The Employees’ Provident Fund Organisation (EPFO) has introduced new rules for 2025, aiming to enhance convenience, transparency, and financial flexibility for PF account holders. These updates will benefit both private and government employees. Below are the five major changes:
1. Facility to Withdraw PF Money from ATM
- EPFO will issue an ATM card, allowing subscribers to withdraw PF funds 24/7.
- This will significantly reduce the current 7-10 day waiting period for fund transfers.
2. Removal of Contribution Cap
- Employees will soon be able to contribute a percentage of their actual salary instead of the capped ₹15,000.
- This will enable members to accumulate larger retirement savings and receive higher pensions.
3. Upgraded IT Infrastructure
- EPFO is modernizing its IT systems to allow faster claim settlements with minimal human intervention.
- This upgrade will increase transparency, reduce fraud, and ensure quicker fund access.
4. Option to Invest in Equity
- Members may be allowed to invest directly in equities beyond ETFs.
- This change will help diversify portfolios and potentially yield higher returns on investments.
5. Ease of Pension Withdrawal
- Pensioners can now withdraw pensions from any bank across the country without extra verification.
- This will enhance convenience and save time for retirees.
Impact of These Changes
These updates aim to improve retirement planning, financial security, and transparency for EPFO members, ensuring a smoother and more efficient experience for managing their PF accounts.
