EPFO clarifies conditions to join EPF, EPS and EDLI schemes

New Delhi: The Employees’ Provident Fund Organisation (EPFO) has announced that employees earning more than Rs 15,000 and up to Rs 25,000 per month in EPFO registered companies will be mandatorily made members of EPF, EPS and EDLI. 

The government has increased the Employees' Provident Fund (EPF) wage ceiling from Rs 15,000 to Rs 25,000. The new wage ceiling is effective from 17th September 2026. With this increase, employees earning up to Rs 25,000 plus dearness allowance will be able to join the EPF, Employees’ Pension Scheme (EPS) and the Employees’ Deposit-Linked Insurance (EDLI) Scheme.

The EPFO has clarified the conditions employees must meet to become members of all three schemes.

Conditions to join EPF, EPS and EDLI

As per the EPFO’s social media post on X, employees with wages more than Rs 15,000 and up to Rs 25,000 per month working in EPFO registered establishments will be mandatorily made members of EPF, EPS and EDLI. The wage ceiling increased from Rs 15,000 to Rs 25,000 per month, with effect from 17 September, 2026.

"EPFO wage ceiling increased from Rs 15,000 to Rs 25,000 per month, effective 17.09.2026. Employees earning wages between Rs 15,000 and Rs 25,000 per month in EPFO-registered establishments shall be mandatorily covered under EPF, EPS and EDLI," EPFO said in an X post.

Enroll in EPF through employer

The EPFO has urged employees earning up to Rs 25,000 per month in basic pay to enroll in the EPF through their employer to secure their social security benefits, pension benefits, life insurance up to Rs 7 lakh and the provident fund.

The new wage limit applies to employees earning Rs 25,000 or less per month for EPFO coverage. Employees earning between Rs 15,000 and Rs 25,000 now come under mandatory EPFO coverage.

EPFO asks employers to enroll eligible employees in EPF

The EPFO has asked employers to enroll all eligible employees earning up to Rs 25,000 in the EPF. It also instructed employers to calculate contributions according to the salary limit of Rs 15,000 from September 1 to 16 and Rs 25,000 from September 17 to 30.

How will employees benefit from enrolling in EPF?

Enrolling in the EPF will ensure employees' mandatory retirement savings with high interest, an employer-matched 12 percent financial bonus and increased pension and free life insurance benefits up to Rs 7 lakh. This will ensure financial security for employees and their families.

The Union Cabinet, chaired by Prime Minister Narendra Modi, approved the proposal of the Ministry of Labour and Employment to enhance the wage ceiling for mandatory coverage under the EPFO from Rs 15,000 to Rs 25,000 per month from September 17, 2026.