Members of EPFO now have the ability to withdraw funds from ATMs. Yes, what you heard is correct. The central government is getting ready to implement significant alterations regarding the Employees Provident Fund Organization (EPFO). Currently, the government is preparing to launch the EPFO 3.0 scheme, which will include numerous new features for the members. Below this, the opportunity to provide ATMs can also be included.
What is the strategy?
As per a report, EPFO members might soon be able to withdraw their PF directly from ATMs, in an effort to make the withdrawal process more convenient. As per reports, the Ministry of Labor is said to be in the process of developing cards that will allow PF withdrawals to be made through ATMs. The launch of the new service is anticipated for May-June 2025, providing additional assistance to EPFO members.
This is additionally a suggestion
In addition, EPFO has the authority to eliminate the 12% cap on employees’ contributions to the Provident Fund (PF). According to the report, employees could soon have the option to deposit funds into their PF accounts according to their preferred savings methods. The plan could also enable deposits that go over the current limit at any point. Nevertheless, this suggestion is currently being discussed in the early stages.
What is the amount of contribution from each person contributing?
Currently, 12 percent of the EPFO members’ salary (including basic pay and dearness allowance) is allocated to their EPF account. Out of the 12 per cent employer contribution, 8.33 per cent is allocated to EPS-95, with the remaining 3.67 per cent being placed in the EPF account.
The source mentioned that besides enhancing social security benefits, the attention of the Narendra Modi government is also on fostering job growth in the nation. Lately, the labour ministry requested that the Employees’ Provident Fund Organisation (EPFO) concentrate on getting ready for infrastructure and capacity building in preparation for the introduction of the employment-linked incentive (ELI) scheme.
