Budget 2026: EPF rules overhauled to match older provident fund laws
The new Union Budget has overhauled EPF rules to match up with older provident fund laws.
Starting April 1, 2026, the changes will scrap some old limits on employer contributions and tweak which funds qualify for recognition.
What does it mean for you?
If you're working or planning your finances, here's what matters: employer contributions to PF, NPS, and superannuation will be capped at ₹7.5 lakh per year starting April 1, 2026—anything above that will be taxed.
Employers also get more flexibility to claim deductions if they pay PF/ESI dues on time.
The EPFO says the rationalization "will go a long way in serving the interests of its stakeholders by convergence and harmonization" and that existing differences "create confusion and give rise to avoidable litigation."