Epfo Auto Agreement Prohibit Build Up to Rs 5 Lakhs for Journey Claims

There is big news for the Employees Provident Fund Organization (EPFO) members. Union Labor and Employment Minister Mansukh Mandavia said on Tuesday, June 24, 2025 that the Employees Provident Fund Organization has extended the provident fund (PF) auto claim settlement limit to extract easy funds. Let’s know in detail about the increased auto claim settlement limit.

Members will be able to remove 5 lakhs

According to the report, EPFO ​​has increased the auto claim settlement limit of Rs 5 lakh for all advances. For the first EPFO ​​members, this limit was Rs 1 lakh, from which funds can be used immediately for needs. Provident Nidhi launched the auto settlement of the advance claim during the Corona epidemic in 2020, allowing members to easily remove funds.

The EPFO ​​said that with an increased limit of Rs 5 lakh, advance claims will now be through auto settlement, which will process them within three days of submitting. This upgrade limit and faster access on funds will help the member to get financial support at the time of the most needs.

How to work auto claim to work

Auto claims work at the automatic level through the settlement system, which does not have any human intervention. This ensures rapid change and transparency. The Employees Provident Fund Organization (EPFO) works under the Ministry of Labor and Employment, Government of India. It manages the Employees Provident Fund (EPF), which is a retirement benefit plan available for all salary employees in India.

Let us tell you that in FY 2024-25, EPFO ​​processed 2.34 crore advance claims through auto settlement, which is 161 percent growth compared to the previous year. Notable, 59 percent of all advance claims were dealt with auto mode in 2024–25. In the first 3 months of FY 2025-26, EPFO ​​has so far done auto settlement of 76.52 lakh claims.