Stories
EPFO Wage Limit Hiked to ₹25,000: 51 Lakh Employees Benefit, Income Inequality Remains a Challenge!
N
News18•21-09-2026, 16:34
EPFO Wage Limit Hiked to ₹25,000: 51 Lakh Employees Benefit, Income Inequality Remains a Challenge!
- •The central government has increased the EPFO monthly wage limit from ₹15,000 to ₹25,000, effective September 17, 2026.
- •This decision will benefit over 51 lakh additional employees, bringing them under PF and pension schemes and strengthening their financial security.
- •Only 10% of the country's population earns more than ₹25,000 per month, while 80% of workers earn less than ₹20,000.
- •Daily wage earners make only ₹9,000 per month, and self-employed individuals earn ₹13,200, which is insufficient for the cost of living.
- •While the EPFO limit increase is a positive step, significant income inequality persists, highlighting the need for broader measures to improve workers' incomes.
Key Questions Answered
The central government has increased the monthly wage limit for mandatory coverage under the Employees' Provident Fund Organisation (EPFO) from ₹15,000 to ₹25,000, which came into effect nationwide on September 17, 2026.
Increasing the wage limit to ₹25,000 will directly benefit over 51 lakh additional employees in the formal sector who were previously excluded from mandatory provident fund and pension scheme benefits.
The EPFO wage limit was previously revised in September 2014, when it was increased from ₹6,500 to ₹15,000, making the 2026 adjustment the first major revision in over a decade.
