EPF Wage CeilingWithdrawal, interest and EDLI cover
Besides contributions, the EPFO FAQs answer three questions members ask most.
Questions and answers
How much can be withdrawn? (Q16, Q34, Q44)
Up to 75% of the eligible PF balance in specified circumstances, with 25% kept as a minimum balance, subject to the applicable provisions; a member with at least one year of service can withdraw up to 75% for unforeseen needs (Q44).
What interest does the PF earn? (Q47)
8.25% a year in FY 2025-26, compounded at monthly running balance, tax-free savings according to the FAQ. The rate for FY 2026-27 was not in the FAQs.
How much life cover does EDLI give? (Q38, Q43)
Up to ₹7 lakh to the nominee or legal heirs if the member dies in service. The higher ceiling does not raise the maximum to ₹10.5 lakh: the formula could give more but the benefit stays at ₹7 lakh under the EDLI Scheme 2026, and an actuarial valuation will decide later. The 0.5% cost is paid by the employer.
Sources
- Employees' Provident Fund Organisation (EPFO), "Frequently Asked Questions (FAQs): Revision of EPFO Statutory Wage Ceiling from ₹15,000 per month to ₹25,000 per month" (13 pages; notification S.O. 5109(E) dated 17 September 2026, effective 17 September 2026), saved from the EPFO website and read on 13 November 2026. Question numbers (Q1 to Q48) are quoted.
- The wage ceiling revision is also reported in Press Information Bureau releases (PRID 2313829 and 2314111), read on 13 November 2026.
- Not read: the text of the Employees' Provident Funds Scheme, the EPS and EDLI schemes, and any EPFO circular issued after the FAQs.
Rules from the EPFO FAQs on the wage ceiling, read on 13 November 2026. The FAQs are guidance and EPFO may issue later circulars; check epfindia.gov.in. This site is independent, not connected with EPFO, and gives arithmetic, not legal advice.