PF Withdrawal After Resignation And Joining New Company

Dear friends,

I worked in my previous organization for 6 years. I resigned in April 2015 and joined the new firm in July 2015 after serving the 3 months notice period. I want to withdraw my PF for immediate need of funds. However, the new firm is saying they cannot open a new PF account as I already have a PF account. So, in this case, if my existing firm continues to use my old PF account, will I be able to withdraw funds from it? I need those funds desperately, so I need your advice on how to proceed. Can I opt out of PF completely? Please let me know.

Dear Mangeshab,

If you are continuing in the same PF account, there is no option to withdraw the amount. But you may take a loan as detailed below, provided a minimum employee contribution (with interest) of Rs. 1000 is lying with PF.

1. 68(B) - Towards house construction/purchase/plot purchase, etc. Minimum service required - 5 years. Amount admissible - 100% of both employee & employer contribution.

2. 68(H) - Towards 2 months or more lockout (due to other than strike). No minimum service. Amount admissible - 6 times of basic+DA or employee contribution, whichever is less.

3. 68(J) - Towards one month hospitalization, major surgical operation, diseases like leprosy, TB, cancer, mental retardation, etc. No minimum service, but for out of ESI coverage members. Amount admissible - 6 times of basic+DA or employee contribution, whichever is less.

4. 68(K) - a) Towards post metric education of children.

b) Towards own/brothers'/sisters'/children's marriage. Maximum three times in service. Minimum service required - 7 years. Amount admissible - 50% of employee contribution.

5. 68(N) - Applicable for physically handicapped towards the purchase of equipment to reduce handicap. Amount admissible - 6 times of basic+DA or employee contribution or cost of the equipment, whichever is less.

6. 68(NN) - After attaining the age of 54 years and before one year from the date of superannuation, whichever is later. Amount admissible - 90% of both employee & employer contribution.

Abbas. P. S