Esi Deduction - Pdf Download - CiteHR
Harsh Kumar Mehta
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Hi All,
My salary was 12 K per month for Two months for which i had given ESI but i got increment in two months and my Salary went to 15.5K, I have to pay ESI for this too. as consultant said that you would have to pay ESI for Six months whether your are getting 15.5K per Month
Please give me suggestion that is it right or wrong? i have to pay ESI for next 4 months.

Dear Friend, ESI deduction will be made upto Sept 14 and you are entitled to ESI benefits till next Benefit Period.
Hi Mahavir, Thanks for your reply, I have a small doubt, how we have to deduct the money for the next 4 Months (Have to Make a Sealing on 15000 / from the New Hike)
in dont know about ESI BUT Igot it this meaning so sorry say about it i m new inplatform
The ESIC contribution works on specified contribution period as specified by ESIC. The contributing wage period is April to September and October to March.
If the member has contributed in the begining of the any wage period and his wages/salary increased above the ceiling limit, bound to contribute till the end of the wage period.
EG:. Incase a employee has 15000/- or less during the month of April and in May or June his wage/salary increased to Rs.16k or more if any, he bound to continue to pay his contribution till September and will be out of coverage wef. October. Employer and employee both are bound to do so.
Purushotham A

Hi Purushotam,
Thanks for the reply.
How we have to deduct the ESI for the rest of the month if i got hike on the month of June, whether we have to deduct the 6.5% from old salary (Ex. 14000/-) or new salary (Ex. 16000/-)
Pls clarify....

1. Please see proviso to section 2(9) of ESI Act, 1948 and also proviso to Rule 50 of ESI (Central) Rules,1952 which clarifies the issue raised by you.
2. There is no maximum limit/cap regarding ESI deductions during any contribution period. Therefore, even if the wages have been increased to Rs. 16000/-, the contribution on total Rs. 16000/- will be payable on prescribed rates till close of such contribution period.

Dear All,
first of all employees get confused. CTC might be 15,000 or 15, 500/- but the Gross should cross 15,000 or more .
for Ex: if you CTC 16,000/- then you will not come under ESI slab.
if you CTC 15,500/- then you are eligible for ESI .

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Dear Friends,
Till Sept the deduction made would be on actual wages/ salary paid(as defined in ESI Act Sec 2(9) which normally excludes reimbursible elements).His rate for Benefits would also be correspondingly higher. In October he will be shown in Exempted Category and no deduction is to be made.

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