When Provident Fund can withdrawal
Employee Provident Fund Scheme 1952 establish for benefit of employees.
Employees Provident Fund many people say PF as short. Provident fund is a small saving on monthly basis from salary and equal amount from employer. It is mandatory savings cum retirement scheme.
According to provident Fund Act 1952 the employees must contribute 12% their basic pay every month. The employer also contributes 12% amount to this fund. Government pay interest on the deposited amount on annual basis.
As per provident fund Act 1952 an employees can withdraw the entire sum from the employees provident at the retirement. However an employees can withdrawal premature some amount as per satisfied certain conditions.
When can withdraw from EPF
1. At the time of retirement
At the time of retirement
When a individual retires or when an employees left origination and such employees remains unemployed for more than two months.
An employees can partial withdrawal of EPF amount after satisfied certain conditions
1.Marriage purposes of him self and brother and sister or his son and daughter after seven year of service . Employees can withdrawal up to 50% of his contribution amount.
2. Purchase of land or purchase or construction of a house after five year of service. Employees can withdrawal up to 36 times of monthly salary up to maximum of total cost.
3. Home loan repayment after 10 years of services .
4. Medical purposes up to 6 times of basic salary.
5. Education loan after 7 years of services up to 50% of employees contribution to EPF.
6. Partial withdrawal before retirement after 54 years of age during the year. Employees can withdrawal up to 90% PF amount total amount with interest.
7. House renovation purposes after 5 years of service.