EPF Revolution: Withdraw ₹1 Lakh Instantly via ATM & UPI—New Rules You Can’t Ignore!

Big news for India’s salaried employees—EPFO has unleashed sweeping reforms in 2025 to make withdrawing your hard-earned EPF savings faster and simpler than ever before. The headline change? EPF 3.0, rolling out from June 2025, lets members withdraw up to ₹1 lakh instantly through ATM and UPI. Forget endless paperwork—the new system slashes the wait time and hassle of older procedures.

EPFO chief executive Amit Ghosh revealed that partial withdrawals up to ₹5 lakh will now be auto-settled within 72 hours. If your KYC is complete and your Aadhaar is linked with your UAN, you don’t even need your employer’s signature.

Eligibility remains clear:

Full withdrawal at age 58, or if unemployed for two months (up to 75% of corpus), or if relocating abroad permanently.

Partial withdrawals continue for medical treatment, marriage, education, house construction, and home loan repayment. For example, after seven years of service, you can withdraw 50% of your own contribution for marriage or education. For medical expenses, you can take out six months' basic wages or your contribution plus interest—whichever is lower—without any service minimum.

Important conditions apply:
Members must have their KYC fully updated (Aadhaar, PAN, bank account, mobile linked to UAN). Claims can be filed on the EPFO portal or UMANG app. The new instant withdrawal option will work only if your bank account is UPI-enabled.

Tax rules stay the same:
Withdrawals after five years of continuous service remain tax-free. Early withdrawals face TDS of 10% with PAN, 30% without PAN. No TDS applies for withdrawals under ₹50,000. EPFO says 95% of claims are now automated, reflecting the government's digital push. The ATM and UPI features aim to turn EPF savings into a true emergency fund, offering both long-term security and short-term liquidity when members need it most.
 

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