If you are already depositing money in VPF account or want to start investing in it, then know here that once you open the account, after how much time can you withdraw this amount and what is its process?
If you are employed and contribute every month under EPFO, then you must know about Voluntary Provident Fund (VPF) of EPFO. This is a facility provided by EPFO, through which you can increase your PF contribution. In VPF also you can get the same interest as in EPF. In EPF, an employee can contribute up to 12 percent of his basic salary and DA, but there is no such limit in VPF.
The employee can also contribute up to 100 percent of the basic salary and can accumulate a substantial corpus in the long run. If you are already depositing money in VPF account or want to start investing in it, then know here that once you open the account, after how much time can you withdraw this amount and what is its process?
Lock-in period is of 5 years
The lock-in period of VPF is 5 years. You are given the facility to withdraw partial amount from it only after 5 years. There is no tax on withdrawals made after 5 years. But if you want to withdraw the entire amount deposited in VPF, then the same rules apply to it as for EPF. When an employee retires or remains unemployed for more than 2 months continuously, he can withdraw the VPF amount. Claim for this can be made online.
How to withdraw funds
For VPF fund withdrawal, you can apply online by logging on to the UAN portal or downloading Umang app on mobile, but for this it is very important to activate your UAN number. Also, Aadhaar number should be linked to UAN number and PAN and account number should also be linked to PF.
While applying, you will have to fill the details like name, address, PF account number, bank account number etc. in the claim form, and also upload the scanned copy of the check or passbook of the bank account. After the entire process is completed, the process for your fund transfer will start and within some time your money will come to your account.
