What is Employee Provident Fund Form 31: Eligibility & Process
Eligibility and Process Simplified: How to Use EPF Form 31 for Withdrawals
EPF, the Employee Provident Fund, is one of the vital savings plans in India to take care of the welfare and security of the employees. Form 31, that comes under EPF, relates to the post-retirement financial security of a person. Being designed mainly as a security plan for post-employment retirements, EPFO has also created an opportunity to withdraw partially based on certain conditions. This withdrawal is facilitated through EPF Form 31. In this content, we’ll delve deep into what EPF Form 31 is, its eligibility, purpose, application process, and other critical details.
What is EPF Form 31?
EPF Form 31 is also referred to as the Advance Form. It is an application form used by employees to request partial withdrawal from their EPF account. You can withdraw the funds for specific purposes such as medical emergencies, education, marriage, housing, or during a natural calamity. Importantly, these withdrawals are allowed only under the conditions prescribed by the EPFO.
Eligibility Criteria for Using EPF Form 31
Partial withdrawal under Form 31 is permitted only if the employee meets certain conditions, depending on the basis for withdrawal. Here are some of the primary eligibility requirements:
Medical Treatment
The employee can withdraw for medical treatment for self, spouse, children, or dependent parents. There is no minimum service requirement for this purpose.
Marriage or Education
Employees should have completed at least seven years of service to withdraw for their own marriage, children's marriage, or education after Class 10.
Housing Needs
For purchasing or constructing a house, employees should have a minimum of five years of service.
Natural Calamities
There is no specific tenure requirement in case of natural disasters, but the withdrawal is subject to regional EPFO notifications.
Purposes for Withdrawal Using EPF Form 31
The EPFO permits partial withdrawals for the following purposes:
Medical Treatment
For major illnesses or hospitalization, employees can withdraw up to six times their monthly wages or the total employee share in the EPF account, whichever is lower.
Marriage
For their own marriage or the marriage of children or siblings, employees can withdraw 50% of their contribution to the EPF.
Education
To fund higher education for self or children, the amount withdrawn is capped at 50% of the employee's contribution.
Home Purchase/Construction
The employee can withdraw up to 36 times their monthly wage for purchasing or building a home.
Home Renovation
The employee can withdraw up to 12 times their monthly wage for home repairs or renovation after completion of five years of service.
Repayment of Home Loan
If an employee has to pay back a home loan, then up to 90% of the balance they accumulate in the EPF account is withdrawn.
Relief for Natural Calamities
When calamities like floods or earthquakes occur, the relief amount specified by the EPFO is withdrawn.
Retirement
Employees are given the privilege to withdraw up to 90% of their balance if they are near their retirement (58 years of age).
Documents Needed for EPF Form 31
The following documents are required to process your withdrawal request:
EPF Form 31 duly filled.
Supporting documents for the purpose of withdrawal:
Medical Certificate: For medical treatment.
Marriage Invitation Card: For marriage-related withdrawals.
Fee Receipts or Proof of Admission: For education-related withdrawals.
Property Documents: For purchasing or constructing a house.
Bank Loan Statement: For loan repayment.
Aadhaar Card and PAN Card for identity verification.
Cancelled Cheque for account details.
How to Fill EPF Form 31
Filling out the EPF Form 31 properly is the first step toward a smooth operation. Here's a step-by-step instructions:
Downloading the Form
You can obtain the form from the EPFO portal or ask your employer to provide it to you.
Personal Details
Fill in your name, father's or husband's name, PF account number, and contact details.
Purpose of Withdrawal
Specify the reason for the withdrawal and the amount needed.
Employer Details
Fill in your employer's name, address, and establishment code.
Bank Details
Provide your bank account number, branch name, and IFSC code.
Signature
The form must be signed by you and attested by your employer.
How to Submit EPF Form 31
With the advancement of technology, the EPFO has made the submission process user-friendly. You can choose either the offline or online process.
- Offline Submission
Fill in EPF Form 31 and attach the required documents.
Submit the form to your employer for attestation.
The employer forwards the form to the regional EPFO office for processing.
- Online Submission
Log in to the Unified Member Portal on the EPFO website.
Navigate to the "Online Services" page and pick Form 31.
Please enter the essential information and submit any supporting documents.
Submit the form digitally. The employer’s approval is not required if your Aadhaar and UAN are linked.
Track your claim status on the portal.
Processing Time and Withdrawal Limits
The EPFO takes 10-15 working days to process online claims. Offline claims take more time.
The withdrawal limit varies according to the purpose, as mentioned above, and is computed based on your monthly wages and EPF balance.
Common Mistakes to Avoid
Incomplete Form: Fill all fields correctly so that there are no delays.
Incorrect Bank Details: Verify the account number and IFSC code.
Missing Documents: Please provide all documents which support your claim.
Unlinked Aadhaar and UAN: Ensure that your Aadhaar is linked with your EPF account so that processing becomes smooth.
Benefits of Online EPF Form 31 Submission
Ease of Application: Anywhere, anytime.
Quick Processing: Processing takes lesser time.
Transparency: Status update in real-time.
No dependency on employers: Apply directly without any cost, if Aadhaar is linked.
EPF Form 31 FAQs
Q1: Can I withdraw the full amount of EPF using Form 31?
No, Form 31 is for partial withdrawal only. Full withdrawal is only possible after retirement, resignation, or if one is unemployed for more than two months.
Q2: Do I have to pay tax while withdrawing from EPF?
In case the amount is withdrawn within five years of continuous service, it may be taxable.
Q3: Am I allowed to submit Form 31 without getting my employer's attestation?
Yes, if your Aadhaar is linked to your UAN, you can submit the form online without employer attestation.
Q4: What happens if my withdrawal request is rejected?
If rejected, the EPFO will provide a reason. Correct the issue and resubmit the application.
Conclusion
EPF Form 31 is an employee's life savior, in case there is a medical emergency, an educational expense, or any other home-related requirement during employment. Employees can save for the requirement and withdraw money from their account without waiting until retirement. Above all, knowledge of the rules and processes would make your withdrawal process smooth and stress-free.
Ensure that you will strictly meet all guidelines, give accurate information, and submit the necessary documents so that you will not experience delays. This EPF system is meant to serve its employees during times of need, and Form 31 is a testament to its flexibility and employee-centric approach.