EPFO Guide on PM Viksit Bharat Rozgar Yojana: How First-Time Employees Can Claim Up to INR 15,000 Incentive

The Employees' Provident Fund Organisation (EPFO) has issued a stepwise advisory explaining how first-time formal sector employees can claim cash incentives of up to INR 15,000 under the Pradhan Mantri Viksit Bharat Rozgar Yojana (PM-VBRY), a central government scheme with an outlay of INR 99,446 crore. The support is meant for workers earning up to INR 1 lakh per month and is paid in two phases across the first year of service, with the advisory spelling out the compliance and training milestones needed to unlock both instalments, particularly the digital financial literacy module that must be completed before the final payout is released.

The scheme has two parts. Part A is aimed directly at first-time formal employees, while Part B offers employer-side subsidies to encourage job creation.

How to Complete the Financial Literacy Course

The second tranche of up to INR 7,500 is released only after the employee completes EPFO's online Financial Literacy Course (FLC). The process is as follows:

1. Log in to the official portal (epfo.gov.in) and go to the 'Employee Login' section using the UAN and password.
2. Verify the session with the one-time password (OTP) sent to the Aadhaar-linked mobile number.
3. Select the 'PMVBRY' tab on the member dashboard and click 'Financial Literacy Course' from the dropdown menu.
4. Complete all five sequential modules, each with educational material followed by question-and-answer checkpoints. A module unlocks only after the previous one is completed.
5. After passing the assessment, the portal generates an official 'FLC Course Completion Certificate'. This makes the employee eligible for the second tranche once the 12-month tenure is validated.

Who Is Eligible for the Incentive

To qualify for the employee benefit under PM-VBRY, a worker must meet the following conditions:

• Joining date: The employee must have joined an eligible establishment between August 1, 2025, and July 31, 2027.
• First-time EPF enrolment: The worker must have no prior contributing membership with EPFO or an EPF Exempted Trust before August 1, 2025, and initial contributions must start on or after the August 2025 wage month.
• Wage ceiling: Monthly salary must not exceed INR 1,00,000.
• Authentication: The Universal Account Number (UAN) must be activated and authenticated through the Aadhaar face authentication app, and the employee must hold an active DBT-enabled bank account. EPFO Extends ECR Filing Deadline to October 31 for September 2026 Wage Month After EPF Wage Ceiling Hike to INR 25,000.

Payout Structure Under Part A

The maximum one-time incentive is INR 15,000, determined by the employee's one-month EPF wage. It is credited directly to Aadhaar-seeded bank accounts through the Direct Benefit Transfer (DBT) mechanism in two equal tranches capped at INR 7,500 each. EPFO PF Advance Rules: Members Can Withdraw up to 75% of Balance After 12 Months of Service, Check Category-Wise Limits.

• First instalment: Paid after six months of continuous service with an eligible employer.
• Second instalment: Released after 12 months of continuous service, subject to passing the mandatory financial education assessment.

To encourage long-term savings, a portion of the incentive is deposited into a designated savings instrument, which employees can withdraw at a later date.

Subsidy for Employers Under Part B

Alongside worker incentives, Part B provides payroll support to employers who expand their workforce. Establishments get up to INR 3,000 per month for each additional employee retained for at least six months.

The employer subsidy runs for two years for general businesses and four years for firms in the manufacturing sector. The scheme aims to sustain job retention and spur formal job generation through July 2027.

(The above story first appeared on LatestLY on Oct 21, 2026 02:18 PM IST. For more news and updates on politics, world, sports, entertainment and lifestyle, log on to our website latestly.com).