The Employees’ Provident Fund (EPF) Scheme, 2026, now mandates a minimum balance of 25% of the eligible member balance for partial withdrawals, effective June 29. This rule applies to both employee and employer contributions, ensuring that a portion is retained before any withdrawal. The eligible member balance is calculated after deducting this mandatory minimum balance.
Under the revised scheme, various reasons qualify for partial withdrawals, including housing-related expenses like buying property, constructing a house, or repaying a housing loan. Additionally, withdrawals can cover costs related to illness, education, and marriage, allowing for up to 100% of the eligible balance to be withdrawn. After 12 months of service, members can make partial withdrawals without detailed explanations.
The Employees’ Provident Fund Organisation (EPFO) has introduced a new feature for direct withdrawal of provident fund savings into bank accounts through the Unified Payments Interface (UPI). This initiative aims to enhance service delivery and simplify access to savings for over seven crore EPF members. EPFO also plans to launch member services on WhatsApp to facilitate interactions, including checking balances, tracking transactions, and monitoring claim statuses in regional languages for improved accessibility.
