EPF Scheme 2026: compliance checklist for employers, late-payment damages and withdrawal rules

The Employees' Provident Fund Scheme, 2026 took effect on 1 July 2026 under the Code on Social Security, 2020. It replaces the 1952 scheme. India Briefing reports that existing members move over automatically, keep their balances and history, and need no fresh enrolment.

For employers

• Contribute 12% of EPF wages, with employees contributing 12%. Some notified establishments may pay a concessional 10%.
• Report joiners, exits, monthly contributions, changes of ownership and authorised signatories electronically.
• File a consolidated Form V within 15 days of the scheme applying to your establishment, with Aadhaar, PAN, UAN, gross wages and EPF wages. The guide says it is unclear whether this applies to establishments already covered.
• Keep UAN, Aadhaar and Aadhaar-linked bank details for every member.

Penalties for delay

• Damages on late EPF payments, as a share of the arrears per month: 0.25% if less than 2 months, 0.50% for 2 to 4 months, 1% beyond 4 months.
• A late fee of Rs 500 per day for delayed statutory returns, up to a cap. The guide does not state the cap.

For employees: withdrawals

• Full withdrawal in cases such as retirement, permanent disability, permanent migration, overseas employment, retrenchment, voluntary retirement and certain long unemployment cases.
• Partial withdrawal after a prescribed membership period for medical treatment, education, marriage, house purchase or construction, home loan repayment and renovation.
• Members must keep a balance equal to 25% of their accumulated contributions.
• E-nomination is available online, and a new nomination is needed after marriage.

Claim settlement timelines and the yearly interest rate were not stated in the guide, so we have not included them. Check EPFO for the latest figures.