Dear all,
Please help me understand how to calculate ESIC contributions from both the Employer (4.75%) and the Employee (1.75%) when the CTC of the Employee is Rs. 15,000.
I have broken down the salary as follows:
Basic = 7500
HRA = 3750
Special allowance = 350
Uniform allowance = 1500
Medical = 1000
Provident Fund @ 12% (Employer) = 900
Total CTC = 15000
Kindly guide me on how to calculate ESI.
Regards,
S. Koul
From India, Delhi
Acknowledge(0)
Amend(0)
1Please help me understand how to calculate ESIC contributions from both the Employer (4.75%) and the Employee (1.75%) when the CTC of the Employee is Rs. 15,000.
I have broken down the salary as follows:
Basic = 7500
HRA = 3750
Special allowance = 350
Uniform allowance = 1500
Medical = 1000
Provident Fund @ 12% (Employer) = 900
Total CTC = 15000
Kindly guide me on how to calculate ESI.
Regards,
S. Koul
From India, Delhi
Acknowledge(0)Amend(0)
In this case, gross salary constituting all elements like Basic, HRA, Spl, Uniform (if paid as allowance), Medical (if paid as allowance) shall be considered for ESIC deduction. There is nothing to do with CTC. PF is not part of ESIC deduction.
Regards,
P K Mishra
From India
Acknowledge(0)Amend(0)
Regards,
P K Mishra
From India
Acknowledge(0)Amend(0)
Dear,
It is very easy to calculate ESIC based on the basic salary of a particular employee. In your case, the basic salary is 7500. Therefore, ESIC for the employer (4.75%) is 356.25 and for the employee (1.75%) is 131.25. In short, the final amount for ESIC will be 487.50.
From India, Surat
Acknowledge(0)Amend(0)
It is very easy to calculate ESIC based on the basic salary of a particular employee. In your case, the basic salary is 7500. Therefore, ESIC for the employer (4.75%) is 356.25 and for the employee (1.75%) is 131.25. In short, the final amount for ESIC will be 487.50.
From India, Surat
Acknowledge(0)Amend(0)
Dear,
It is correct that it is very easy to calculate the ESI contribution of an ESI employee as well as the employer's share. However, I would like to correct you that ESI contribution is payable on all the allowances, not only on the Basic Salary. It has nothing to do with CTC. For example, if your salary is Rs. 14,100/-, you will calculate the employee's share of contribution at 1.75%, which amounts to Rs. 246.75, and the employer's share of contribution at 4.75%, which is Rs. 669.75. You will then round up the paisa to the next rupee. This means that if your ESI contribution is Rs. 246.75, it will be considered as Rs. 247/-. This rounding up is applicable to both the employee's and employer's share of contribution.
I hope the above clarification addresses your query. If you require any further clarification, please feel free to ask.
Thank you.
From India, Gurgaon
Acknowledge(0)Amend(0)
It is correct that it is very easy to calculate the ESI contribution of an ESI employee as well as the employer's share. However, I would like to correct you that ESI contribution is payable on all the allowances, not only on the Basic Salary. It has nothing to do with CTC. For example, if your salary is Rs. 14,100/-, you will calculate the employee's share of contribution at 1.75%, which amounts to Rs. 246.75, and the employer's share of contribution at 4.75%, which is Rs. 669.75. You will then round up the paisa to the next rupee. This means that if your ESI contribution is Rs. 246.75, it will be considered as Rs. 247/-. This rounding up is applicable to both the employee's and employer's share of contribution.
I hope the above clarification addresses your query. If you require any further clarification, please feel free to ask.
Thank you.
From India, Gurgaon
Acknowledge(0)Amend(0)
Give me fully details regarding EPF and ESI and how to calculate ESI AND EPF, how to fill the challan of EPF AND ESI,how to maintain register of EPF AND ESI.Please guide me about all my queries.
From India, Delhi
Acknowledge(0)Amend(0)
From India, Delhi
Acknowledge(0)Amend(0)
Dear,
If you don't have any information regarding this, please contact me. I can guide you on how to calculate the ESI and Provident Fund contributions, fill up the challan, and maintain the register accordingly.
From India, Gurgaon
Acknowledge(0)Amend(0)
If you don't have any information regarding this, please contact me. I can guide you on how to calculate the ESI and Provident Fund contributions, fill up the challan, and maintain the register accordingly.
From India, Gurgaon
Acknowledge(0)Amend(0)
Dear Koul,
I have attached the Excel sheet that will help you in calculating PF and ESI. You need to input the data, and it will calculate automatically.
Note: Conveyance is not a part of ESI calculation, so deduct it from the gross salary. For PF, special allowance will be included.
I hope this will be helpful for you, and for more details, you may contact me.
Regards,
Shaikh
From India, Bhubaneswar
Acknowledge(0)Amend(0)
I have attached the Excel sheet that will help you in calculating PF and ESI. You need to input the data, and it will calculate automatically.
Note: Conveyance is not a part of ESI calculation, so deduct it from the gross salary. For PF, special allowance will be included.
I hope this will be helpful for you, and for more details, you may contact me.
Regards,
Shaikh
From India, Bhubaneswar
Acknowledge(0)Amend(0)
Washing allowance is exempt from ESIC deduction if the employees draw a salary of 5000.
BA=3000
DA=900
HRA =300
WA= 800
Gross salary =5000
At that time, you deduct ESI only for 4200*4.75, which equals 199.5 Rs from the employer and 1.75% = 73.5 Rs from the employee. The remaining 800 Rs washing allowance is exempt from the ESI deduction.
From India, Bangalore
Acknowledge(0)Amend(0)
BA=3000
DA=900
HRA =300
WA= 800
Gross salary =5000
At that time, you deduct ESI only for 4200*4.75, which equals 199.5 Rs from the employer and 1.75% = 73.5 Rs from the employee. The remaining 800 Rs washing allowance is exempt from the ESI deduction.
From India, Bangalore
Acknowledge(0)Amend(0)
Dear All,
I heard that if conveyance is paid separately, then ESIC is not applicable. If it is part of the salary, then everything excluding washing allowance is applicable for ESIC. If a person's Gross Salary (not CTC) is 12000.00 (which includes basic, VDA, conveyance, HRA, washing allowance, etc.), and the part of washing allowance is 200/-, then the entire amount excluding washing allowance is covered under ESIC.
Please correct me if I am wrong.
Sanjay
From India, Kochi
Acknowledge(0)Amend(0)
I heard that if conveyance is paid separately, then ESIC is not applicable. If it is part of the salary, then everything excluding washing allowance is applicable for ESIC. If a person's Gross Salary (not CTC) is 12000.00 (which includes basic, VDA, conveyance, HRA, washing allowance, etc.), and the part of washing allowance is 200/-, then the entire amount excluding washing allowance is covered under ESIC.
Please correct me if I am wrong.
Sanjay
From India, Kochi
Acknowledge(0)Amend(0)
Dear krishna, For PF calculation you can check the excel sheet, if any thing you require be specific so that we can help each other. Regard’s Shaikh
From India, Bhubaneswar
Acknowledge(0)Amend(0)
From India, Bhubaneswar
Acknowledge(0)Amend(0)
Dear Koul, Gratuity and bonus doesn’t form part of gross salary but can be part of CTC. Regard’s Shaikh
From India, Bhubaneswar
Acknowledge(0)Amend(0)
From India, Bhubaneswar
Acknowledge(0)Amend(0)
Hello, I have head count of 14 employees for coverage under esi. But only 6 of them draws gross wage less than 21000/-. Is my org. covered under esi. should I obtain registration. pl. advice.
From India, Chicalim
Acknowledge(0)Amend(0)
From India, Chicalim
Acknowledge(0)Amend(0)
Hi,
As per the ESI Act, the ESI scheme is applicable to all factories and other establishments as defined in the Act with 10 or more persons employed in such establishment, and the beneficiaries' monthly wage does not exceed Rs. 21,000 are covered under the scheme.
You need to cover those 6 employees whose salaries are less than Rs. 21,000/-
From India, Madras
Acknowledge(0)Amend(0)
As per the ESI Act, the ESI scheme is applicable to all factories and other establishments as defined in the Act with 10 or more persons employed in such establishment, and the beneficiaries' monthly wage does not exceed Rs. 21,000 are covered under the scheme.
You need to cover those 6 employees whose salaries are less than Rs. 21,000/-
From India, Madras
Acknowledge(0)Amend(0)Join Our Community and get connected with the right people who can help. Our AI-powered platform provides real-time fact-checking, peer-reviewed insights, and a vast historical knowledge base to support your search.
Employee Benefits.doc
Employee Benefits.zip