Government Notifies Wage Ceiling Under Social Security Code 2020

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  • Last Updated on 4 June, 2026

Wage Ceiling Under Chapter III of Social Security Code 2020

Notification No. S.O. 2702(E), Dated: 29.05.2026

The Ministry of Labour and Employment has issued a notification prescribing the wage ceiling of ₹15,000 per month for the purposes of Chapter III of the Code on Social Security, 2020.

The notification has been issued in exercise of the powers conferred under clause (89) of Section 2 of the Code.

1. Wage Ceiling Fixed at ₹15,000 Per Month

Pursuant to the notification, the wage ceiling for the purposes of Chapter III of the Code on Social Security, 2020 has been fixed at:

₹15,000 per month

This threshold will be used for determining applicability and administration of provisions governed under the relevant chapter of the Code.

2. Notification Issued Under Section 2(89)

The Ministry has exercised powers under clause (89) of Section 2 of the Code on Social Security, 2020, to notify the prescribed wage ceiling.

The provision empowers the Central Government to specify the wage limit for implementing the relevant social security provisions.

3. Applicability to Chapter III

The notified wage ceiling applies specifically to Chapter III of the Code on Social Security, 2020, which relates to the Employees’ Provident Fund (EPF) framework.

The prescribed threshold will serve as an important reference point for determining coverage and compliance obligations under the chapter.

4. Significance of the Notification

By formally notifying the wage ceiling, the Government has provided clarity regarding the wage threshold applicable under the Employees’ Provident Fund provisions of the Social Security Code.

The notification supports uniform implementation and administration of social security benefits and obligations under the Code.

5. Objective of the Notification

The notification aims to operationalise the provisions of Chapter III of the Code on Social Security, 2020, by prescribing a statutory wage ceiling for purposes related to the Employees’ Provident Fund.

The move facilitates regulatory certainty, effective compliance and smooth implementation of the social security framework under the Code.

Click Here To Read The Full Notification

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Author: Taxmann

Taxmann Publications has a dedicated in-house Research & Editorial Team. This team consists of a team of Chartered Accountants, Company Secretaries, and Lawyers. This team works under the guidance and supervision of editor-in-chief Mr Rakesh Bhargava.

The Research and Editorial Team is responsible for developing reliable and accurate content for the readers. The team follows the six-sigma approach to achieve the benchmark of zero error in its publications and research platforms. The team ensures that the following publication guidelines are thoroughly followed while developing the content:

  • The statutory material is obtained only from the authorized and reliable sources
  • All the latest developments in the judicial and legislative fields are covered
  • Prepare the analytical write-ups on current, controversial, and important issues to help the readers to understand the concept and its implications
  • Every content published by Taxmann is complete, accurate and lucid
  • All evidence-based statements are supported with proper reference to Section, Circular No., Notification No. or citations
  • The golden rules of grammar, style and consistency are thoroughly followed
  • Font and size that's easy to read and remain consistent across all imprint and digital publications are applied