The EPFO ​​is rolling out UPI to simplify claim settlement for its subscribers. After this, every member will be able to withdraw PF funds using UPI.

Once the new feature is implemented, members will be able to transfer their PF funds directly to their bank accounts through the UPI payment gateway. (AI generated)

Provident Fund (PF) is a huge support for salaried individuals. PF money comes in handy during emergencies. Currently, it takes 7 to 10 days to withdraw PF funds online, while offline withdrawals can take up to a month. The government is now allowing Employees' Provident Fund Organization (EPFO) subscribers to withdraw their Provident Fund (PF) accounts directly through the UPI payment app. Under this initiative, EPFO's new mobile app, EPFO ​​3.0, is being launched. However, if you haven't completed these five steps related to PF transactions, you won't be able to withdraw any PF money through UPI.

PF withdrawal through UPI tested

• According to Labor Minister Mansukh Mandaviya, the testing of the UPI-based EPF withdrawal system has been successfully completed.
• After the new facility is implemented, members will be able to transfer their PF funds directly to their bank account through UPI payment gateway.
• The Labour Ministry is also working on a system in which the entire amount of PF account cannot be withdrawn at once.
• Under the new system, a portion of the PF balance will remain locked in the account for retirement security, while the remaining eligible amount can be withdrawn immediately.
• To make the transaction secure, it will be necessary to authenticate through UPI PIN.

Now let us know what are the 5 tasks which are necessary for PF transaction through UPI:-

First Step: Active UAN: You can withdraw provident fund funds only if your UAN number is active. Therefore, before initiating a PF transfer via UPI, employees should ensure that their UAN number is active.

Task Two: KYC Update: The most common problems with PF claims are due to name changes, date of birth, or other discrepancies in personal information. The name, date of birth, and other details in EPFO ​​records must match those on your Aadhaar card. Both your Aadhaar and PAN must be linked and verified with your UAN.

Task Three: Bank Account Details: Bank account details will be crucial for UPI-based withdrawals. The bank account number, IFSC code, and account holder's name entered on the EPFO ​​portal must be correct. If the account is closed or has an incorrect name or number, your payment may be blocked.

Step Four: Active Mobile Number: Your mobile number must be active and linked to your Aadhaar. This same number must also be registered in your UAN.

Task Five - Service Record: Sometimes the date of leaving the job is not updated. Old PF accounts are not linked, or multiple PF accounts remain. This can delay claim settlement. Furthermore, the nominee must also be updated.

What is the employee's and employer's contribution to PF?
Any government or private employee has a PF account, in which a minimum of 12% of the employee's basic salary is deposited. The company contributes the same amount. This account is managed by the EPFO. When an employee becomes a member of the Employee Provident Fund (EPF), they also become a member of the Employee Pension Scheme (EPS). 8.33% of the employer's contribution to EPF is deposited in the EPS. If you want to benefit from the pension benefit, contributing to the EPS for a minimum of 10 years is required.

Under what circumstances can you withdraw money?
If you need emergency medical treatment, you can withdraw some money. You can also withdraw money from your PF fund for your children's education. Withdrawals are also possible if you, your siblings, or your son or daughters are getting married. You can also withdraw money from the fund for buying a house or for home renovations.

When will the new rule come into effect?
​​Several media reports claim that PF funds can be withdrawn using UPI from July 1, 2026. However, no official order has been issued by the EPFO ​​yet. However, the EPFO ​​has been working on this feature for a long time.

How to withdraw PF funds using a UPI payment app?
To withdraw funds using UPI, you need to link your PF account to UPI. After this, EPF members will be able to withdraw funds instantly from their PF accounts using UPI platforms like GPay, PhonePe, and Paytm.

 PC:India.com