The Employees' Provident Fund Organisation (EPFO) is set to introduce major relief measures for its members. In a recent interview with a national media outlet, Union Labour Minister Mansukh Mandaviya announced that by March 2026, a system will be launched enabling EPF subscribers to withdraw their provident fund money directly through ATMs and UPI.
He said that just as 75 per cent of deposited funds can now be withdrawn instantly from Provident Fund (PF) accounts, this will become even easier in the future—there will be virtually no formalities.
Also Read | HDFC Bank reduces interest rates on fixed deposits: Here are the new rates
The minister explained that currently, withdrawing money from EPF requires filling out multiple forms and meeting various conditions, which becomes troublesome for many subscribers. Yet this money is entirely the employee's own savings. Keeping this reality in mind, the government wants to make the EPF withdrawal process technology-driven and simple. With ATM and UPI connectivity, withdrawing PF money will become as easy as regular bank transactions, indications suggest.
Earlier, in October 2025, EPFO went through several major reforms. According to the Labour Ministry, the EPF withdrawal rules were extremely complex until now. Due to different eligibility criteria for different purposes, minimum service periods, and restrictions, many applications would get stuck or cancelled. To resolve this problem, 13 separate categories have been consolidated into one simple framework.
Also Read | Why Airtel says 2025 marked a turning point for India’s telecom industry?
Under the new rules, the withdrawal amount from EPF has also increased. Previously, only the employee's own contribution and interest on it could be withdrawn, and that too was limited to 50 to 100 per cent depending on the reason. Now the limit has changed. In the revised framework, 75 per cent of the total fund—including employee contribution, employer contribution, and interest—can be withdrawn. As a result, employees will receive much more money in the same situation compared to before.
Additionally, the eligibility time period has been simplified. Previously, one had to wait two years in some cases, up to seven years in others. Now there's only one rule for all types of EPF withdrawals—minimum 12 months of service. This will enable employees to use their savings relatively quickly.
Also Read | Vedanta shares hit record â‚ą580, up 13.5% in 7 trading sessions
If members become unemployed, they can immediately withdraw 75 per cent of their total PF balance. The remaining 25 per cent can be withdrawn after one year. In specific circumstances—such as retirement at age 55, permanent disability, job loss, voluntary retirement, or permanently moving abroad—complete PF withdrawal is also permitted. Overall, experts believe that with the addition of digital facilities like ATMs and UPI, a new era will begin in the EPF system.
