This site publishes machine-readable documentation for AI agents. The site index is at /llms.txt. A markdown version of this page is available at /index.md, and every page can be requested as markdown by appending .md to its URL or by sending the Accept: text/markdown header.

Cabinet approved 16 September 2026

51 lakh new members nationally.
How many land in your trust?

The EPFO wage ceiling is rising from ₹15,000 to ₹25,000 a month, the first revision in twelve years. Almost every article written about it addresses the employee worrying about take-home pay. Almost none addresses the exempted PF trust that has to onboard the members, carry the liability and place the corpus.

Size it for your member base

Four inputs, no sign-up. Adjust them to match your establishment and the numbers update as you type.

Your trust today

Nothing is submitted or stored — the calculation runs entirely in your browser.

What changes for the trust

Members after the change

1,380

180 added — a 15.0% increase on today's ledger

Extra into the trust corpus / month

₹11,90,920

Employee 12% + employer 3.67%, the share the trust actually holds

Extra EPS remitted to EPFO / month

₹6,33,080

Employer 8.33% pension share — leaves the trust, goes to EPFO

Total extra contribution / month

₹18,24,000

Corpus inflow plus EPS remittance combined

Additional annual corpus inflow

₹1,42,91,040

What the investment committee has to place over a full year

Of which, into approved debt

₹1,21,47,384

At the 85% floor of the prescribed allocation pattern

Per member, at the ceiling

An employee contributing at the statutory ceiling moves from ₹1,800 to ₹3,000 a month, and the employer matches. Of that employer share, 8.33% of wages is the pension contribution an exempted establishment remits to EPFO rather than to its own trust — which is why the corpus figure above is lower than a simple doubling of the headline number.

Read this before quoting the number

The Union Cabinet approved raising the ceiling from ₹15,000 to ₹25,000 on 16 September 2026. The implementing notification sets the effective date and the precise treatment of the pension share at the higher ceiling, so treat this as a planning estimate for your board rather than a final liability. It also assumes the 12% rate and the standard 8.33% / 3.67% split continue to apply.

What the number turns into

The contribution figure is the easy part. These are the six places it shows up afterwards.

Onboarding, not just arithmetic

Every newly covered employee needs a member account, UAN seeding, nomination capture and an opening ledger entry. A few hundred at once is a bulk onboarding exercise with a deadline attached, not a month-end task.

A larger corpus to place

Additional inflow has to be invested against the prescribed allocation pattern. A bigger monthly placement changes the investment committee’s cadence, and under the EPF Scheme 2026 a wrong investment decision carries a two-month recoupment clock.

Interest declaration under a ceiling

A larger corpus earning at a different blended yield feeds directly into what the Board can declare — which must now track income actually earned, capped at two percentage points above the statutory benchmark.

More statements, same two months

Statements of account are due to members within two months of financial-year close. That deadline does not move because the member count went up.

A bigger number on the continuation filing

Member counts, contribution totals and investment position all appear in the Form-II return. The ceiling change alters what your next continuation application says about the trust.

Employees will ask about take-home

A member contributing at the ceiling sees their deduction rise. Self-service access to balances and statements absorbs a lot of questions that otherwise land on HR.

Take the real number to your board

The estimate above uses four inputs. Run it against your actual wage register and it becomes a number you can defend in a trustee meeting — including which members cross the line, and what it does to your allocation pattern.

Also worth reading: what the EPF Scheme 2026 changed for exempted trusts

Wage ceiling: common questions

What is the new EPFO wage ceiling?
The Union Cabinet approved raising the wage ceiling for mandatory EPFO coverage from ₹15,000 to ₹25,000 per month on 16 September 2026 — the first revision in twelve years. It is expected to bring roughly 51 lakh additional workers into mandatory coverage. The implementing notification sets the effective date.
How much PF is deducted on a ₹25,000 salary?
At the 12% statutory rate, an employee contributing at the ₹25,000 ceiling contributes ₹3,000 a month, up from ₹1,800 at the ₹15,000 ceiling, and the employer matches. For an exempted establishment the employer’s share splits further: 8.33% of wages is the pension contribution remitted to EPFO, leaving 3.67% for the trust’s own corpus.
Does the ceiling change affect an exempted PF trust differently?
Yes, in one important way. An unexempted employer remits everything to EPFO. An exempted trust holds the provident fund portion itself — the employee’s 12% plus the employer’s 3.67% — while still remitting the 8.33% pension share to EPFO. So the trust’s corpus grows by less than the headline contribution figure suggests, but its administration, investment and statement obligations grow with the full member count.
Does the contribution rate change too?
No. The 12% rate was retained under the EPF Scheme, 2026. What changes is the wage on which mandatory contribution is calculated.
How accurate is this calculator?
It is a planning estimate, not a liability computation. It assumes the 12% rate and the standard 8.33% / 3.67% split continue to apply at the higher ceiling, and it works from averages rather than your actual wage register. The implementing notification may refine the treatment of the pension share. Use it to size the problem for a board discussion, then run the real register before committing to a figure.

Guidance only, not legal or actuarial advice. Confirm contribution treatment with your advisers and against the implementing notification.