Employee benefits
What are EPF, EPS and EDLI?
Your provident fund has three parts. EPF is your retirement savings, built from 12% of your wages and part of your employer’s 12%. EPS is the pension scheme, which receives 8.33% from the employer’s share. EDLI is life cover, paid for by a separate 0.5% employer contribution. All three now work on wages up to ₹25,000 a month, from 17 September 2026.
In short
- EPF: retirement savings.
- EPS: pension, from 8.33% of the employer’s share.
- EDLI: life cover, a separate 0.5% from the employer.
- Wage ceiling: ₹25,000 a month from 17 September 2026.
Who pays what?
| Part | Who pays | Share |
|---|---|---|
| EPF | Employee | 12% of PF wages |
| EPF | Employer | The balance of the employer’s 12% after EPS |
| EPS | Employer | 8.33% of wages, subject to the ceiling |
| EDLI | Employer | 0.5% of wages, up to ₹125 a month |
What does each part give you?
EPF gives a lump sum at retirement or when you withdraw. EPS gives a monthly pension after qualifying service. EDLI pays your nominee if you die in service: ₹2.5 lakh to ₹7 lakh with twelve months’ continuous employment. Our EDLI page explains the calculation.
What changed in September 2026?
The wage ceiling rose from ₹15,000 to ₹25,000 a month. More employees are now covered, contributions rise for those earning above ₹15,000, and more families reach the ₹7 lakh EDLI maximum. Our article on the EPF ceiling explains the change.
Frequently asked questions
What is the difference between EPF and EPS?
EPF is your retirement savings; EPS is the pension scheme funded from 8.33% of the employer's contribution.
Who pays for EDLI?
The employer, at 0.5% of wages up to the ceiling.
What is the EPF wage ceiling now?
₹25,000 a month, from 17 September 2026.
What happens when you talk to us
A 20-minute video call with a Growth Advisor. No obligation, and no quote pushed. It opens with a five-minute video from our founder on how the benefits stack works and why Ethika exists; the rest is your questions. You’ll leave with an honest read on your current cover and claims experience, and a straight answer on whether we can genuinely help, even if you never become a client.
20 minutes with a Growth Advisor. No obligation.
A note on this page. Everything here is general information, not legal or financial advice, and nothing is an offer. EPF rules and portal steps are as published by EPFO at the review date and can change; check epfindia.gov.in before relying on them. For advice about your situation, talk to us.