Employee Provident Fund EPF is the fund contributed from the salary and is generally meant as a retirement saving or handy corpus when an employee resigns from his job.
Employees and employers contribute towards this fund as part of the CTC.
Even though the amount deposited in the Employees’ Provident Fund (EPF) account is generally meant for retirement, the company allows subscribers to partially withdraw (EPF Withdrawal) during emergencies. Even if one is employed and still working, partial withdrawal is permitted on certain grounds.
Some amount of cash can be withdrawn from EPF funds in various cases like education, medical, marriage, house construction etc. But it comes with few limitations. In the latest announcement EPFO has made a key change to this. EPFO has doubled the auto claim limit on medical grounds.
1 lakh can be withdrawn for medical purposes
EPFO disclosed in a circular. “We are increasing the auto claim settlement limit under paragraph 68J from Rs.50 thousand to Rs.1 lakh,” it said. Subscribers have the option of withdrawing EPF money under this paragraph for medical expenses of their personal or family members.
This amount can be withdrawn if one is undergoing treatment in the hospital for more than a month or undergone surgeries or Claims can also be made for the treatment of TB, Tuberculosis, Paralysis, Cancer and Heart disease.
Online claim option is also available. Amount can be withdrawn by submitting a self-declaration without any medical certificates. However, the employee can only withdraw six months’ basic plus DA or the employee’s share (including interest) of the deposited amount, whichever is less up to 1 lakh rupees.
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