InvestorQ : When can I withdraw money from my Public Provident Fund account?
Anushri Vasa made post

When can I withdraw money from my Public Provident Fund account?

Juvina Maggie answered.
2 years ago
Most people think that the money from the PPF account can only be withdrawn at the time of retirement. However, if your PF account is opened with the Employee’s Provident Organization it can be withdrawn under 2 phases:
  • Partial withdrawal
  • Complete withdrawal

Partial Withdrawal:

One can withdraw money partially from the EPF only in case of certain specified reasons. Every reason has certain conditions that need to be fulfilled for facilitating withdrawal.

  1. House Construction or purchase of plot or Home loan repayment for self, spouse or joint: Employee can withdraw 90% of the withdrawal limit after serving a minimum period of 3 years.
  2. House Renovation or alteration of self, spouse or joint: Maximum withdrawal can be 12 times the basic salary or employee share with interest (whichever is lower), minimum service period shall be 5 years from the completion of the house.
  3. Marriage of self, siblings, and children: Employees can withdraw a maximum of 50% of the amount of PF balance limit. The minimum service period shall be 7 years.
  4. Medical treatment of self, spouse, parents, and children: Individuals can withdraw 6 times their monthly salary or total corpus (whichever is lower). No minimum service period is required.

Apart from the above reasons one can withdraw money partially for the following reasons:

  • Lockout or closure of the factory.
  • Natural calamity
  • Cut in electricity in the establishment
  • One year before retirement
  • Investment in Varishtha Pension Bima Yojana
  • Post-Matriculation Education of Children.

Complete withdrawal: on the other hand, can only be done under the following circumstances:

Permanent settlement in abroad.

Personal reasons

Marriage of female employees

Termination due to death, disability.

Closure of business of the employer.

Other reasons that are beyond control, such as Natural Calamity, etc.