The Ministry of Labour and Employment has introduced the new Employees’ Provident Fund (EPF) scheme 2026 by replacing the old EPF scheme, 1952. The new scheme is designed under the Code on Social Security 2020 but it came into effect on June 29. 2026.
The new 2026 scheme gives more focus on the social security code framework and digitalisation to bring transparency and accountability.
New Rules under the Employees’ Provident Funds Scheme 2026
The EPF Scheme 2026 replaced the Employees’ Provident Funds and Miscellaneous Provisions Act, 1952 by introducing the new rules on social security code, EPFO’s digital framework and EPF contribution during emergencies. However the basic pay interest rate, UAN number and voluntary provident funds remained unchanged.
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Social Security Code 2020 under EPF Scheme 2026
The Employees’ Provident Fund (EPF) Scheme 2026 has came into existence since the june 29, 2026 by replacing the Employees’ Funds and Miscellaneous Provisions Act 1952. The new scheme is implemented under the Social Security Code 2020.
The Social Security Code 2020 aimed to ensure universal and inclusive social protection for organised, unorganised, gig and platform workers by providing social security benefits, including a work-from-home option, life and disability insurance, gratuity and 26 weeks of maternity leave
EPFO’s Digital Framework
The EPF scheme 2026 introduces digital systems and transparent mechanisms to strengthen implementation and support both employers and employees. The Code provides for maintaining all records, registers, electronic annual statements, digital inspections and returns filing in electronic form. This will reduce compliance costs for employers and make processes simpler and more efficient.
EPF Contribution during Emergencies
The EPF scheme 2026 gives power to the central government that the government can reduce or defer the Employment Provident Fund contribution during unforeseen situations or emergencies. The new rules will provide flexibility during the emergency period without changing the permanent contribution.
It can be implemented for three months in events like epidemics, national disasters and pandemics(like Covid-19 pandemics) and whenever the country is facing any economic hardship.
Exempted EPF Trusts
The new scheme also brought the significance change for companies and employer that operate their own exempted provident fund trusts instead of depositing with the EPF contributions. The new scheme 2026 provides a framework for eligibility, composition of trustees, regular trustee meetings, electronic accounting, dematerialised investments, online disclosures, annual audits and penalties for delayed reporting and procedures for renewing exemptions.
Rules Remain Same under the New EPFO Scheme
Rules remain unchanged under the new EPF scheme including EPF contribution rates which will continue at 12% of the employee's wages with the employer contributing an equal 12% as per the rules.
The wage ceiling remains the same under the new EPF scheme 2026. It will be calculated based on the wage ceiling that is notified by the central government.
The Universal Account Number (UAN) continues to be the same permanent identification number for each EPF member for EPFO’s services.
Voluntary Provident Fund (VPF) rules remain the same. If employees want to contribute more than 12% through the VPF and employers can also contribute more if they want but they are not required to meet the employee’s additional contribution.
The EPF Scheme notified that other benefits provided by the EPFO will remain unchanged like the EPF interest rate ( 8.25%), withdrawal rules (members can withdraw up to 75% of their PF balance), nomination provisions and other services provided by the Employees’ Provident Fund Organisation.