Hi All,
Recently i read in a website that we can take a loan from to the tune of 36 times our monthly salary for home buying purpose.
My profile is -
I worked with a MNC for 8 yrs & then changed to another MNC where i transferred my PF. I have been with the new company for about 3 months now.
I am planning to buy an apartment & exploring different loan options.
My question is - Is there such a scheme. Would I be able to withdraw upto 36 times of my monthly salary now. If, so how does it work?
Would I have to pay EMI or would they just deduct that amount when I retire ? Any help in this matter would be greatly appreciated.
Link to where i read this ? BankBazaar | When and how can you withdraw from your EPF?!
Thanks,
Gary
From India, Bangalore
1Recently i read in a website that we can take a loan from to the tune of 36 times our monthly salary for home buying purpose.
My profile is -
I worked with a MNC for 8 yrs & then changed to another MNC where i transferred my PF. I have been with the new company for about 3 months now.
I am planning to buy an apartment & exploring different loan options.
My question is - Is there such a scheme. Would I be able to withdraw upto 36 times of my monthly salary now. If, so how does it work?
Would I have to pay EMI or would they just deduct that amount when I retire ? Any help in this matter would be greatly appreciated.
Link to where i read this ? BankBazaar | When and how can you withdraw from your EPF?!
Thanks,
Gary
From India, Bangalore
Dear Gary,
Regarding PF there is provisions to withdraw fully or partially, subject to the following conditions; provided a minimum employee contribution (with interest) of Rs. 1000 is lying with PF.
1. 68(B) -Towards house consruction/purchace/ plot purchase etc. Minimum service required - 5 years. Amount admiissible - 100% of both employee & employer contribution.
2. 68(H) - Towards 2 months or more lock out (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 hospitalisation, 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'/sister's/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 purchase of equipment to reduce handicapness.Amount admissible - 6 times of basic+DA or employee contribution or cost of the equipment, whichever is less.
6. 68(NN) - After attaining an age of 54 years and before one year from the date of superannuation, whichever is later. Amount admiissible - 90% of both employee & employer contribution.
Abbas.P.S, ITI Ltd, PALAKKAD - 678 623
From India, Bangalore
Regarding PF there is provisions to withdraw fully or partially, subject to the following conditions; provided a minimum employee contribution (with interest) of Rs. 1000 is lying with PF.
1. 68(B) -Towards house consruction/purchace/ plot purchase etc. Minimum service required - 5 years. Amount admiissible - 100% of both employee & employer contribution.
2. 68(H) - Towards 2 months or more lock out (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 hospitalisation, 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'/sister's/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 purchase of equipment to reduce handicapness.Amount admissible - 6 times of basic+DA or employee contribution or cost of the equipment, whichever is less.
6. 68(NN) - After attaining an age of 54 years and before one year from the date of superannuation, whichever is later. Amount admiissible - 90% of both employee & employer contribution.
Abbas.P.S, ITI Ltd, PALAKKAD - 678 623
From India, Bangalore
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TAXABILITY ON EPF WITHDRAWAL.docx