EPFO Increases Ex-Gratia Amount Under Death Relief Fund to ₹15 Lakh

The Employees' Provident Fund Organisation (EPFO) has announced a major change to support the families of its deceased employees. The ex gratia amount under the Death Relief Fund has been increased from ₹8.8 lakh to ₹15 lakh. This new amount will come into effect from April 1, 2025.

Financial Help for Families of Deceased Employees

The increased ex gratia amount of ₹15 lakh will be given to the family members (nominee or legal heirs) of a deceased employee of the Central Board. This financial help will be paid from the Staff Welfare Fund.

The decision was approved by the Central Provident Fund Commissioner and the President of the Central Staff Welfare Committee, as mentioned in an EPFO circular dated August 19, 2025.

EPFO to Increase Ex Gratia Amount by 5% Annually from 2026

EPFO has also decided to increase the ex gratia amount by 5% every year, starting from April 1, 2026. This means the support for families will continue to grow each year, helping them better manage financial needs in difficult times.

What Is the Central Board of EPFO?

The Central Board of Trustees is the top decision-making body of the EPFO. It includes representatives from the central and state governments, as well as employers and employees.

Other Recent Changes by EPFO

Along with the ex gratia increase, EPFO recently announced two more updates to make processes easier for its members:

1. Simplified Death Claims for Minor Children: 
   Now, the guardianship certificate is no longer required when claiming PF settlement for the minor children of a deceased member. This makes it easier and quicker for families to access the money.
2. Easier Aadhaar Update Process: 
   EPFO has also made the Joint Declaration process simpler. This helps members who need to link or correct their Aadhaar details in their Universal Account Number (UAN).

These changes were shared in another EPFO circular dated August 13, 2025.

Read more: EPFO is Now on DigiLocker! Check PF Balance, Download UAN Card and PPO Anytime.

Conclusion

The EPFO's decision to raise the ex gratia amount to ₹15 lakh and increase it annually shows its commitment to supporting employees' families. Along with simplifying death claims and Aadhaar corrections, these steps aim to make the provident fund system more helpful and user-friendly for all members.

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