EPF contributors above statutory limit to be benefited: Govt

The Centre today clarified that the members of the retirement fund body EPFO, who have made EPF contributions on wages above the statutory limit, would be benefited accordingly.
At present, the statutory wage limit for becoming a member of the Employees Provident Fund Organisation (EPFO) is Rs 15,000 per month.
In order to contribute more than the statutory ceiling, the employers are required to exercise an option for higher contributions.
"Regarding the pension, those who remitted the contribution to EPF, on full salary (above statutory ceiling), now they would get pension, even if they did not give the option before 2006," Labour Minister Bandaru Dattatreya said in response to a question by RSP MP N K Premachandran.

"We would issue the order today itself. All the EPF pensioners can avail the benefits," he said.
The order by the EPFO said, "In a situation where the deposit of the employers' share at 12 per cent has been on the actual salary and not the ceiling amount, the Provident Fund Commissioner could seek a return of all such amounts that the employees concerned may have taken or withdrawn from their Provident fund account before granting them the benefits of the Pension scheme. Once such a return is made in whichever cases such return is due, consequential benefits in terms of this order will be granted to the said employees."

The EPFO members can contribute towards social security schemes like EPF and Employees Pension Scheme 1995, on wages higher than the statutory limit as one's remuneration increases with passage of time.