EPFO: When and how can you withdraw pension money

Withdrawal Eligibility for EPF and EPS

Employees can withdraw their Employee Provident Fund (EPF) contributions at any time, regardless of the length of employment. However, the rules for withdrawing from the Employee Pension Scheme (EPS) differ, and thus you need to understand the specific rule for the withdrawal.

EPF and EPS contributions

Each month, 12 per cent of your basic pay and dearness allowance (DA) salary is deducted and contributed to the EPF by your employer and you. From the employer's contribution, 3.67 per cent goes into your EPF account, while 8.33 per cent is deposited into your EPS account. Whether you have worked for six months or 15 years, you can withdraw EPF money whenever you want under the rules, but for EPS withdrawal, you have to follow specific rules as given below.

EPS withdrawal rules

Working less than 6 months:
You cannot withdraw pension money if you have worked for less than six months. Contributions to the EPS account for more than six months are required to be eligible for withdrawal.

Working 10 years or more:
If you have worked for 10 years or more (or more than 9 years and 6 months), you cannot withdraw EPS money. Instead, you are entitled to receive a pension from the EPFO, which you can start receiving between the ages of 50 to 58.

Working between 6 months and 10 years*
If your employment duration is less than 9 years and 6 months and you do not intend to work further, you are not entitled to a pension from EPFO. You can settle your EPF and EPS amounts in full and finalise your settlement, after which your account will be closed by the EPFO.

How to claim EPS money

Less than 10 years of service:
If you have worked for less than 10 years, you can withdraw the money deposited in your EPS account when you make the full and final settlement of your EPF. You need to fill out Form 10C to withdraw this amount.

Pension benefits after retirement:
To claim pension benefits after retirement, you must fill out Form 10D. This form is also used in any situation where a person is entitled to receive a pension from EPFO.