Housing, marriage, education, and medical treatment—you can now easily withdraw PF money for these five purposes..

If you are employed and hold an Employees' Provident Fund (EPF) account, there is significant news for you. The government has implemented the EPF Scheme-2026, under which the rules for partial withdrawal from the PF account have been made considerably easier compared to the past. The new system came into effect on June 29, 2026. Its objective is to ensure easy access to funds for employees during times of need while simultaneously securing adequate savings for retirement.

**Mandatory to Maintain a 25% Balance**
The most significant change under the new rules is that a minimum of 25% of the funds must remain in the account even after a partial withdrawal. In other words, employees can only withdraw from the 75% portion of the funds, referred to as the 'eligible member balance.' This balance includes contributions from both the employee and the employer.

**PF Funds Can Be Withdrawn for These 5 Needs**
Under the new EPF scheme, employees can withdraw money from their PF accounts in five specific situations:

1.  **Housing-related needs:** Up to 100% of the eligible balance can be withdrawn for purchasing a house, constructing a home, buying land, repaying a home loan, or home repairs.

2.  **Medical treatment:** Up to 100% of the eligible balance can be withdrawn for the medical treatment of the employee or an eligible family member.

3.  **Higher education:** Withdrawals are permitted up to a maximum of 10 times during the tenure of membership for the education of the employee or an eligible family member.

4.  **Marriage:** Money can be withdrawn from the PF account up to a maximum of 5 times for the marriage of the employee or an eligible family member.

5.  **Special circumstances:** Withdrawal of up to 100% of the eligible balance is also permitted during financial crises or other special situations defined under the scheme.

**Relaxed Rules on Service Duration**
Previously, withdrawing money from the PF account was subject to conditions requiring 2 to 7 years of service, depending on the specific need. However, this requirement did not apply to medical emergencies. Under the new scheme, partial withdrawals will generally be permitted only after completing 12 months of EPF membership. This will allow employees quicker access to their funds when needed.

**Simplified Documentation Process**
The online claim process has been streamlined under the new system. If an employee's Aadhaar, UAN, bank account details, and KYC are fully updated, the submission of physical documents will not be required in most cases. However, the EPFO ​​may request additional documentation if necessary for claims related to medical needs, education, or housing.

**What Hasn't Changed?**
While the new scheme introduces several changes, certain rules remain unchanged. The requirement of completing five years of continuous service pertains solely to tax implications, not to withdrawal eligibility. Furthermore, there have been no changes to EPF contribution rates, interest calculation methods, or the UAN facility.

**Advice for Employees**
Experts advise viewing the EPF primarily as a retirement fund; therefore, one should withdraw money from the PF account only when absolutely necessary. It is also important to consider tax regulations and other financial alternatives before making a withdrawal. The longer funds remain in the EPF account, the larger the corpus accumulated by the time of retirement.

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