Asstt. Manager-hr
Senior Human Resources
Suresh Ramalingam
Legal, Hr & Compliance
S. Krishnamoorthy
Director Of Private Ltd. Companies
Head - Corporate Hr
Hr Practices
Senior Manager - Hr
+3 Others

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Dear Friends, I dont have much knowledge about ESI. I want to know that On which salary, Basic or gross, ESI count? And What % is to contribute?
From India, Vadodara
Dear Devansh,
ESIC is deducted on Gross salary per month. It is paid from both the sides employee as well as employer.
Employee pays 1.75% of his/her gross salary and
Employer pay 4.75% of his/her gross salary.
For ESIC coverage the ceiling is 10,000/- gross salary per month.
Amit Seth.

From India, Ahmadabad
Exactly.. but gross here will mean basic, DA and all allowances less washing allowance, if any.. correct? Cheers, Bala

Gross means gross. It includes all (including DA, HRA, OTA etc). Please go through the ESI Act and Rules available in ESI web site. S. Krishnamoorthy
From United States, Roslindale
Hi Devang, ESI Deducted from the gross salary Employee Contribution - 1.75% Employer contribution - 4.75%
From India, Mumbai
ESI has to be deducted on gross amount.
Employee contribution -1.75% of gross amount
Employer contribution -4.75% of gross amount
You need to submit the ESI challans by 21stof every month in nationalised bank.

From India, Hyderabad
ESI: Employees’ State Insurance Act, 1948
Calculations: ESI will be calculated from Gross salary
and other Allowances

Employee: 1.75%
Employer: 4.75%
Coverage: All the employees Drawing wages up to Rs.10, 000/- per month engaged either directly or thru’ contractor.

From India, Madras
Hi All, Hope there are different definitions given on ESI wages, the attachment will give you clear idea on components not be included on caclulating esi wages.
From India, Mumbai

Attached Files
File Type: pdf wages.pdf (7.2 KB, 541 views)

pls check the bellow link

From India, Hyderabad

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