EPFO Wage Ceiling Raised to Rs 25,000 Per Month

New Delhi, October 31: The government has approved an increase in the mandatory wage ceiling for Employees' Provident Fund Organisation (EPFO) coverage to Rs 25,000 per month, according to a factsheet released on Saturday.

The wage ceiling was last revised in September 2014, when it was raised from Rs 6,500 to Rs 15,000 per month. The latest approval in September 2026 marks the next step in that adjustment.

The amendment is expected to bring more than 51 lakh additional employees under mandatory EPFO coverage. Officials say the change reflects both shifts in wage levels and the continued expansion of formal employment.

The revision comes alongside broader reforms to partial withdrawals. EPFO has consolidated 13 partial withdrawal provisions into three categories: essential needs, housing needs and special circumstances. Essential needs include expenses related to illness, education and marriage. The changes make it easier for members to access their provident fund savings when needed.

Under the revised rules, members can make education withdrawals up to 10 times and marriage withdrawals up to 5 times.

EPFO has also raised the auto-settlement limit for eligible advance claims to Rs 5 lakh. This will allow faster withdrawals without manual intervention.

Taken together, these measures aim to widen coverage, simplify access to benefits and support the growth of social security for India's workforce.