EPFO: This will be reviewed from time to time for coverage under EPFO. Sources say that the minimum salary limit under EPFO will be increased from 15000 to 21000.
EPF Scheme: If you are also employed, then this news will make you happy. The savings scheme (pension fund) of the Employees’ Provident Fund Organization (EPFO) is going to be extended soon by the central government. After the new decision, both the employee and the employer will have to pay more contribution than before. With this step of the government, there will be a significant increase in the retirement fund of the employee. After this decision, more employees than before will come under the ambit of Employees Provident Fund.
The last change was in 2014.
At present, the salary limit for Employees Provident Fund (EPF) scheme of EPFO is Rs 15,000 per month. It was changed eight years ago in 2014. At that time it was increased from Rs.6,500 to Rs.15,000 per month. Such a company or factory where there are more than 20 employees, according to the rules, they have to deposit the PF of the employees.
Decision on increasing the salary limit soon
According to the information, the decision on increasing the salary limit is going to be taken soon by the expert committee. It is being told that it will be indexed according to inflation. This will be reviewed from time to time for coverage under EPFO. Sources say that the minimum salary limit under EPFO will be increased from 15000 to 21000.
With the increase in the salary limit, the share of PF deposited by the employee and the employer will increase. Now it is 1800 rupees on 15000 rupees, if it is increased to 21000 then it will be 2530 rupees. Due to this, the pension fund to be prepared in future will be more than the existing one.