5 EPF updates that EPFO subscribers should know
The Employees Provident Fund Organisation (EPFO) has made various announcements in the recent times to make EPF withdrawal possible from one’s Provident Fund (PF) balance. These recent EPFO updates include second Covid-19 advance to non refundable advance from the EPF account. These updates in regard to PF withdrawal can be an avenue for fund raiser, in case, the EPF account holder comes across any kind of financial crisis.
Here are the 5 EPF updates that EPFO member should know:
1] Second Covid advance: The EPFO has announced that an EPF account holder who has availed Covid advance in first wave is now eligible for second Covid advance from one’s PF account. In this EPFO relief, an EPF account holder can withdraw up to 75 per cent of the EPF balance or 3-months basic wages plus Dearness Allowance (DA).
2] Non-refundable advance: An EPFO member, who is not in job for one month or more, can withdraw up to 75 per cent of their PF balance. This facility has been given to the EPF account holder without closing their PF account enabling the EPFO member to continue pension benefit under EPFO pension rules.
3] Covid advance after leaving job: An EPFO member is now eligible for Covid advance from one’s EPF account even after leaving his or her job provided full and final PF withdrawal hasn’t been claimed.
4] Rise in insurance benefit under EDLI scheme: The EPFO has raised the maximum insurance benefit under EDLI scheme from ₹6 lakh to ₹7 lakh. Now, if an EPF account holder dies during the services, then its nominee or legal heir (whichever applicable) will be eligible for insurance benefit up to ₹7 lakh. However, the minimum threshold has been left unchanged at ₹2.5 lakh.
5] EPF Aadhaar seeding: The EPFO has made it mandatory for the EPF and PF account holders to link their respective EPF account with Aadhaar card. In case of non-linking of Aadhaar-EPF account, employers won’t be able to contribute in such EPF accounts as EPFO won’t allow employers to file ECR (Electronic Challan-cum Return) for such EPF accounts. Earlier the deadline for Aadhaar EPF link was 31st May 2021, which has been now extended to 1st September 2021.
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