EPFO May Raise PF Salary Limit to Rs 25,000: What It Means for You

EPFO plans to raise the monthly salary limit for mandatory contributions from Rs. 15,000 to Rs. 25,000. This change is expected to bring over one crore more workers into the social security net.

EPFO New Announcement

EPFO plans to raise the mandatory monthly salary limit for EPF and EPS from Rs. 15,000 to Rs. 25,000. A final decision is expected in the next board meeting in Dec or Jan.

Salary Limit Increase

An internal assessment by the Labour Ministry suggests raising the limit by Rs. 10,000 could bring over a crore more people under social security. Unions have long demanded this.

Employee Welfare Fund

Currently, both employee and employer contribute 12% of the salary to EPF. A higher limit means EPF and EPS funds will grow faster, leading to better retirement benefits.

Ministry of Labour

Experts say raising the salary limit to Rs. 25,000 is a key step to expand social security. It ensures long-term financial safety and pension benefits for India's workforce.