EPF Wage Ceiling Raised to ₹25,000 (S.O. 5109(E)): PF, EPS & Take-Home Impact
By Murali Krishna Ravuri, Krishna & Associates, Bengaluru | 24 September 2026 | Law as on 24 September 2026 In short The Central Government has raised the monthly wage ceiling for the Employees' Provident Fund from ₹15,000 to ₹25,000 by Notification S.O. 5109(E) dated 17 September 2026, effective the same day. The contribution rate is unchanged at 12% each from employer and employee; what changes is the wage on which it is computed and who is compulsorily covered. For an employee whose PF was capped at ₹15,000, the monthly PF deduction goes up by as much as ₹1,200, and take-home pay falls by the same amount. Where the employer's PF share is built into the CTC, the fall can be ₹2,400. Employees earning ₹15,001 to ₹25,000 who were outside PF till now must be enrolled. Contents The legal basis "Wages" does not mean basic salary alone What has changed: the numbers Who is affected, and how Worked examples: PF contribution and take-home salary Take-home ...