For millions of salaried employees in India, the Provident Fund (PF) is a crucial financial safety net—used during job changes, medical emergencies, education expenses, or marriage. Until now, withdrawing PF money has been a time-consuming process involving forms, verification, and long waiting periods. But this is set to change soon.

The Employees' Provident Fund Organisation (EPFO) is working on a new system that will allow PF withdrawals through UPI, making the process almost as simple as sending money digitally.

When will the UPI-based PF withdrawal start?

According to officials, EPFO is likely to roll out the UPI-based PF withdrawal facility within the next two to three months. The system is being developed in collaboration with the National Payments Corporation of India (NPCI).

Under this system, PF members will be able to place a withdrawal request directly through a UPI app. EPFO’s backend system will then verify Aadhaar, bank account, and PF details. Once verified, the request will be processed much faster than the current mechanism.

How will the money be credited?

At present, even an auto-mode PF advance claim of less than ₹5 lakh takes at least three working days, while higher amounts take even longer. With the new UPI system, this waiting time is expected to reduce drastically.

Once a claim is submitted for eligible purposes—such as illness, medical treatment, education, or marriage—the system will instantly verify the details. After approval, the money will be transferred directly via the State Bank of India to the bank account linked with the member’s UPI ID. In many cases, the amount could be credited almost immediately.

Which UPI apps will support PF withdrawal?

This is the most important question for users. In the initial phase, PF withdrawal will be available only through the BHIM app, which is operated by NPCI.

• Full PF withdrawal will not be allowed at the start

• A withdrawal limit will be fixed, though the final amount is yet to be decided

• The limit will be set in line with Reserve Bank of India guidelines for UPI transactions

The idea is to ensure security and prevent misuse during the early rollout.

Will other UPI apps be added later?

Yes. If the pilot phase is successful, the facility may be extended to popular UPI platforms such as Paytm, PhonePe, and Google Pay in the future.

Why this is a big relief for employees

• Much faster PF withdrawals

• No lengthy paperwork

• Easy tracking through UPI apps

• Direct bank transfer with minimal delay