Complete Guide to Withdrawing PF and EPF After Leaving a Job

2025-06-01

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Leaving a job comes with several financial and administrative tasks, one of which is withdrawing your Provident Fund (PF) and Employees' Provident Fund (EPF). These savings are crucial for your long-term financial well-being and are an integral part of your retirement plan. Knowing the correct process, eligibility criteria and best practices ensures a smooth withdrawal and better financial planning.

Key Takeaways

You can withdraw your PF and EPF after leaving a job, but only after two months of unemployment.
Forms 19, 10C, and 31 are required based on whether you're withdrawing fully, partially, or claiming pension benefits.
Withdrawals made after five years of continuous service are tax-free; earlier withdrawals may attract TDS.
Accurate KYC details and an active UAN are essential for smooth claim processing.
Instead of withdrawing, consider transferring your PF or using other retirement plans to build long-term financial security.

What are PF and EPF?

Before diving into the withdrawal process, it is essential to understand what PF and EPF are.

Provident Fund (PF): A government-backed savings scheme wherein both the employee and the employer contribute a portion of the salary every month.
Employees' Provident Fund (EPF): A specific type of PF applicable to salaried employees under the Employees' Provident Fund Organisation (EPFO) in India.

Both are designed to secure the financial future of employees, especially during retirement. Together, they form a foundational pillar of your retirement plan, offering financial stability post-employment.

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When Can You Withdraw PF and EPF?

PF and EPF can be withdrawn under the following circumstances:

After Leaving a Job: You can apply for withdrawal after two months of unemployment.
Retirement: Full withdrawal is allowed at the age of 58 or upon formal retirement.
Partial Withdrawals: Allowed under specific conditions, like medical emergencies, education, or marriage.
Permanent Relocation Abroad: You are eligible to withdraw your entire balance.
Death of the Account Holder: Nominees can withdraw the balance amount.

Eligibility Criteria for PF and EPF Withdrawal

You can only apply for PF and EPF withdrawal if certain conditions are met:

Unemployment Period: A minimum of two months after leaving your job is required for full withdrawal.
KYC Compliance: Your UAN must be linked with your Aadhaar, PAN, and active bank account.
Valid UAN and Mobile Number: Ensure these are active to receive OTPs and status updates.
Linked Bank Account: The bank account should be in your name and match the EPFO records.
Retirement or Permanent Disability: In these cases, full withdrawal is permitted without a waiting period.

Step-by-Step Guide to Withdraw PF and EPF Online

With digital transformation, the EPFO portal allows you to withdraw your funds online. Here's how:

Visit the EPFO Unified Portal at https://unifiedportal-mem.epfindia.gov.in/
Log in with your UAN and password.
Check and update KYC details. Make sure your Aadhaar, PAN and bank details are verified.
Move to 'Online Services' and select 'Claim (Form-31, 19 & 10C)'.
Next, enter the last four digits of your bank account for confirmation.
Choose the type of withdrawal. You can select final settlement, partial withdrawal or pension withdrawal.
Submit the claim form. Once submitted, the request is processed within 7-10 working days.

Track Your Claim

Go to the 'Track Claim Status' section in the portal.
Enter your UAN and password to check updates.

Offline Method of PF and EPF Withdrawal

If you prefer the traditional route or cannot access the online portal:

Download the Composite Claim Form: Available on the EPFO website.
Choose Aadhaar or Non-Aadhaar Variant: Based on whether your Aadhaar is linked with UAN.
Fill out the Form Manually: Attach identity proof, PAN, and bank account details.
Submit to the EPFO Office: Either in person or via your employer.

Note: The offline process may take longer due to manual verification.

Documents Required

To ensure smooth processing, prepare the following:

Aadhaar card (linked to UAN)
PAN card
Cancelled cheque with the IFSC code and your name
UAN details
Form 19 (for PF settlement)
Form 10C (for pension withdrawal)
Composite Claim Form (if applying offline)
Employer's attestation (for non-Aadhaar-based claims)

Did You Know?

For the FY 2024-25, the Government has maintained the EPF interest rate at an attractive 8.25%, benefiting over 70 million subscribers.

Source: The Economic Times

Detailed Overview of Forms 19, 10C, and 31 Used in PF and EPF Withdrawal

Using the correct form streamlines the process and reduces the chances of delay or rejection. To withdraw your PF or EPF, you'll need to understand these three forms:

Form 19: For final PF settlement after leaving your job. You can apply after two months of unemployment or upon retirement.
Form 10C: For claiming pension benefits under the EPS or obtaining a scheme certificate. Applicable if you've worked for more than 6 months but less than 10 years.
Form 31: For partial withdrawals due to specific needs like medical treatment, education, or housing. No unemployment period is required.

Tax Implications on PF Withdrawal

Understanding tax treatment is a key part of your retirement plan. Here's what you need to know:

Withdrawal after 5 years of continuous service: Completely tax-free.
Withdrawal before 5 years: Subject to tax under 'Income from Other Sources'. TDS is deducted at 10% if the amount exceeds ₹50,000.
No PAN Provided: TDS at 30% is applicable.
Transferred PF instead of withdrawal: No tax liability, and the funds continue to earn interest.

Pro Tip: If you've changed jobs, transferring the PF account to your new employer is a better alternative for your retirement plan.

Key Mistakes to Avoid and Essentials to Keep in Mind During PF and EPF Withdrawal

When initiating your PF or EPF withdrawal, avoiding common pitfalls and staying informed about procedural requirements can save time and prevent delays.

Mistakes to Avoid:

Incorrect Bank Account Details: This can cause transaction failures and refund issues.
Mismatch in KYC Details: Your Aadhaar and PAN must perfectly match the records associated with your UAN.
Claiming Before Eligibility: Applying within two months of leaving your job may result in rejection unless exceptions apply.
Submitting Multiple Claims: Avoid applying more than once for the same withdrawal purpose.

Essential Points to Remember:

Ensure Your UAN is Active and KYC-Compliant: Your Universal Account Number must be fully updated and verified.
Update Your Mobile Number: OTPs and claim updates are sent to your registered mobile.
Double-Check Your Documents: Inconsistencies between submitted documents can lead to rejections or prolonged processing.
Verify PF Balance in Advance: Always check your EPF passbook before applying to confirm available funds.
Track the Claim: Regularly monitor your application on the EPFO portal for real-time updates and resolution.

Benefits of Withdrawing Strategically

Though withdrawing PF and EPF is permitted, strategic planning is crucial to avoid compromising your retirement plan. A disciplined approach helps maintain a retirement corpus and offers long-term financial peace. Instead of withdrawing immediately, consider:

Transferring the PF to your new employer's account.
Withdrawing only in emergencies.
Allowing the funds to grow by earning interest until retirement.

Alternatives and Long-Term Options Beyond PF and EPF Withdrawal

While PF and EPF serve as strong pillars of your retirement plan, there are smarter ways to ensure long-term financial stability without dipping into your provident fund prematurely. Withdrawing should ideally be the last resort. Here are some better alternatives and complementary strategies:

Emergency Loans: In urgent situations, consider personal loans or gold loans, which allow you to tackle short-term needs without affecting your retirement corpus.
Insurance Coverage: A solid health or life insurance plan can help manage sudden medical or financial risks, reducing the need to withdraw from PF funds.
Long-Term Retirement Plans: Instead of relying solely on your EPF, explore other avenues such as:
1. Pension Plans: These offer a guaranteed monthly income after retirement.
2. ULIPs: Combine life insurance with market-linked returns for flexible investing.
3. Savings and Endowment Plans: Encourage disciplined savings habits with assured returns.
4. Retirement-Focused Mutual Funds: Suited for those seeking market growth aligned with long-term goals.

Integrating these alternatives into your financial planning allows you to preserve your PF while also enhancing your retirement readiness. These options offer better liquidity, diversification, and adaptability to changing life stages.

Conclusion

Withdrawing your PF and EPF after leaving a job is a significant step in managing your finances. By understanding the process, eligibility, taxation, and available options, you can make smart choices that align with your retirement plan. While PF offers security, pairing it with a diversified retirement plan ensures you stay financially comfortable in your golden years.

To further strengthen your financial future, explore the flexible and reliable retirement solutions. Start planning today for a secure tomorrow. Visit Canara HSBC Life Insurance website to explore your options.

Glossary

UAN (Universal Account Number): A unique ID that links all your PF accounts, making it easier to manage and transfer funds.
EPFO (Employees' Provident Fund Organisation): A statutory body under the Ministry of Labour that manages PF and pension schemes.
KYC (Know Your Customer): A mandatory process to verify your identity using Aadhaar, PAN, and bank details for PF services.
Composite Claim Form: A single form used for PF, pension, and partial withdrawals, available in Aadhaar and non-Aadhaar variants.
EPS (Employees' Pension Scheme): A scheme under EPFO that offers monthly pension benefits after retirement or permanent disability.

FAQs

No, you must wait two months after leaving your job to be eligible for full PF withdrawal unless you're retiring or facing a medical emergency.

Log in to the EPFO Unified Portal using your UAN and password, ensure KYC is complete, and apply using the online claim form under 'Online Services'.

PF withdrawal is tax-free if you've completed 5 years of continuous service. Otherwise, TDS applies, especially if PAN is not provided.

You'll need your Aadhaar, PAN, cancelled cheque, and UAN details. Ensure all documents are linked and verified for smooth processing.

Yes, but only for partial withdrawals under specific conditions, such as medical emergencies, marriage, education, or home purchase.

Disclaimer - This article is issued in the general public interest and meant for general information purposes only. The views expressed in this blog are solely those of the writer and do not necessarily reflect the official policy or position of Canara HSBC Life Insurance Company Limited or any affiliated entity. We make no representations or warranties of any kind, express or implied, about the completeness, accuracy, reliability, suitability, or availability with respect to the blog or the information, products, services, or related graphics contained in the blog for any purpose. Any reliance you place on such information is therefore strictly at your own risk. You should consult with a qualified professional regarding your specific circumstances before taking any action based on the content provided herein.

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