What happens to EPF contributions if a member dies?

When a member of the Employee Provident Fund (EPF) passes away, the contributions made to the EPF do not simply disappear or get used for another purpose. Instead, the balance in the EPF account is paid out to the nominee or legal heir designated by the deceased member. This mechanism ensures that the financial benefits accrued during the member's employment can provide support to their family or beneficiaries in the event of untimely death.

It is vital for EPF members to designate nominees to ensure that their contributions are wisely allocated and that their loved ones receive the financial assistance intended for them. This process reflects the purpose of the EPF as a social security mechanism designed to provide for individuals and their families in times of need. In contrast, the other options suggest various scenarios that do not align with the established policies and procedures relating to EPF contributions and member benefits.