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The Economic Times

Shaghil Bilali

67% higher EPS pension? How Rs 25,000 EPF wage ceiling could increase your monthly payout

The Department of Expenditure has reportedly approved increasing the Employees’ Provident Fund (EPF) wage ceiling from Rs 15,000 to Rs 25,000, as per a report from Moneycontrol. The report also mentions that the exact date for implementing the new wage ceiling will be determined after the Cabinet gives its approval.

The current wage ceiling of Rs 15,000 has been in effect since September 2014. If the report is true, this change can bring a lot of new employees in the ambit of the EPF and the Employees’ Pension Scheme (EPS) as employees earning up to Rs 25,000 in basic pay and dearness allowance will be required to join both the schemes.

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