawal settlement is set to become swift and hassle-free. The withdrawal limit is expected to be kept at Rs.1 lakh or 50% of the accumulated balance. However, an official notification from the EPFO in this regard is still awaited. Pull-out provisions Withdrawal from EFP account is permitted for multiple purposes, albeit under certain conditions and till a specified limit. Here are some common instances of taking out PF money. This well-intended reform of enabling PF withdrawals via ATMs is revolutionary indeed. However, the practical implementation of this enabling functionality will be subject to the fulfilment of existing prescribed conditions for partial and full withdrawal of PF money by members. According to the scheme of the Employees Provident Fund & Miscellaneous Provisions (EPFO) Act, 1952, EPF members can withdraw their entire balance of fund contributions at the time of retirement from service. The rules also permit partial withdrawals by EPF members during the continuity of their service, for certain specified purposes and subject to the fulfilment of prescribed conditions. For a bird's eye view of the same, refer to the watershed moment in PF reforms may have its fair share of tax implications too, with which everyone must be acquainted. Unlike bank balance withdrawals, not all EPF withdrawals via ATMs will be tax free. According to Rules 8 and 9 of Part A of the Fourth Schedule to the Income Tax Act, withdrawals are tax-free only if they are made out of recognised EPF accounts and after rendering continuous service of five or more years with one or more the current time-consuming and tedious process of submitting claims to take out money, and getting approvals, inherently acts as a disincentive or a deterrent for EPF members from making frequent and early withdrawals. Given the practical difficulties, EPF members usually prefer to wait till retirement to withdraw their the upcoming EPFO 3.0 facility for withdrawals via ATMs is naturally going to tempt EPF members to take money out of their PF account, more frequently and much before the completion of five years of continuous service. This, in turn, will make such withdrawals taxable at the applicable slab rates of the concerned EPF members, as per the provisions of the Income Tax practical consideration to be mindful of while taking out PF money from ATMs will be the applicability of tax deducted at source (TDS) provisions. Any PF withdrawal via ATMs in excess of Rs.50,000 before completion of five years of service will require TDS at 10%, as per Section 192A of the Income Tax Act on premature withdrawals. Thus, the tempting urge of withdrawing one's PF money by just a swipe of the card needs a cautious and well-informed restraint. Provident fund money is our retirement corpus, so we should swipe it carefully. The author is founder, Taxaaram India and Partner, S M Mohanka & Associates
Time of India
09-06-2025
- Business
- Time of India
EPF 3.0: Withdraw PF by swiping from ATMs
Theoretically, the money lying in our provident fund, or PF, account, is touted as our safest asset class, not subject to any attachment or lien or any market volatility. Practically, though, the very idea of taking out this money makes us fret, courtesy the cumbersome process of making claims for PF withdrawal and the associated long waiting periods for requisite approvals from the Employees Provident Fund Organisation (EPFO). However, the situation is going to change as the EPFO is rolling out its upgraded platform EPFO 3.0, most likely in June, for its 9 crore members. EPF members will be able to take out their PF money instantaneously via ATMs, just like from bank accounts, simply by swiping their PF withdrawal (ATM) cards. For such withdrawals, the members will need to keep their Universal Account Number (UAN) activated and seed their Aadhaar in their bank accounts. The EPFO has extended the last date for activating UAN and Aadhaar seeding in bank accounts to June 30. Currently, for PF withdrawals, EPF members are required to fill their online composite forms on the EPFO website. Though the specified period for settling such composite claim forms by the EPFO is 20 days, in reality, it takes much longer to get one's PF money. With the upcoming UPI integration and withdrawal facility via ATMs, PF withdrawal settlement is set to become swift and hassle-free. The withdrawal limit is expected to be kept at Rs.1 lakh or 50% of the accumulated balance. However, an official notification from the EPFO in this regard is still awaited. Pull-out provisions Live Events Withdrawal from EFP account is permitted for multiple purposes, albeit under certain conditions and till a specified limit. Here are some common instances of taking out PF money. This well-intended reform of enabling PF withdrawals via ATMs is revolutionary indeed. However, the practical implementation of this enabling functionality will be subject to the fulfilment of existing prescribed conditions for partial and full withdrawal of PF money by members. According to the scheme of the Employees Provident Fund & Miscellaneous Provisions (EPFO) Act, 1952, EPF members can withdraw their entire balance of fund contributions at the time of retirement from service. The rules also permit partial withdrawals by EPF members during the continuity of their service, for certain specified purposes and subject to the fulfilment of prescribed conditions. For a bird's eye view of the same, refer to the graphic. Tax implications This watershed moment in PF reforms may have its fair share of tax implications too, with which everyone must be acquainted. Unlike bank balance withdrawals, not all EPF withdrawals via ATMs will be tax free. According to Rules 8 and 9 of Part A of the Fourth Schedule to the Income Tax Act, withdrawals are tax-free only if they are made out of recognised EPF accounts and after rendering continuous service of five or more years with one or more employers. Paradoxically, the current time-consuming and tedious process of submitting claims to take out money, and getting approvals, inherently acts as a disincentive or a deterrent for EPF members from making frequent and early withdrawals. Given the practical difficulties, EPF members usually prefer to wait till retirement to withdraw their funds. However, the upcoming EPFO 3.0 facility for withdrawals via ATMs is naturally going to tempt EPF members to take money out of their PF account, more frequently and much before the completion of five years of continuous service. This, in turn, will make such withdrawals taxable at the applicable slab rates of the concerned EPF members, as per the provisions of the Income Tax Act. TDS on early withdrawals Another practical consideration to be mindful of while taking out PF money from ATMs will be the applicability of tax deducted at source (TDS) provisions. Any PF withdrawal via ATMs in excess of Rs.50,000 before completion of five years of service will require TDS at 10%, as per Section 192A of the Income Tax Act on premature withdrawals. Thus, the tempting urge of withdrawing one's PF money by just a swipe of the card needs a cautious and well-informed restraint. Provident fund money is our retirement corpus, so we should swipe it carefully. The author is founder, Taxaaram India and Partner, S M Mohanka & Associates
India Today
05-06-2025
- Business
- India Today
Want ELI scheme benefits? Make sure your UAN and Aadhaar are linked by this date
The Employees' Provident Fund Organisation (EPFO) has announced an extension of the deadline for Universal Account Number (UAN) activation and Aadhaar linking with bank accounts until June 30, 2025. This extension is crucial for employees aiming to benefit from the Employment Linked Incentive (ELI) THE ELI SCHEME ALL ABOUT?The ELI scheme was announced during the Union Budget 2024–25. It's an ambitious government initiative designed to generate over two crore jobs in the country within two scheme aims to provide financial incentives to both companies and employees, encouraging businesses to hire new staff and integrate them into a formal work environment. Furthermore, it seeks to enhance the skill set of the workforce, thereby increasing the employability of the scheme includes three major programmes aimed at helping both employers and employees. It's also part of a larger package meant to provide jobs, training, and support to around 4.1 crore young people in India over the next five years. The government has set aside Rs 2 lakh crore for OF UAN ACTIVATION AND AADHAAR LINKINGActivating the UAN is essential for utilising the EPFO's online facilities, which include checking the provident fund balance, transferring funds, and downloading Aadhaar linking is required to ensure that the provident fund amount is credited directly to the employee's bank DEADLINE AND MULTIPLE EXTENSIONSadvertisementInitially, the deadline for UAN activation and Aadhaar linking was set for November 30, 2024. However, this date has been extended multiple times to accommodate employees and ensure maximum participation in the ELI decision to extend the timeline reflects the government's commitment to increasing employment opportunities and enhancing livelihoods across the nation. This extension also allows more time for employees to comply with the requirements, ensuring that no one is left EPFO 3.0 PLATFORMThe EPFO is on the verge of launching EPFO 3.0, a new platform aimed at enhancing the user experience with improved accessibility and new platform promises features akin to banking services, such as ATM PF withdrawals and faster claim processing. Additionally, the EPFO is working on upgrading its grievance mechanism, introducing a more efficient grievance portal to address member concerns swiftly. This initiative is expected to streamline operations and make the EPFO's services more user-friendly, thus facilitating better service Watch
NDTV
01-06-2025
- Business
- NDTV
All About EPFO 3.0: From ATM Withdrawals To Faster Claim Settlements
In a major digital push aimed at improving accessibility and efficiency for salaried employees, the Employees' Provident Fund Organisation (EPFO) is set to roll out EPFO 3.0 in June 2025, according to a report by DD News. The platform is expected to bring several key changes to how provident fund subscribers access and manage their savings, including ATM withdrawals, auto-claim settlements, and OTP-based account updates. What to Expect from EPFO 3.0: ATM Withdrawals: In a first-of-its-kind move, subscribers may soon be able to withdraw EPF funds via ATMs, similar to a standard bank transaction. This feature is expected to go live after the approval and settlement of claims, giving users more direct access to their funds. Faster, Automated Claim Settlements: The upcoming version will include auto-claim settlement, significantly cutting down processing times and manual intervention. This is expected to speed up the transfer of funds into users' bank accounts. Digital Account Corrections: EPF account holders will soon be able to digitally update personal details such as name, date of birth, and other key information, eliminating the need for physical form submissions. OTP-Based Verification: Account updates will be made simpler through OTP-based authentication, streamlining the verification process and replacing older, form-based systems. Improved Grievance Redressal: The EPFO is also working on upgrading its grievance redressal system, aiming to address user concerns more efficiently through the new platform. Social Security Integration and Healthcare Expansion: EPFO 3.0 is part of a broader plan to create a unified social security framework. Efforts are underway to integrate central government welfare schemes such as the Atal Pension Yojana, Pradhan Mantri Jeevan Bima Yojana, and Shramik Jan Dhan Yojana into the EPFO ecosystem. In parallel, the Employees' State Insurance Corporation (ESIC) is also strengthening its healthcare offerings. Beneficiaries may soon be eligible for free treatment at hospitals under the Ayushman Bharat scheme, including both public and empanelled private facilities. Currently, ESIC provides healthcare coverage to nearly 18 crore individuals through its network of 165 hospitals. With EPFO 3.0, the government is aiming to modernise India's social security landscape by making it more accessible, integrated, and user-friendly for workers across sectors.
