New Delhi, July 6 -- EPFO's new clarification on provident fund contributions could mean a bigger monthly pay cheque for some employees while giving employers greater certainty over payroll costs.

Under the Employees' Provident Fund (EPF) Scheme, 2026, the Employees' Provident Fund Organisation (EPFO) has clarified that the mandatory EPF contribution will remain capped at Rs.1,800 a month, or 12% of the statutory wage ceiling of Rs.15,000.

Employees and employers can still contribute more, but only if they choose to. The clarification standardises the compulsory contribution and removes ambiguity over mandatory deductions for higher-paid employees.

So, who stands to gain more from the change-employees or employers?

The EPF Scheme, 202...