EPFO tight­ens PF with­drawal norms

Hindustan Times ST (Mumbai) - HT Navi Mumbai Live - - FRONT PAGE - Press Trust of In­dia ht­metro@hin­dus­tan­times.com

NEW DELHI: Re­tire­ment fund body Em­ploy­ees’ Prov­i­dent Fund Or­gan­i­sa­tion (EPFO) has tight­ened norms on with­drawal of prov­i­dent fund as well in­vest­ment of such amount in Var­ishtha Pen­sion Bima Yo­jana for its over five crore sub­scribers. “Now, the sub­scribers will not be able to claim with­drawal of their prov­i­dent fund af­ter at­tain­ing age of 54 years. They would have to wait till at­tain­ing the age 57 years. The min­istry has no­ti­fied new rules,” a se­nior of­fi­cial told PTI.

As per the ear­lier norms, the EPFO sub­scribers were al­lowed to claim 90% of their ac­cu­mu­la­tions in their PF ac­count at the age of 54 years and their claims were set­tled just one year be­fore their re­tire­ment.

The of­fi­cial said that the ear­lier clause was rel­e­vant be­cause there were es­tab­lish­ments where re­tire­ment age was 55 years or 56 years.“In to­day’s sce­nario when re­tire­ment age is 58 years across all or­gan­i­sa­tion the clause of scheme is not rel­e­vant. But the big change is that now un­der this fa­cil­ity, the sub­scriber would be able to with­draw his con­tri­bu­tion and in­ter­est earned on it un­like 90 per cent of the to­tal ac­cu­mu­la­tions ear­lier.”

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