The Government of India has introduced the Employees’ Provident Fund (EPF) Scheme, 2026, replacing the decades-old EPF Scheme, 1952. The new framework came into effect on 29 June 2026 under the Code on Social Security, 2020.
The updated scheme focuses on making EPF services more digital, improving claim processing, and simplifying withdrawal rules while keeping retirement savings protected. Here’s a clear breakdown of the major changes every EPF member should know.
Members Must Keep 25% of Eligible PF Balance for Partial Withdrawals
One of the biggest changes under the new EPF Scheme 2026 is the minimum balance requirement for partial withdrawals.
Members can still withdraw money from their EPF account for eligible purposes, but they must maintain at least 25% of their eligible balance in the account after the withdrawal.
For example, if your eligible EPF balance is ₹2 lakh, you must keep ₹50,000 in your account. The remaining eligible amount can be withdrawn, provided the request meets the scheme’s conditions.
This rule applies to the eligible balance calculated under the scheme, including applicable employee and employer contributions.
PF Can Be Withdrawn for Medical, Education, Marriage, and Housing Needs
The revised scheme continues to allow partial withdrawals for important life events.
Eligible members can use their EPF savings for:
- Medical treatment
- Higher education
- Marriage expenses
- Housing-related requirements
Housing withdrawals include:
- Buying a house or apartment
- Purchasing a residential plot
- Constructing a home
- Repaying a home loan
- Home repairs or renovation
Members who have completed 12 months of EPF membership may be allowed to withdraw up to 100% of their eligible balance, depending on the withdrawal category and applicable conditions.
Limits Introduced for Education and Marriage Withdrawals
The new rules also specify how often members can withdraw funds for certain purposes during their employment.
According to the scheme:
- EPF can be withdrawn up to 10 times for education.
- EPF can be withdrawn up to 5 times for marriage.
If an employee leaves their job before completing 12 months of membership, they may still be eligible to withdraw up to 100% of the eligible balance, subject to the prescribed conditions. However, such withdrawals are limited to two times in a financial year.
EPF Contribution Rate Remains Unchanged
The contribution structure has largely remained the same.
Both employees and employers will continue contributing 12% of the employee’s eligible salary towards EPF, as per existing rules.
However, employees earning more than ₹15,000 per month can now choose to make additional voluntary contributions beyond the mandatory amount.
Members will also have the flexibility to increase, reduce, or discontinue these voluntary contributions later. Employers may contribute voluntarily as well, but doing so is optional rather than mandatory.
Aadhaar, PAN, and Bank Details Are Mandatory for Digital Services
To access digital EPFO services, members must ensure that their records are complete and up to date.
The new scheme requires:
- Aadhaar details
- PAN information
- A bank account linked with Aadhaar
These requirements are intended to make online claim verification faster, reduce documentation delays, and improve the overall claim settlement process.
New Compliance Rules for Employers
The EPF Scheme 2026 also introduces several compliance updates for employers.
Many statutory returns and documents will now need to be submitted electronically. Businesses may also be required to provide updated ownership details, contractor-related information, and additional disclosures where applicable.
Employers managing exempted EPF trusts will have new reporting responsibilities, and prescribed returns generally need to be filed within 15 days, as specified under the revised framework.
UPI-Based PF Withdrawals and WhatsApp Services Coming Soon
As part of its digital transformation, EPFO has completed the trial for UPI-based PF withdrawals.
Once rolled out, eligible members will be able to receive approved PF withdrawal amounts directly into their bank accounts through UPI-enabled systems, helping reduce processing time.
EPFO is also preparing to launch WhatsApp-based member services. Through WhatsApp, members are expected to be able to:
- Check their EPF balance
- View their last five transactions
- Track claim status
- Access services in multiple Indian languages
The organization is expected to introduce these digital services in phases after their official rollout.
What This Means for EPF Members
The EPF Scheme 2026 focuses on improving convenience without changing the core objective of long-term retirement savings. While the mandatory 12% contribution remains unchanged, members will benefit from clearer withdrawal rules, expanded voluntary contribution options, stronger digital verification, and upcoming services such as UPI withdrawals and WhatsApp support.
Before submitting any withdrawal request, members should verify their eligibility, ensure that Aadhaar, PAN, and bank details are correctly linked, and review the latest EPFO guidelines applicable to their category.
