In a major relief for employees, the Employees’ Provident Fund Organisation (EPFO) has approved significant changes to its withdrawal rules. The Central Board of Trustees (CBT) gave its approval in the meeting held on October 13, 2025. Experts say the new rules will make it much easier for millions of private-sector employees to access their PF funds when needed.

🔹 Only Three Conditions for Withdrawal

EPFO has simplified the withdrawal criteria. Earlier, employees could withdraw funds for various purposes like medical treatment, marriage, or education. Now, withdrawals will be allowed only under three broad categories:

1. Essential Needs

2. Housing Needs

3. Special Circumstances

🔹 Employees Can Withdraw Up to 75% of PF Balance

Under the revised rule, subscribers can now withdraw up to 75% of the total balance in their EPF account, which includes both employee and employer contributions. However, they must maintain at least 25% balance in the account for future security.

🔹 Only 12 Months of Service Required

Previously, employees were required to complete several years of service — five years for housing and seven years for marriage-related withdrawals. Now, the minimum service period has been reduced to just 12 months for all types of withdrawals.

🔹 No Need to Give a Reason or Submit Documents

The new “Special Circumstances” category gives employees the flexibility to withdraw money without disclosing the reason or submitting any supporting documents. This will make the process faster and more transparent.

🔹 Higher Limits for Marriage and Education Withdrawals

EPFO has also increased the withdrawal limits for education and marriage:

• Education: Up to 10 times the basic limit.

• Marriage: Up to 5 times the basic limit.
  Previously, subscribers could make only three withdrawals in total.

🔹 New Rules for Final Settlement

Under the new rule, employees can now apply for final PF settlement 12 months after leaving the job, compared to the earlier two-month waiting period. For pension withdrawal, the eligibility period has been extended to 36 months after leaving employment.

💬 Expert View

Experts believe these changes will make PF withdrawals simpler, faster, and more transparent. The revised structure eliminates confusion caused by multiple conditions and long waiting periods, helping employees access their savings with greater ease.