Indian households now owe almost half of GDP.
Household financial liabilities hit ₹158.5 lakh crore in March 2026 — 45.9% of GDP, up from 36.4% in 2022. The ratio hasn't fallen in a single quarter since.
CapitalVia Research Desk ·
Data story
28 Sep 2026
28 Sep 2026
The PF line sat at ₹15,000 for 12 years. It just moved to ₹25,000.
Until 16 September, someone joining a job at more than ₹15,000 a month was not automatically covered by EPF. From 17 September 2026, the mandatory line is ₹25,000 — and the government expects over 51 lakh more employees to fall inside it.
EPFO wage ceiling for mandatory coverage
Since Sep 2014
₹15,000
per month
From 17 Sep 2026
₹25,000
per month · +66.7%
51 lakh+employees
Newly brought under mandatory PF, EPS pension and EDLI insurance cover, per the Cabinet's estimate. That is roughly 6.4% on top of EPFO's 7.98 crore contributing members today.
What moved on 17 September — and by how much
Percentage change, from the Cabinet and Labour Ministry releases of 16 Sep 2026
Wage ceiling₹15,000 → ₹25,000
+66.7%
Govt's annual outgo₹10,250 cr → ₹11,339 cr
+10.6%
Members under mandatory cover+51 lakh on 7.98 crore
+6.4%
The line moved by two-thirds; the government's own annual support rises by about a tenth. Contributions for the newly covered band come from the payroll — the employee's share and the employer's.
At the ceiling, per month
₹1,800 → ₹3,000employee PF
12% of ₹15,000 versus 12% of ₹25,000. For anyone whose PF is worked out on the capped wage, that is up to ₹1,200 a month more saved — a thinner payslip, a fatter PF balance, and the employer puts in its own share on top.
Who walks through EPFO's door in a month
July 2025, lakh members — EPFO's most recent monthly payroll release (published 23 Sep 2025)
Rejoined after an exitjob switchers
16.43
First-time members
9.79
…of whom aged 18–25
5.98
…of whom women
2.80
The ceiling bites at the point of joining. Rejoiners outnumbered first-timers 1.7 to 1, and 61% of first-timers were 18–25 — which is why a new job offer is where most people will first meet the ₹25,000 line. Net addition that month: 21.04 lakh.
If you're salaried
Earning ₹15,000–₹25,000, or switching into that band? PF, EPS pension and EDLI life cover are now mandatory, not optional. Expect a PF line on the payslip. If your PF was capped at ₹15,000, check whether it is now worked out on up to ₹25,000.
If you're a founder
Every hire paid up to ₹25,000 now carries employer PF. At the 12% rate, the capped employer share goes from ₹1,800 to ₹3,000 a month per head — plus admin and EDLI charges. Re-cost entry-level roles before the next offer letter.
If you set budgets
Any CTC template that pegs PF at ₹15,000 is now out of date. Frontline, support and first-job roles sit closest to the line — and 61% of first-time EPFO members are 18–25.
12 yrs
Ceiling unchanged, Sep 2014 → Sep 2026
7.68 lakh
Contributing establishments
82 lakh
EPS pensioners today
₹56,696 cr
Govt outgo over five years
More from Insights
All storiesThere is no single inflation rate.
India's retail inflation was 4.82% in August 2026. Almost no household actually paid that. It is the midpoint of twelve very different numbers.
Indian households saved 13% more in 2025-26. They borrowed 36% more.
RBI's first FY26 estimates: households added 13% more to savings but took 36% more new loans. Gold loans took ₹27 of every ₹100 of new bank personal loans.