Government Schemes★ Must Know

Government Notifies EPF Scheme 2026, Replacing the 1952 Scheme Under the Social Security Code

By TestNeeti Editorial TeamPublished Wednesday, 1 July 2026 2 min readSource: The Times of IndiaArticle 2 of 7

The Ministry of Labour and Employment has notified the Employees' Provident Funds Scheme, 2026, under the Code on Social Security, 2020, replacing the longstanding Employees' Provident Funds Scheme, 1952. The move, reported around 1 July 2026, modernises the administrative framework for India's roughly 8 crore EPFO subscribers while leaving core benefits intact. Key changes: partial-withdrawal rules are simplified into three broad categories — illness; education and marriage; and housing — plus specified special circumstances, subject to conditions and a minimum-balance requirement; digital KYC and compliance are strengthened; and the 12% contribution rate for employees and employers is retained. Crucially, existing EPF members are not affected — their accounts, balances and accrued benefits continue uninterrupted; the reform aligns provident-fund administration with the new labour codes.

Key Facts & Details

9 points

1
The Ministry of Labour and Employment notified the Employees' Provident Funds Scheme, 2026.
2
It is issued under the Code on Social Security, 2020, and replaces the EPF Scheme, 1952.
3
Partial withdrawals are simplified into illness; education & marriage; and housing (plus special cases).
4
Digital KYC and compliance requirements are strengthened.
5
The 12% contribution rate for employees and employers is unchanged.
6
Existing EPF members are not affected — accounts and accrued benefits continue; it covers ~8 crore subscribers.

Deep Dive

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The Code on Social Security, 2020 consolidates multiple labour laws on social security, including the EPF & Miscellaneous Provisions Act, 1952.
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The scheme is administered by the Employees' Provident Fund Organisation (EPFO) under the ministry.
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The EPF interest rate continues to be declared annually by the EPFO's Central Board of Trustees.

Exam Focus

Which scheme did the government's newly notified EPF Scheme 2026 replace, and under which code was it issued?

Exam Relevance & Angle

Social-security and provident-fund changes are frequently tested Government Schemes / Financial Awareness facts. Examiners test the new scheme (EPF Scheme 2026), the code (Code on Social Security, 2020), the scheme it replaces (1952) and the unchanged 12% rate — clean, testable hooks affecting crores of workers.

Target Exams

SBI POSBI ClerkIBPS POIBPS ClerkIBPS RRB OfficerIBPS RRB AssistantRBI Grade BRBI AssistantNABARD Grade ASSC CGLSSC CHSLRRB NTPCLIC AAONIACL AOUPSC CSEState PCS

Background & Context

The Employees' Provident Fund (EPF) is a mandatory retirement-savings scheme for salaried workers, administered by the Employees' Provident Fund Organisation (EPFO) under the Ministry of Labour and Employment. Historically it operated under the Employees' Provident Funds & Miscellaneous Provisions Act, 1952 and the EPF Scheme, 1952. Both employer and employee contribute 12% of wages; the interest rate is declared each year by the EPFO's Central Board of Trustees. The Code on Social Security, 2020 is one of four new labour codes that consolidate and modernise India's labour laws, subsuming earlier statutes including the 1952 Act. Notifying the EPF Scheme, 2026 under this Code operationalises the provident-fund provisions of the labour-code framework.