EPFO Sets New Rule: PF Contribution Above Rs 1,800 Now Voluntary
A set share is deducted into your EPFO account each month. According to the reports, as per the new EPFO Employees’ Provident Fund Organisation (EPFO)regulation, which states that a mandatory deduction of Rs. 1,800 would be made.
The EPFO has changed its regulations for provident fund contributions, setting a monthly limit of Rs. 1,800 for required employee contributions and making any further contributions optional.
According to the employees’ Provident Funds Scheme, 2026, which was gazetted on Wednesday, employees must contribute 12% of their income, up to the monthly statutory wage ceiling of Rs. 15,000. Regardless of an employee’s income, this results in a compulsory monthly PF contribution of Rs. 1,800.
Under the new Employees’ Provident Funds Scheme 2026, the Labour & Employment Ministry has made all contributions to the Employees’ Provident Fund (EPF) that exceed the Rs. 15,000 monthly pay ceiling is voluntary. (beyond Rs. 1,800).
Employees who wish to save more for retirement can make voluntary contributions in excess of the legal limit. The announcement states that workers can opt to donate wages above the Rs. 15,000 threshold at the legal rate or at a higher rate.
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