Many people may be unsure about putting all of their cash directly into their PF account, with an extra amount of money to meet emergency needs. To address this issue, EPFO (Employees Provident Fund Organisation) has introduced form-31. It allows employees to take out money from their provident fund account with terms/conditions. The funds from the provident fund are savings options for retirement and under the conditions that employers and employees deposit an equal amount. With the EPFO, it is possible to save certain earnings.
Did You Know?
According to recent changes, EPFO has allowed members to withdraw EPF funds to fulfill COVID-19 requirements. In March 2020, India’s government India made a provision to allow EPF users to draw their basic payment and dearness allowance (DA) of up to 3 months or 75% of their total EPF corpus, whichever is less as an advance withdrawal.
However, this authorisation was only for a one-time payment for the relief of COVID-19. As part of the auto-claims settlement process, EPFO has now reduced the time frame for settlement of claims to 3 days, in contrast to the legal obligation of claims settlement within 20 days.
Also Read: UAN Status, Passbook And Account Balance
What is EPF Form 31?
Form 31 is also popular as the EPF Advance Form. Typically, it applies for partial withdrawal of PF funds or requests for advance withdrawals from the employee’s Provident Fund (EPF) account. Employees can’t withdraw money from their EPF accounts if they need to. There are specific rules regarding PF withdrawal. Also, withdrawals by using Form 31 are possible only in specific circumstances.
For partial PF withdrawals, it’s possible to fill the EPF Form 31 online and offline. When applying offline, the PF participant or applicant must fill in the details manually on the form. If an employee plans to apply online, the detail filling process is often automatic. The employee must register their UAN to avail of online services.
When Can Form 31 Be Used?
|
Purpose of withdrawal |
Withdrawal limit |
Before withdrawal, a necessary minimum amount of service |
Other conditions to consider |
|
Marriage |
Employees can contribute up to 50% of their salary to the EPF. |
7 years |
For self-, children’s, or siblings’ wedding expenditures |
|
Education |
Employees can contribute up to 50% of their salary to the EPF. |
7 years |
To pay for your children’s education 10th standard |
|
Renovation of home |
Up to 12 times the employee’s monthly wage plus the dearness allowance, or the employee share plus interest or cost, whichever is lesser. |
5 years |
The residence to be renovated must be owned by the member or their spouse, or the member must have a joint account with their spouse. This facility is available twice once the house is completed, once after 5 years and once after 10 years. |
|
Purchasing of land or property |
For house purchase: up to 36 times the employee’s monthly pay plus the dearness allowance, or the employee share plus interest or cost, whichever is smaller. For land acquisition: up to 24 times the employee’s monthly pay plus the dearness allowance, or the employee’s share plus interest or cost, whichever is lower. |
5 years |
Either the member’s or their spouse’s name must be on the property. It can also be owned jointly. |
|
Before retirement |
Up to 90% of the accumulated corpus, plus any accrued interest |
When the member reaches the age of 54, or within a year of superannuation or retirement, whichever comes first. |
The money should be sufficient to cover the member’s financial obligations. |
|
Repayment of loan |
Up to 24 times the employee’s monthly wage plus the dearness allowance, or the employee share plus interest, or the entire principle amount outstanding including interest |
10 years |
You’ll need to get a loan from a company that specifies the outstanding principal amount as well as the interest rate. |
|
If an employee has been without pay for more than two months or is unemployed without pay |
Share of the employee with interest |
NA |
Except for strikes, there can be several reasons why you may not receive your compensation. |
Be Aware of the Following Things Before Filling Out EPF Form 31 for Withdrawal
These are the most important things to be aware of when filling out the EPF Form 31 for withdrawal:
- Don’t forget to give the cancelled check with EPF request form 31 to deposit the money to your account at the banks.
- If the payable amount does not exceed ₹2,000, you can select only the money order payment option.
- You must fill out the EPF form for withdrawal 31 offline and your employer’s signature attesting to it.
- You need to connect your UAN to your bank account, PAN Card, Aadhaar and a cellphone to submit the EPF form for withdrawal 31 online.
- The process of processing EPF claims and distribution of cash is a matter of some time.
Application Procedure
The EPF member can request the claim form following the steps in the following:
- The member can initiate the downloading process by logging into the portal using their UAN and password through the EPFO members portal.
- To create an online request, you need to select the Claim option under the ‘Online Services’ tab.
- The following page will display all the details of the individual, including name, birth date, father’s name, name, PAN number, mobile number, Aadhar number and date of joining the company. The user can confirm such details before clicking “Proceed to Online Claim”.
- On the next section on the next page, the option ‘PF Advance (FORM 31) should be selected by tapping the dropdown list, which provides the types of forms.
- The reason for the advance has to be determined by the choices. The amount to be paid and the address for the recipient must be mentioned in the next section.
- The final stage involves signing disclosures. Following this, the applicant may request an OTP. You can complete the Claim Form through the OTP. You can then download the form.
Do you want to know how to determine EPF form 31 claim status? Then, read on to learn about it.
Also Read: How To Change your Mobile Number in the EPF Account
How Can I Determine EPF Form 31 Claim Status?
Below are some steps you can take to determine Form 31 claim status online:
- Go to the EPFO website using this link – https://www.EPFindia.gov.in/site_en/index.php.
- Click here to know your Claim Status.
- A dropdown list will come on the screen from where users need to choose the location in their PF office.
- The next page shows the location code and office code. Input the Establishment code right after.
- The next screen will ask users to enter a seven-digit account number.
- “Submit” form to check the status of your application to the right page.
The following section illustrates the steps about PF savings to a lesser extent.
How Can I Take PF Savings to a Lesser Extent?
Here’s how to withdraw PF savings:
- You can download the form from the EPFO portal – https://unifiedportal-emp.EPFindia.gov.in/EPFo/, and log in with your UAN and password.
- Then, click ‘Claim’ within the Online Services section. Type your details on the next page and select ‘Process to online claim.’
- Following this, you have to choose the PF Advance (EPF Form 31) option in The dropdown menu that appears on the page. Select the reason for which you’re receiving the advance.
- Select the amount and the address you’re currently in.
- You must now authenticate your Aadhaar information via OTP and click “Validate OTP”. Not tap the “Submit Claim Form”.
- After you have downloaded the form, you will need to fill in the details of your purpose of advances, the amount you need, your mobile number, etc.
- In addition, your employer has to fill out certain sections on the form, such as certification, dates, and the employer’s name.
Necessary Documents for EPF Withdrawal Form 31 Online Apply
The documents required for withdrawing your PF rely upon why you need the money. For instance, it is necessary to file the declaration and register the property when purchasing a home. In the same way, you must provide medical records to access money to cover medical emergencies.
Conclusion
To withdraw partial funds in EPF accounts, the members must fill-up the EPF Form 31. The advances or loans taken directly from an EPF account can aid members in meeting different financial obligations, particularly in the current Covid-19 pandemic.
Additionally, EPF Form-31 is one of the options that can simplify the process of saving without worrying about emergency funds. The most important consideration is that all information is error-free and exact. We believe that now you have gained clarity on the concept of EPF Form 31.
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