In 2025, EPFO (Employees’ Provident Fund Organization) has made several major changes for PF account holders, which will directly benefit millions of employees. PF i.e. Provident Fund is a safe savings scheme for employees in India, which contributes some part from salary every month and the company also contributes equally. In 2025, the government is preparing to launch EPFO’s digital version 3.0, which will make the money withdrawing, updating data and claim settlement will be very easy and faster.
This year PF account holders can get two big benefits – first, it has become easy to withdraw money through auto claim settlement, and second, the limit of advance withdrawal has been increased to ₹ 1 lakh. In addition, the interest rate on EPF has also reached 8.25%, which is better than FD and other savings schemes. In this article, we will know what double benefit PF account holders are getting in 2025, can one really get ₹ 1.5 lakh cash at once, and what will be the effect of new changes of EPFO.
PF Double Benefit 2025: What is the new benefit?
| Name of the scheme | Employees Provident Fund (EPF) 2025 |
| Purpose of the scheme | Safe Savings and Retirement Fund for Employees |
| New change | EPFO 3.0 Digital Upgrade, Auto Claim Settlement, ATM withdrawal facility |
| Interest Rate (2024-25) | 8.25% annual |
| Advance withdrawal limit | ₹ 1,00,000 (under special circumstances) |
| Exit at a time | As per the rules, maximum ₹ 1.5 lakh (in some cases) |
| Claim settlement time | 3 days (automatic process) |
| Number of beneficiaries | More than 9 million |
| Tax exemption | Under Section 80C ₹ 1.5 lakh |
PF Double Benefits 2025: Main Points
- EPFO 3.0 Digital Upgrade: Now withdrawing money from PF, updating data and claim settlement has become online and intensified.
- Auto Claim Settlement: There is no need to fill long form or go to office, the claim is processed in 3 days.
- ATM withdrawal: Soon EPFO account holders will be able to withdraw money from ATM.
- Interest rate hike: EPF is getting 8.25% interest, which is more than the bank FD.
- Advance withdrawal limit: Advanced withdrawal is now possible for illness, house, education, marriage etc. up to ₹ 1 lakh.
- Tax exemption: On investing on EPF, tax exemption up to ₹ 1.5 lakh under Section 80C.
How to get ₹ 1.5 lakh cash from PF in 2025?
There is a question in the minds of a lot of PF account holders – is it possible to extract ₹ 1.5 lakh cash at a time in 2025? The answer is – yes, but with some conditions.
- According to the rule, PF account holders can apply for advance withdrawal, such as disease, house buying, marriage of children or education etc.
- EPFO has increased the limit of advance withdrawal to ₹ 1 lakh, that is, you can remove ₹ 1 lakh at a time under these special circumstances.
- It is possible to remove the complete PF balance when you retire, leave the job, or remain unemployed for more than two months.
- Tax exemption: Tax exemption on EPF investment of up to ₹ 1.5 lakh in a year, but the withdrawal limit is different at one time.
PF Return Rules 2025
- After retirement: You can remove the entire PF balance.
- After leaving the job: You can remove the entire PF if you are unemployed for 2 months.
- Disease, house, marriage, education: Due to these reasons, the limit of advance withdrawal is up to ₹ 1 lakh.
- Automatic Claim Settlement: Now the claim is processed in 3 days.
New changes and benefits of EPFO 3.0
What is EPFO 3.0?
EPFO 3.0 is a new digital version, which will begin on May-June 2025. In this, more than 9 crore account holders will directly benefit. Now withdraw money from PF, update data and claim settlement will be easier and faster than ever.
Benefits of EPFO 3.0
- Auto Claim Settlement: There is no need to fill long form or go to office.
- ATM withdrawal: Soon EPFO will also provide the facility to withdraw money from ATM.
- Digital correction: You will be able to update data online through OTP verification.
- Fast processing: All services will be associated with strong IT systems, which will save time.
PF interest rate 2025
EPFO has a fund of Rs 27 lakh crore and gives 8.25% interest to account holders, which is currently considered a strong return. Now more than 78 lakh pensioners are getting direct money in any bank account of the country. As before, it was not necessary to have an account in regional banks.
Interest rate comparison (table)
| Investment instrument | Interest Rate (2024-25) | Lock-in period |
| EPF (Provident Fund) | 8.25% | During job |
| Public Provident Fund) | 7.1% | 15 years |
| SBI FD (1-2 years) | 6.7% | 1-2 years |
| NSC | 7.7% | 5 years |
| Sukanya Samriddhi Yojana | 8.2% | 21 years |
New rules for PF advance withdrawal
- EPFO automatically settled 60% advance withdrawal claims.
- Classes of disease, house, education and marriage are also being dealt with automatically.
- The limit of advance payment has also been increased to Rs 1 lakh.
- The claim from auto mode is cleared within three days.
Documents required for PF advance withdrawal
- Uan number
- Aadhar card
- Bank account details (which is linked to EPFO)
- Approval of the company (in some cases)
- Causes of withdrawal (disease, house, education, marriage etc.)
Tax exemption advantage on PF
- In EPF, there is a tax exemption under Section 80C of the Income Tax Act on investment up to ₹ 1.5 lakh annually.
- The interest on EPF is also tax free, if you contribute to PF account for more than 5 years.
- There is also a tax exemption even after removing the full PF on retirement or leaving the job, provided the account is being deposited for more than 5 years.
PF withdrawal process 2025
- Login on EPFO Portal or Umang App.
- Enter your UAN number and password.
- Go to ‘Online Services’ and choose ‘Claim’ or ‘Withdraw’ option.
- Fill the required details and upload documents.
- Submit the claim – Automatic processing will bring money to your account in 3 days.
Other benefits for PF account holders
- Pension Scheme: Along with EPF, EPS (Employee Pension Scheme) is also benefited.
- Health facilities: The government is linking ESIC with the Ayushman Bharat scheme, which will provide free treatment to the workers in listed hospitals.
- Digital Services: Now PF balance check, passbook download, name or date of birth update everything has gone online.
PF required tips for account holders
- Check your PF account balance and interest every year.
- Activate and update the UAN number.
- Keep Aadhaar, PAN and bank details updated on the EPFO portal.
- Do PF transfer on changing jobs.
- PAF advance withdrawals only when needed, because excess clearance can reduce retirement funds.
PF Double Benefit 2025: FAQ
Q1. Can you extract ₹ 1.5 lakh PF at a time in 2025?
A1. The PF advanced withdrawal limit is ₹ 1 lakh, but in some cases (eg retirement, quitting job) can remove the entire balance. Tax exemption is available annually at ₹ 1.5 lakh investment.
Q2. What will be the benefit of EPFO 3.0?
A2. Claim settlement, data updates, and withdrawal process will be very easy and faster. Soon ATM withdrawals will also be possible.
Q3. How much will be available on PF?
A3. The EPF is getting 8.25% interest for 2024-25, which is more than other savings schemes.
Q4. Will PF withdrawal be taxed?
A4. If you have contributed to PF for more than 5 years, the withdrawal is tax free.
Q5. What documents are required for PF advance withdrawal?
A5. UAN number, Aadhaar card, bank details, and reason for withdrawal are necessary.
conclusion
There is double advantage for PF account holders in 2025 – interest rate has increased on one side, on the other hand the limit of automatic claim settlement and advance withdrawal has increased. With the arrival of EPFO 3.0, withdrawing money from PF, updating data and claim settlement will be easier and faster than ever. However, the news of extracting ₹ 1.5 lakh cash at a time is not completely correct – the limit of advance withdrawal is ₹ 1 lakh, while the tax exemption is available on an annual investment of ₹ 1.5 lakh annually. PF account holders will get full benefit of these new changes, but it is necessary to understand the rules and conditions carefully.
Disclaimer:
This article is based on changes and potential benefits for PF account holders in 2025. The news of withdrawing ₹ 1.5 lakh cash at a time is not completely correct – according to EPFO rules, the limit of advance withdrawal is ₹ 1 lakh and tax exemption is available at ₹ 1.5 lakh annually. Please consult EPFO’s official portal or your financial advisor before any financial decision.
