For those employed and utilizing a Provident Fund (PF) account, recent updates from the Employees' Provident Fund Organization (EPFO) are noteworthy. On June 24, 2025, Union Minister for Labour and Employment, Mansukh Mandaviya, announced a significant increase in the auto-claim settlement limit from ₹1 lakh to ₹5 lakhs, benefiting over 7.5 crore individuals. This change allows members to withdraw larger sums from their PF accounts in times of urgent financial need.

The EPFO introduced the auto-claim facility in April 2020, initially allowing withdrawals of up to ₹50,000. This limit was raised to ₹1 lakh in May 2024, and now it has been further increased to ₹5 lakhs, streamlining access to funds.

The claim settlement process has also been expedited, now taking only 3 to 4 days compared to the previous duration of 10 to 15 days. The EPFO is expanding the auto-claim facility to include withdrawals for marriage, education, and home purchases, in addition to medical expenses.

• The auto settlement process is automated, requiring no manual intervention from employees.
• To utilize this feature, your Universal Account Number (UAN) must be linked to your Aadhaar, PAN, and bank account, with KYC completed. Once a withdrawal request is submitted, the system will automatically initiate the claim verification process.
• Your claim will be processed within 3 to 4 days, and the requested amount will be directly credited to your bank account.