By Admin 
There is good news for government employees. The Central Government Employees Provident Fund Organization (EPFO) has decided to increase the limit of Auto Settlement Advanced Claim (ASAC) from Rs 1 lakh to Rs 5 lakh, giving great relief to its members.
Let us tell you, Sumita Dora, Secretary, Ministry of Labor and Employment, approved this proposal in the 113rd Executive Committee (EC) meeting of the Central Board of Trustees (CBT) last week. The meeting was also attended by EPFO Central Provident Fund Commissioner Ramesh Krishnamurthy, which was held in Srinagar on 28 March. However, this recommendation will be sent to CBT for final approval. After getting the approval, members of EPFO will be able to claim advances up to Rs 5 lakh.
How did EPFO Auto Claim start?
The EPFO introduced an auto-calm facility in April 2020, allowing the withdrawal of up to Rs 50,000 in cases of disease. In May 2024, this limit was reduced to Rs 1 lakh. Till now this facility was limited to the condition of disease and hospitalization, but now it has also been implemented in three new areas like education, marriage and home.
Epfo claim rejections declined heavy
Last year, up to 50 percent claims were rejected in EPFO, but now it has come up to 30 percent. EPFO has made the auto-calm process completely digital, which is now being processed by automatic claims by IT system without any human intervention.
Relief in PF withdrawal rules
Validation formalities have been reduced from 27 per cent to 18 per cent to extract PF. In the meeting, it was decided to reduce it by 6 percent further. In fact, the central government is also working towards centralizing and digitalizing the database of EPFO. Now KYC, eligibility and bank verification will be done automatically as a claim process. Earlier it used to take 10 days to remove PF, but now this period has come down to 3-4 days.
Also read: Rule Change: LPG, UPI and Toll Tax … These 10 rules will change from April 1, your pocket will have a direct impact on your pocket