Finance Minister Nirmala Sitharaman today said that for next three months EPF or employee provident fund contribution will be 10% each for employees and employers as compared to the statutory 12% limit, a move which will help increase take home pay of employees. Experts welcomed the move.
The finance minister today also announced an extension another three months a scheme under which the government pays the EPF contribution of employees and employers. Under this scheme, the central government pays 24% of the monthly wages into EPF accounts below ₹15,000 per month, who are employed in establishments having up to one hundred employees, with 90% or more of such employees earning monthly wages less than ₹15,000. This scheme will be now available till August.