How long do we have to wait for PF withdrawal after leaving job?

EPF, more commonly known as Employee Provident Fund is essentially a retirement corpus, with which an employee is allowed to make withdrawals, if they have been specifically unemployed for more than or at least 2 months. As of now, the EPFO allows you to get as much as 75% PF withdrawal, if you avail of it right after one month of unemployment. Companies are legally bound to pay Provident Fund and it basically has one main motive. It aims at helping the salaried class of population, offering them financial assistance after retirement. To help with this fund, the employee has to keep some money aside from the net salary he or she is receiving.

This amount is deposited with the PF authorities until the employee finds the need to withdraw it.  When it comes to withdrawing the money, the employee gets a few choices. For one, they are allowed to withdraw the money right after leaving the job. On the other hand, they can choose to transfer the money to the new employer. With the introduction of Universal Account Number, or UAN, every employee is assigned a unique number for PF necessities. This further makes it much easier to track the balance, withdraw and initiate transfer of the EPF balance.

It is quite common for employees with EPF to take out the money from their employer before it goes to the new employer. However, withdrawing the money negates the whole purpose of an EPF. Unless you really need to money, for reasons such as a medical emergency or unemployment, it is best if the money is left untouched. This will further help you create a great financial pool and safeguard your position in the long run. Nevertheless, if you still want to withdraw the money, this article is a great read. Here you will learn all about the complicated steps involved in withdrawing your Provident Funds.

Conditions you need to know for withdrawing EPF Balance

For a successful initiation of the withdrawal, these are some conditions that have to be met:

1. Both the employer’s and employee’s contribution should be updated when it comes to periodic remittances from the former. You can also check your EPF balance online to known if those contributions have been made to your account.
2. All personal details of the employee have to be up-to-date further helping avoid any kind of conflict or confusion during the time of withdrawal.
3. It is necessary for the employee to wait at least 2 months from the last working day before they can claim these funds.
4. Any other conditions that might be necessary for the withdrawal have to be communicated by the employer prior to the withdrawal issue or before your leave from the company.

What are the documents required for the fulfilment of these claims?

It would not be wrong to say that the EPF withdrawal process can be rather lengthy and challenging. It involves the need of several agents, like you previous employer, the Regional PF office and a forwarding agency to name a few. Even the slightest discrepancy in the paperwork can result in a rejection which means the whole thing has to be started from scratch. However, if you want to encash the balance, this document checklist can help you prepare a lot better, increasing your chances of approval.

• A PF Account Number or the Universal Account Number your employer has issued for you.
• All the details relating to the Date of joining and leaving the company. This should also match the official records in the PF authorities.
• You will also need Form 10C and 19 and form 31 in EPFO. Although the latter is required for quickening the PF account, the former deals with the pension fund.
• All the bank details that are required for EFT (electronic Funds transfer) like the IFSC code, account number, the branch name and a cancelled cheque.

How can you initiate a claim?

Now that you already know about the eligibility conditions and the documentation required, there are some steps that can help you. Keeping in mind these steps will only help guide you in the right direction and make your attempt a successful one.

1. Visit the H.R. or the Payroll department in your office after 2 months from the day you left. You also need to be submitted a cancelled cheque on this day, so remember to carry your chequebook.
2. You will be given Form 10C and 19 by your representatives which you will have to fill and sign. If there is any confusion, you will be given proper instructions.
3. Make sure you read the forms well, as there are sections that need to be filled by the employer.
4. Make sure that you validate the input since it might get rejected by PF authorities in case of any incorrect information.
5. Once you have submitted the forms, your HR department will attest it and forward it to your regional PF authority. Your company can either directly do it or use the help of representatives for the same.
6. You will get all details and updates about the task either through a phone or email. However, if they fail to inform you, you should call at regular intervals.
7. In case your form gets rejected, it will come back directly to the employer for resubmission or correction.

Processing time

Once you have rightly filled all the information and submitted your forms with the right documents, it roughly takes the regional PF office about one month to process and disburse the money to your account. However, given the recent electronic and technological development, there has been a lot of improvement in processing speeds. Nowadays you can ideally expect your money to be in your account within 10 days. You are going to be given a quoted time, if the money does not arrive, you can always ask your representative or check online.

With these tips it is going to be a lot easier for you to ensure that you get your PF after leaving office.