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The Economic Times
The Economic Times
Neelanjit Das

EPF wage ceiling hike: Lesser take home salary for these employees; know how you will be impacted

The Union Government has announced that the EPFO wage ceiling limit for mandatory coverage will be increased from Rs 15,000 to Rs 25,000 per month. The press release said that this higher ceiling will bring about 51 lakh more employees within the statutory social-security framework, giving them access to EPF savings, pension protection under EPS and insurance protection under EDLI, subject to the applicable scheme provisions.

The press release dated September 16, 2026 has also said the change will enable the statutory contribution and pensionable-wage framework to better reflect prevailing wage levels. However, the press release does not specify the detailed contribution calculation for employees who are already contributing on actual wages above Rs 25,000.

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