India's EPF Scheme 2026 Caps Mandatory Contributions at ₹1,800

The Government of India notified the Employees’ Provident Fund (EPF) Scheme 2026, linking it to the Code on Social Security, 2020. The mandatory employee contribution is now limited to 12 % of the statutory wage ceiling of ₹15,000, i.e., a maximum of ₹1,800 per month. Contributions above this amount become voluntary under the Voluntary Provident Fund (VPF) and are not required to be matched by employers.

The scheme also revises partial‑withdrawal rules: members must retain a minimum balance equal to 25 % of their eligible EPF balance, withdrawals can be made after 12 months of service, and the list of permissible reasons (housing, illness, education, marriage, etc.) has been expanded. EPFO introduced digital services, including three‑day settlement of PF claims, raising the auto‑settlement limit to ₹5 lakh, UPI‑enabled withdrawals, and a WhatsApp‑based member assistance channel. Additionally, a new Employees’ Deposit‑Linked Insurance Scheme 2026 was announced, providing insurance benefits linked to PF balances.