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Notifications Ministry of Labour and Employment

Ministry of Labour and Employment2014-08-22

EPF Wage Ceiling: ₹15,000 Per Month (Basic + DA) for Mandatory Coverage

G.S.R. 609(E) dated 22-08-2014

The wage ceiling for mandatory EPF coverage is ₹15,000 per month (basic wages + dearness allowance). Employees earning above ₹15,000 can be excluded if not existing members. The ₹15,000 ceiling was set in 2014 and has not been revised as of Aug 2026.
Issued
2014-08-22
Effective from
2014-09-01
Act
EPF & MP Act 1952 s.6

What it says

₹15,000 ceiling for mandatory coverage

An employee whose monthly basic wages plus dearness allowance is ₹15,000 or below must mandatorily be enrolled in EPF. The employer's EPF contribution (12% of basic+DA) applies on up to ₹15,000.

New employees above ₹15,000 — optional

New employees joining with basic+DA above ₹15,000 may be excluded from EPF at the time of joining. However, if they later request enrollment or were previously EPF members, they must continue contributing.

Existing EPF members above ₹15,000

If an existing EPF member's salary rises above ₹15,000, EPF contributions continue on the actual wages (not capped at ₹15,000) unless the member exercises the option to cap at ₹15,000.

EPS (Pension) component

For EPS (Employee Pension Scheme) contribution: employer deposits 8.33% of basic+DA up to ₹15,000 = ₹1,250/month to EPS. The cap for EPS is ₹15,000 even if actual wages are higher.

Supersession chain

Supersedes: G.S.R. 585(E) dated 09-09-1997 (₹6,500 ceiling)

Affected forms and returns

  • ECR (Electronic Challan cum Return)
  • Form 11 (New employee declaration)
  • Form 19 (PF withdrawal)
⚠ VERIFY

Whether the ₹15,000 EPF wage ceiling has been increased — there have been government announcements and committee recommendations to raise the ceiling (to ₹21,000 and later ₹25,000), but as of Aug 2026 the ceiling remains ₹15,000. Verify current ceiling on the EPFO website before HR/payroll decisions. Any increase in the ceiling significantly increases employer PF liability.

Primary source

G.S.R. 609(E) dated 22-08-2014 — issued by Ministry of Labour and Employment under EPF & MP Act 1952 s.6

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