All you need to know about the Covid advance facility


The covid-19 pandemic has affected our finances badly. People suffered to even fulfill necessities.Considering all these, the government of India has allowed withdrawing PF advance money for the second time.

Previously, in March 2020, this facility of withdrawing PF money in advance was introduced under the Pradhan Mantri Garib Kalyan Yojana(PMGKY). According to Finance Ministry’s report, more than 42 crore people received the benefits under the scheme.

Employees’ Provident Fund (EPF) is a social security benefit that is provided to employees. EPFO i.e Employees’ Provident Fund Organisation is a body working for it. From the employee’s total monthly salary, some amount gets deducted from the Provident fund. An employer also has to contribute some amount in total contribution. On that, interest is given to the employees. Currently, the interest rate is 8.5% for the year 2020-2021.

EPFO has recently allowed members to withdraw PF money in advance. An employee can withdraw the amount up to the number of basic wages and dearness allowance (DA) for 3 months or up to 75 percent of the balance in the account, whichever is less.

E.g. If the total amount in your account is 200000 rs. and the amount for basic wages and dearness allowance for 3 months is 90000 rs. and 75%  of the balance is 150000. Out of these two, the amount whichever is lower can be withdrawn. So, in this case, you will be able to withdraw 90000 rs.

After the request is made for advance settlement, within 3 days the amount will be credited into the member’s bank account. The income tax applicable on such withdrawals is nil or zero.

If the employee needs, he can withdraw the partial amount too as per the requirements.  If you have availed of a provident fund advance facility earlier for any reason then also, you are eligible for this facility. If one has lost his job and yet to join another employer, he can withdraw some portion of funds as a Covid advance facility.

How to apply:

Login to by entering your UAN and password.

Click on “online services” and then click on “claim”

Enter your bank account number and verify.

Click on “proceed for the online claim”

Select PF advance form from a drop-down (Form-31).

Select purpose as “outbreak of Covid-19”

Enter the amount required.

Scan copy of the cancelled cheque has to be uploaded along with your address.

Click on “Get Aadhaar OTP”

Enter the OTP received on Aadhaar linked mobile number.

The claim is submitted.


Your Aadhaar card needs to be linked with your mobile number to get OTP.

UAN is mandatory to withdraw the money.

KYC should be done in the EPF account.

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