EPFO 3.0 Update: PF Withdrawal Through UPI and ATM Likely to Start by June-End; Check How It Will Work, Limits

In a major relief for nearly 7 crore EPFO subscribers, the Centre is set to roll out one of the biggest digital reforms in India's social security system. Under the upcoming EPFO 3.0 upgrade, provident fund (PF) members may soon be able to withdraw a part of their savings instantly using UPI and ATM-linked services.

EPFO 3.0 Update: UPI, ATM-Based PF Withdrawal Facility Likely to Start by June-End

According to the latest developments, the new facility is expected to be launched by the end of June 2026. The move aims to make PF withdrawals faster, completely digital and less dependent on lengthy paperwork or manual approvals.

EPFO 3.0 Trial Successfully Completed; Service Expected Soon

Union Labour and Employment Minister Mansukh Mandaviya has confirmed that the technical trial of the new PF withdrawal system, being developed in collaboration with the National Payments Corporation of India (NPCI), has been successfully completed.

EPFO is currently upgrading its core server infrastructure to support the new technology. Once the backend improvements are completed, the UPI and ATM-based withdrawal facility is expected to be made available to eligible members.

The new system is expected to significantly reduce the hassle of PF claims, as members may no longer have to depend on extensive documentation or prolonged processing timelines to access their own savings.

How EPFO's UPI and ATM-Based PF Withdrawal System Will Work

After the facility goes live, EPFO members are expected to get a new 'Withdraw via UPI' option on the EPFO Member Portal and the UMANG app.

How to Withdraw EPF Money Through UPI

Log in to the EPFO Member Portal or UMANG app

Select the 'Withdraw via UPI' option

Enter your registered UPI ID

Approve the UPI mandate request received on apps like Google Pay, PhonePe or Paytm
Complete Aadhaar-based OTP verification

Once the claim is approved, the EPF amount will be credited directly to your linked bank account

How to Withdraw EPF Money Through ATM

Submit and complete your EPF withdrawal request through the EPFO digital platform

Complete Aadhaar and UPI-based authentication as required

Once the approved amount is transferred to your registered bank account, visit any ATM linked to that account

Use your debit card and withdraw the credited PF amount like a regular cash withdrawal

EPF money will not be directly available from an ATM using a separate EPFO card. The ATM facility refers to withdrawing the amount after it has been transferred to your bank account.

How Much PF Money Can Members Withdraw?

The upcoming digital withdrawal facility is expected to maintain limits to ensure that retirement savings remain protected.

Under the proposed framework: Members may be allowed to withdraw 50% to 75% of their eligible EPF balance during approved emergency situations. A minimum 25% balance may have to remain in the EPF account to safeguard long-term retirement savings.

These safeguards aim to balance quick access to funds during emergencies while preserving employees' financial security after retirement.

EPFO Raises Auto-Settlement Limit to Rs 5 Lakh

In another major improvement, EPFO has increased the auto-settlement limit for certain eligible claims, including medical treatment, education and marriage-related requirements.

The limit has been raised from Rs 1 lakh to Rs 5 lakh, allowing qualifying claims to be processed automatically without human intervention, provided all member details and KYC records are properly updated.

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