Existing EPF Withdrawal Rules and New EPF Withdrawal Rules w.e.f 10th Feb 2016

1)Limit on PF Withdawals
Existing Rule
The EPF members (employees) can withdraw the full EPF balance after 60 days of unemployment. (The EPF balance consists of employee’s contributions + employer’s contributions + interest amounts. Every month 12% of your “salary” is contributed towards EPF account.)

 Employee can withdraw the full PF amount on retirement from service (55 years) or on cessation of employment and not being employed for at least 60 days.
New Rule
The EPF members cannot withdraw full PF amount before attaining the age of retirement. The maximum withdrawal on cessation of employment cannot exceed an amount aggregating employee’s own contribution and interest accrued thereon. You can withdraw your contributions + interest portion only. The employer’s portion can be withdrawn after attaining the retirement age (58 years).

2)Continuity of EPF Membership 
Existing Rule
If an employee withdraws full EPF amount after resigning from the job, his/her PF membership is deemed to be terminated. That means he/she is not a member of EPF scheme after the full withdrawal.
New Rule
An employee can only withdraw his share on resigning from the job. You cannot withdraw full EPF amount before attaining the retirement age. So, you will still be the member of EPF even if you cease to be an employee of a EPF covered establishment

3)Retirement Age
Existing Rule
The retirement age is considered as 55 years

New Rule
The age of retirement has now been increased from 55 to 58 years

4)Withdrawal of 90% of EPF Balance
Existing Rule
Employee can withdraw up to 90% of your entire PF balance (employee share + employer share) on attaining 54 years of age or within one year before actual retirement, whichever is later.
New Rule
Employee would now be able to avail this option only on attaining the age of 57 years. The age has now been increased from the current 54 years to 57 years.
 
 Note
The Ministry of Labour and Employment, Government of India, has recently made a few amendments in the Employees’ Provident Fund Scheme, 1952 (PF Scheme). These guidelines are mainly related to ‘early withdrawals‘ from Provident Fund & provisions related to PF withdrawals.  These latest EPF withdrawal rules are effective from 10th February, 2016.