Understanding PF Withdrawal Benefits and Gratuity Eligibility After 3 Years of Work

Hi, I want to know what 'withdrawal benefits' are while withdrawing PF from one's PF account. Also, what is the eligibility for gratuity if I had worked for 3 years in a company until November 2007? Thanks.

Hi All, I would like to get some important information regarding PF, as I am working with one of the logistic companies, and they deduct almost INR 4750 as a PF deduction per month. Now I want to confirm that if I'll leave this company after completion of 3 months (I am on a 6-month probation period), then:

1. How will I manage the PF withdrawal?
2. Will the probation period be a bottleneck in any case?
3. Will it impact my new job?

Please solve my doubts...

Regards,

This is Prasad. My friend resigned from his previous company 4 months ago, and he wants to withdraw his PF amount in full. Can he submit Form-10C and Form-19 without the signature of his previous employer?

Submission of Withdrawal Claim

Submission of a withdrawal claim without a signature from the previous employer can't be entertained. After submission, it will be sent back to the establishment for verification. Notary, Gazetted officers, councillors, MLC, MLA, and MP are authorized to sign the form when the establishment is closed. If the establishment is operational, then only the authorized signatory of the establishment is allowed to sign. It is better to transfer your EPF accumulation to your current EPF account rather than withdrawing.

Thanks and regards,
Sumit Kumar Saxena
[Phone Number Removed For Privacy Reasons], [Phone Number Removed For Privacy Reasons]

Withdrawal Benefits and Gratuity Eligibility

What type of withdrawal benefits are you asking for? It is your money, and you know better how to utilize it. Secondly, for payment of gratuity, the eligibility of 5 years of continuous service is a must. Below that, no payment should be done, and each year is accompanied by 240 working days.

Thanks & regards,

Regards,
Sumit Kumar Saxena
[Phone Number Removed For Privacy Reasons], [Phone Number Removed For Privacy Reasons]

Gratuity and PF Withdrawal Guidelines

Gratuity for services rendered for less than a 5-year period is not admissible.

For PF withdrawal, there is one option if you are taking up another job: get it transferred to the new company. If you are leaving the career forever and are determined not to take another job any time in the future, you may withdraw your PF (both your own share as well as the employer contribution). However, I would suggest you apply for a scheme certificate for pension benefits should you change your decision in the future.

Thanks & regards

Gratuity Entitlement and PF Withdrawal

For gratuity entitlement, you have to complete 5 years of continuous service. PF can be withdrawn after 2 months from the date of leaving the company. There will be no abeyance of the probation period. As per recent government amendments, you cannot keep your PF account after leaving the services for more than 3 years. It means up to three years, there will be no contribution from either side, but the government will pay the interest, and after 3 years, it will be assumed as non-operative.

Hi Rashmi, you can withdraw your PF amount, but the benefits are nothing more than receiving your amount. If you transfer your PF amount to another account when you join another company, it will yield you a higher interest rate than what the bank offers.

Gratuity Eligibility

As for gratuity, you are not eligible. The reason is that you should have worked for at least 5 years.

Thank you.

If you are leaving one organization and joining another, it's advisable to transfer the PF from one account to another. Gratuity is not applicable if the service is rendered for less than 5 years.

Since you left the company in 2007, you are eligible for the permanent withdrawal of PF accumulation, both yours and the employer's, provided you are still unemployed. However, if you are currently employed and are a member of PF, you can transfer your PF accumulation to your new account. The purpose of PF is to provide you with a handsome kitty at the time of your superannuation. If it is frittered away during your employment, then not much will be left when your employment days are over and the dark clouds of resettlement of life appear ominous. You are not due any gratuity for your three years of service.

Regards,
KK

Hi, to become eligible for gratuity, an employee must work for a minimum of 5 years in the same company.

Dear Shri Ram Ji,

You say your current age is 50 years. If so, you will get a reduced pension, reduced by 4% for every year short of 58 years. You will receive less if you apply for a pension now. However, you may decide to apply for a reduced pension depending on your present health and needs.

Regards,