Can an Employee Withdraw from EPS While Still in Service After Turning 58?

Dear Sir,

This is in reference to one of our employees, born on 01-03-1964. In accordance with EPFO norms, the employee reached the age of 58 on 28-02-2022. As a consequence, we have been contributing only to the EPF and have ceased any further contributions to the EPS beyond this date. As per the Employer Portal, his EPS exit date is recorded as 28-02-2022.

The employee, who is still in service, has expressed interest in withdrawing the accumulated EPS amount. We are seeking your advice on whether the employee can withdraw from EPS while still in service, or if the pension application should be initiated only after separation from service.

We appreciate your clarification on this matter.

As per EPFO guidelines, an employee who has reached the age of 58 can withdraw from the EPS while still in service. The option to withdraw the accumulated EPS amount is available even if the employee continues to be in active service. To initiate the withdrawal process, the employee can submit a formal request to the HR or the concerned department in your organization. The EPS withdrawal can be processed without the need for separation from service. It is advisable to guide the employee through the necessary steps and assist in completing the withdrawal formalities to ensure a smooth process.