EPFO Wage Ceiling May Rise to Rs 25,000: Impact on Salary, PF, and Benefits

• Government considers increasing mandatory EPF wage ceiling from Rs 15,000 to Rs 25,000 per month.
• Proposal aims to bring more workers under social security, especially low- and mid-skilled employees.
• If approved, employees earning Rs 15,000-25,000 will see higher PF deductions, reducing take-home pay but boosting retirement savings.
• Employers will face increased costs due to matching contributions, impacting payroll expenses.
• All EPFO-linked benefits, including pension and insurance, will align with the revised wage ceiling.

Why It Matters: EPFO's proposed wage ceiling hike to Rs 25,000 will expand social security and impact salaries and benefits.