In a major relief for millions of salaried employees, the Employees’ Provident Fund Organisation (EPFO) is preparing to introduce ATM and UPI-based withdrawal facilities for provident fund (PF) accounts. The new digital service, expected to roll out by March 2026, aims to make PF withdrawals faster, simpler, and more accessible, especially during emergencies.
Once implemented, EPFO members may no longer need to go through lengthy online procedures, paperwork, or employer approvals to access their own savings. Instead, PF money could be withdrawn much like cash from a bank account—directly through ATMs or UPI platforms.
The initiative is being driven by the Ministry of Labour and Employment as part of the government’s broader push toward digital financial inclusion and ease of living. Central Labour Minister Mansukh Mandaviya has confirmed that the government is actively working on enabling EPF withdrawals via ATM and UPI to reduce inconvenience faced by employees under the current system.
The minister pointed out that employees already have the right to withdraw up to 75 percent of their eligible EPF balance under existing rules. However, the withdrawal process often involves multiple steps, including filling out forms and waiting for approvals, which leads to delays and frustration. The new system is designed to eliminate these hurdles.
At present, withdrawing money from an EPF account usually requires logging into the EPFO portal, submitting claims online, and in some cases obtaining employer verification. While the system has improved in recent years, many members still experience delays in claim settlement.
With the proposed ATM and UPI facility, EPFO members are expected to gain near-instant access to their PF funds. This will be particularly beneficial during medical emergencies, job transitions, or other urgent financial needs. Members will not have to depend on EPFO offices or employers to access their own money, saving both time and effort.
The government’s goal is to make PF withdrawals as seamless as withdrawing money from a bank account using digital tools that people already use daily.
According to official statements, the existing rule allowing withdrawal of up to 75 percent of the eligible EPF balance will continue. The new facility does not change withdrawal limits but focuses on simplifying the mode of access. Exact daily or transaction-wise limits through ATM or UPI are expected to be clarified closer to the launch date.
Experts believe safeguards will be built into the system to ensure security and prevent misuse, while still allowing members quick access to funds.
The proposed ATM and UPI withdrawal feature is part of a larger set of EPFO reforms introduced in October 2025. During that phase, the government simplified the EPF withdrawal framework to reduce confusion and claim rejections.
Earlier, EPF withdrawals were divided into 13 different categories, each with its own conditions and documentation requirements. This often led to misunderstandings and rejected claims. These categories have now been merged into a simpler and more transparent structure, making it easier for members to understand eligibility and complete their claims successfully.
The government has repeatedly emphasized that EPF money belongs to employees, and systems should be designed to ensure they can access it without unnecessary barriers.
Once the ATM and UPI-based system becomes operational, claim settlement timelines are expected to improve significantly. Automation and digital verification will likely reduce manual intervention, minimizing errors and delays.
This move is also expected to reduce crowding at EPFO offices and lower the administrative burden on employers, who are currently involved in verification processes for many claims.
While the service is targeted for launch by March 2026, EPFO members may see pilot testing or phased implementation before a nationwide rollout. Detailed guidelines on usage, limits, security measures, and eligibility will be issued by the EPFO in due course.
Overall, the introduction of ATM and UPI withdrawals marks a significant step toward modernizing India’s provident fund system. By combining financial security with digital convenience, the government aims to ensure that EPF savings are not just secure but also easily accessible when employees need them the most.
