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Employees are eligible to withdraw their EPF contributions after reaching their retirement age. Read on to know the hassle-free EPF pension withdrawal online process in detail!
Employee Provident Fund, popularly known as EPF, is an excellent retirement planning scheme that allows eligible employees to generate a corpus for their retirement period from their salary contributions. Apart from employees, employers are also required to make contributions towards the PF account of their employees.
Note that the funds saved in the EPF accounts are entitled to earn a yearly interest, which is fixed at the rate of 8.15% in 2022-23 FY.
After reaching the retirement age, employees can withdraw this fund as a lump sum amount or at regular intervals based on their preferences. Besides, premature withdrawal is also allowed under certain terms and conditions.
Keep reading to know the detailed process of EPF pension contribution withdrawal.
What is EPF?
Employee Provident Fund (EPF) or Provident Fund (PF) is a retirement planning scheme introduced by the Employee Provident Fund Organisation (EPFO) of India. Under this scheme, both employer and employee make mandatory contributions towards the EPF account of the eligible employee.
It is important to note that EPF is not a single scheme. Instead, it comprises three different schemes or components with different objectives as follows:
- The first component of EPF is the accumulation of funds for your retirement. In simple terms, the contributions made by you and your employer are accumulated in your PF account and are subjected to an interest rate of 8.15%.
- The second part of EPF is the Employee Pension Scheme (EPS). The main objective of EPS is to generate regular pensions for eligible employees post their retirement.
- The third and last component of EPF is the Employer Deposit Linked Insurance Scheme or EDLI, which is a life insurance cover provided by EPFO. Under this scheme, the declared nominee of the member receives a lump sum amount in the event of unforeseen death of the member during his employment.
You don’t need to register for these schemes separately, as they will be automatically activated once you register for your EPF.
What Are EPF Pension Withdrawal Rules?
Following are the PF pension withdrawal rules that must be adhered to:
- The PF account holders are not allowed to withdraw their PF contributions partially or fully during their service period.
- PF account members can withdraw funds equivalent to 75% of funds in their PF account or 3 months of their salary plus dearness allowance, whichever is lower.
- In case you are unemployed for at least a month, you can withdraw 75% of your EPF funds. If you are unemployed for two months or more, you are entitled to withdraw the remaining PF amount as well.
- EPF withdrawal can be made both online and offline. In case of online withdrawal, the requests are processed within three working days. On the other hand, offline PF withdrawal claims can take up to 15-20 days to process.
How Much EPF Pension Can You Withdraw?
The EPF pension amount you can withdraw varies depending upon the reason for withdrawal. Below are the conditions for PF withdrawal under various scenarios:
Scenario When You Can Withdraw PF Balance |
Withdrawal Limit |
Medical Emergency |
You can withdraw your entire PF balance or 6 times your current monthly pay, whichever is lower. |
Wedding Ceremony |
You can withdraw 50% of the total PF balance. |
Home Renovation |
You can withdraw the PF balance equivalent to 12 times your salary. |
Unemployment |
You can withdraw 75% of your EPF balance after one month of unemployment and the remaining 25% of your balance. |
Retirement |
Employees can withdraw the total EPF amount after their retirement. |
Process of EPF Pension Contribution Withdrawal
As discussed above, you can withdraw your EPF contributions both online and offline. Let’s discuss both processes in detail:
EPF Pension Withdrawal Online Process
If you want to proceed through the online EPF withdrawal process, then your UAN (Universal Account Number) must be linked to your Aadhaar Card. Here is how the process works:
- Visit Unified Member Sewa Portal and log in using UAN and password.
- Locate the “Online Services” option in the menu bar and select “Claim (Form-31,19,10C & 10D)”.
- Next, your screen will display the automatically filled member details such as your name, father’s name, address, etc.
- Verify the member and KYC details by entering the last four digits of your registered bank account and clicking “Verify”.
- Next, select the “Withdraw Pension Only” option.
- From the tab “I want to apply for”, select “Only Pension Withdrawal (Form 10C)”.
- Enter your full address in the designated field of Form 10C, and check the disclaimer.
- Select “Get Aadhaar OTP” to receive an OTP on your registered mobile number.
- Enter the OTP in the text field and hit the “Validate OTP” option.
- Click “Submit Claim Form”.
Once done, you will receive a notification on your mobile number. This claim will be submitted via Form 10C, and your pension will be transferred to your bank account.
EPF Pension Offline Process
- Visit the EPFO website and download the composite claims form (With or Without Aadhar).
- In case of an Aadhaar claim, you must provide your bank details, and your primary bank account should be linked with your Aadhaar.
- In case of a non-Aadhaar claim, you will need to link the form with an account number.
- Submit the complete form to the EPF office in your jurisdiction.
Documents Required for EPF Pension Withdrawal Online Process
Below are the documents required for EPF pension contribution withdrawal:
- Aadhaar Card or any other ID proof
- Address proof
- Revenue stamp
- Bank account statement
Final Thoughts
EPF pension acts as an indispensable tool for retirement planning. Needless to say, this accumulated fund allows you to live your old age in a financially secure and stress-free way.
We have discussed everything about the EPF pension contribution withdrawal process along with the necessary details. This detailed guide will definitely help you withdraw your EPF pension in a simple and timely manner.
