One of our contract employees wants to withdraw from PF contributions for the purchase of a plot. She joined last year in October 2014. My question is, can she withdraw money from her contributions? Our contractor mentioned that she can withdraw money only if she is "resigned"; otherwise, she should complete 5 years of service. Kindly provide me with a good suggestion regarding this question.
From India, Faridabad
Acknowledge(0)
Amend(0)
From India, Faridabad
Acknowledge(0)Amend(0)
Dear Mr. Santosh,
As per 68(B), towards house construction/purchase/plot purchase, etc., non-refundable loan is admissible. Minimum service required: 5 years. Amount to be disbursed: 100% of both employee and employer contribution.
Abbas.P.S
From India, Bangalore
Acknowledge(0)Amend(0)
530As per 68(B), towards house construction/purchase/plot purchase, etc., non-refundable loan is admissible. Minimum service required: 5 years. Amount to be disbursed: 100% of both employee and employer contribution.
Abbas.P.S
From India, Bangalore
Acknowledge(0)Amend(0)
Hi Mr. Santhosh,
She is not eligible to withdraw her PF amount because in order to withdraw the amount for the said purpose, the employee should have served at least 5 years of membership with the PF.
With Regards,
Mr. Thumbs Up
From India, Chennai
Acknowledge(0)Amend(0)
She is not eligible to withdraw her PF amount because in order to withdraw the amount for the said purpose, the employee should have served at least 5 years of membership with the PF.
With Regards,
Mr. Thumbs Up
From India, Chennai
Acknowledge(0)Amend(0)
In most of such cases, they show the member as resigned and settle his PF amount, which he can use for his contingencies. Therefore, they show that person as newly joined with a new PF number. This is a wrong practice and should not be encouraged. To be eligible for withdrawal, a member should have a minimum of 5 years of membership as per PF rules.
From India, Mumbai
Acknowledge(0)Amend(0)
From India, Mumbai
Acknowledge(0)Amend(0)CiteHR is an AI-augmented HR knowledge and collaboration platform, enabling HR professionals to solve real-world challenges, validate decisions, and stay ahead through collective intelligence and machine-enhanced guidance. Join Our Platform.
PF WITHDRAWAL RULES.zip
Early PF withdrawal won’t be easy.pdf
Employee Benefits.doc