Hi,
Can anybody help me with how to calculate ESI if CTC is 8000/-? I know the percentages of the employer & employee contributions towards ESI are 4.75% & 1.75% respectively, but I am not able to calculate ESI. Could anybody show me the calculation method?
Waiting for your quick response.
Thanks,
Soma
From India, Mumbai
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4Can anybody help me with how to calculate ESI if CTC is 8000/-? I know the percentages of the employer & employee contributions towards ESI are 4.75% & 1.75% respectively, but I am not able to calculate ESI. Could anybody show me the calculation method?
Waiting for your quick response.
Thanks,
Soma
From India, Mumbai
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Dear Somu,
Please let me know whether the CTC is Rs. 8,000/- or if the gross salary is that amount. If the gross salary is Rs. 8,000/-, the calculation follows:
8000 * 4.75% = Rs. 380/-
8000 * 1.75% = Rs. 140/-
Hope you understand.
Regards,
Lakshmi
From India, Madras
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Please let me know whether the CTC is Rs. 8,000/- or if the gross salary is that amount. If the gross salary is Rs. 8,000/-, the calculation follows:
8000 * 4.75% = Rs. 380/-
8000 * 1.75% = Rs. 140/-
Hope you understand.
Regards,
Lakshmi
From India, Madras
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The total ESI is 6.5%, i.e., 4.75% from the employer and 1.75% from the employee. So, for 6.5% of 8000, it will be around 480 to 500. Now you can break up this amount as per the percentage for the employer and employee. Hope this clarifies.
From India, Bangalore
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From India, Bangalore
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Dear Friend,
ESI is not calculated on the CTC. ESI is calculated on employees' gross salary, which also includes incentives, NFH (National Festival Holidays), and other allowances. Both the employer (4.75%) and the employee (1.75%) must contribute to ESI Pay based on the employee's gross salary.
Regards, ac_prabha
From India, Bangalore
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ESI is not calculated on the CTC. ESI is calculated on employees' gross salary, which also includes incentives, NFH (National Festival Holidays), and other allowances. Both the employer (4.75%) and the employee (1.75%) must contribute to ESI Pay based on the employee's gross salary.
Regards, ac_prabha
From India, Bangalore
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Hi....Soma, Please see my earlier topic "ESI Return Made Easy" in this group. Regards, :) PBS KUMAR
From India, Kakinada
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From India, Kakinada
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Hi Soma,
It is really a tough exercise; even I faced the same problem in my company. But there is a way to solve it. First, you need to calculate the gross salary of the employee, i.e., CTC minus PF and ESI. But here, we want to calculate ESI itself so do one thing, apply this formula: (CTC - PF) * 4.75 / 104.75. And here I am attaching a CTC for 8000/-. It can help you. This time I am not able to give you detailed guidance, but if you don't understand the calculation, I will give the details.
Regards,
Shweta
From India, Bhopal
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It is really a tough exercise; even I faced the same problem in my company. But there is a way to solve it. First, you need to calculate the gross salary of the employee, i.e., CTC minus PF and ESI. But here, we want to calculate ESI itself so do one thing, apply this formula: (CTC - PF) * 4.75 / 104.75. And here I am attaching a CTC for 8000/-. It can help you. This time I am not able to give you detailed guidance, but if you don't understand the calculation, I will give the details.
Regards,
Shweta
From India, Bhopal
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Dear Shweta,
First, I must clarify that E.S.I. calculation is always based on Gross Salary rather than C.T.C. To determine the gross salary, you need to deduct ESI and PF (Employer's share) from C.T.C or any other such component that is not part of the routine salary, such as a bonus, etc. After that, you can proceed with the calculation for E.S.I.
If you have any doubts, please let me know.
Regards,
Ashutosh Verma
From India, Chandigarh
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First, I must clarify that E.S.I. calculation is always based on Gross Salary rather than C.T.C. To determine the gross salary, you need to deduct ESI and PF (Employer's share) from C.T.C or any other such component that is not part of the routine salary, such as a bonus, etc. After that, you can proceed with the calculation for E.S.I.
If you have any doubts, please let me know.
Regards,
Ashutosh Verma
From India, Chandigarh
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Hi Plz clarify me abt the difference between gross salary n CTC. I know dat CTC is dat total cost which a company bears for its employee. and Gross = CTC - Benefits given by Company m i correct
From India, Kanpur
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From India, Kanpur
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Hi Soma,
Please find………
C T C includes Employers contribution to PF and ESI
Gross Salary = C T C - Employers contribution to PF
Net Take Home Salary = Gross Salary – Statutory Deductions (PF, ESI, PT,
Mediclaim, Food, Transportation etc etc)
EX: C T C = 8000/-
Gross Salary = 8000 – 12% on PF (Basic+ DA) – ESI 4.75%
=8000-384-362
=7254/-
Net Take Home Salary =7254-12% PF-ESI 1.75%-PT
=7254-384-133-60
=6657/-
Warm Regards,
MANIKSING
From India, Bangalore
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Please find………
C T C includes Employers contribution to PF and ESI
Gross Salary = C T C - Employers contribution to PF
Net Take Home Salary = Gross Salary – Statutory Deductions (PF, ESI, PT,
Mediclaim, Food, Transportation etc etc)
EX: C T C = 8000/-
Gross Salary = 8000 – 12% on PF (Basic+ DA) – ESI 4.75%
=8000-384-362
=7254/-
Net Take Home Salary =7254-12% PF-ESI 1.75%-PT
=7254-384-133-60
=6657/-
Warm Regards,
MANIKSING
From India, Bangalore
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Hi, First calculate the gross salary and then take 4.75% and 1.75% of it for the purpose of ESI deductions. Regards Abhay
From United Arab Emirates, Sharjah
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From United Arab Emirates, Sharjah
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Dear Shweta,
Thank you so much! You solved my problem. Now, with the help of your ESI formula, I'm easily able to calculate ESI.
Keep posting...
Thanks once again,
Soma :)
From India, Mumbai
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Thank you so much! You solved my problem. Now, with the help of your ESI formula, I'm easily able to calculate ESI.
Keep posting...
Thanks once again,
Soma :)
From India, Mumbai
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Dear Friend,
Kindly click on the following link, it will give you some required information,
https://www.citehr.com/search_new.ph...tion&submit=Go
Pls let me know was this information useful,,
If not let me try out more & give information,,,,
In CiteHR you will get A to Z information on HR…..
Regards
M. Peer Mohamed Sardhar
093831 93832
From India, Coimbatore
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Kindly click on the following link, it will give you some required information,
https://www.citehr.com/search_new.ph...tion&submit=Go
Pls let me know was this information useful,,
If not let me try out more & give information,,,,
In CiteHR you will get A to Z information on HR…..
Regards
M. Peer Mohamed Sardhar
093831 93832
From India, Coimbatore
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Dear Sir,
Thank you for your response. I have already checked the link, but I have not found the attachment in the Excel sheet regarding the EPF and ESI return forms. Kindly send the same if you have these types of files.
Basudeva Choudhury
New Delhi
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Thank you for your response. I have already checked the link, but I have not found the attachment in the Excel sheet regarding the EPF and ESI return forms. Kindly send the same if you have these types of files.
Basudeva Choudhury
New Delhi
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Dear All,
I need to know just one thing in the Excel sheet attached by Shweta for CTC Calculation. Do we deduct the employer's contribution of PF from our CTC only? And why is it called the employer's contribution at all?
Regards,
Remya
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I need to know just one thing in the Excel sheet attached by Shweta for CTC Calculation. Do we deduct the employer's contribution of PF from our CTC only? And why is it called the employer's contribution at all?
Regards,
Remya
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Dear Soma,
Kindly refer to the ESI Act on the website and keep it for your reference. In the ESI Act, ESI will be calculated on the gross amount paid by the employer to the employee (not on the CTC calculated by the employer).
Basudeva Choudhury
New Delhi
Mobile no. 9891430567
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Kindly refer to the ESI Act on the website and keep it for your reference. In the ESI Act, ESI will be calculated on the gross amount paid by the employer to the employee (not on the CTC calculated by the employer).
Basudeva Choudhury
New Delhi
Mobile no. 9891430567
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Dear Soma,
ESI contribution is payable on gross salary up to Rs. 10,000/- per month. For contribution, only gross salary is considered, not the CTC.
In your case, the gross salary is Rs. 4941. Therefore, the employee contribution will be (1.75*4941/100) = 86.47, rounded up to 87. The employer contribution will be (4.75*4941/100) = 234.70, rounded up to 235.
Thanks,
Amit Kumar Tawar
From India, Mundra
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ESI contribution is payable on gross salary up to Rs. 10,000/- per month. For contribution, only gross salary is considered, not the CTC.
In your case, the gross salary is Rs. 4941. Therefore, the employee contribution will be (1.75*4941/100) = 86.47, rounded up to 87. The employer contribution will be (4.75*4941/100) = 234.70, rounded up to 235.
Thanks,
Amit Kumar Tawar
From India, Mundra
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Lakshmi If The Employe Will Resigned Without Filluping The Epf & Esi Forms Then What We Do And How We Will Close Their Account
From India, Hyderabad
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From India, Hyderabad
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Dear sirs,
I am a fresh graduate and I have attended an interview where they asked me about PF calculation and ESI calculation. However, I actually don't know the salary calculations, deductions, and their returns. Please help me in this regard. Kindly send me calculation methods with an example.
Gururaju Acharya
Hyderabad
From India, Hyderabad
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I am a fresh graduate and I have attended an interview where they asked me about PF calculation and ESI calculation. However, I actually don't know the salary calculations, deductions, and their returns. Please help me in this regard. Kindly send me calculation methods with an example.
Gururaju Acharya
Hyderabad
From India, Hyderabad
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Can i know we have deduct only employee contribution or both employer, kindly give process
From India, Hyderabad
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From India, Hyderabad
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Hi i am new to payroll.I have little problem in reimbursement configuration. any one please tell me how to calculate reimbursement,items in it..what are the claim procedure Arunraj Bangalore
From India, Bangalore
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From India, Bangalore
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Dear GTM, I have my own Firm , Namely SNP Info Tech, I am Paying Rs. 5000/- To my Employees, Total Strenth is 11 Employees. Am i suppose to pay ESI.??? Pls Reply me soon. Thanks & Regards, Alpa Patel
From India, Ahmadabad
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From India, Ahmadabad
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ESI is applicable only if your Gross salary is below 15,000. if it’s more ESI is not applicable. Regards, Derek Gomes
From India, Mumbai
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From India, Mumbai
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Hi,
ESIC calculation formula:
- Gross salary - Attendance allowance (if any) * 4.75% Employer's contribution
- Gross salary - Attendance allowance (if any) * 1.75% Employee contribution
ESIC calculation depends on whichever component is included in the employee's monthly salary. This includes Basic pay, HRA, Personal Pay, Statutory Bonus (if paid monthly), Conveyance Allowance, Medical Allowance, Meal allowance, Travel Allowance, Vehicle Allowance, and any other component included in the monthly salary.
For more information, please send an email to dilgeetha_2105@yahoo.co.in. An XL file is attached.
Thank you.
From India, Bangalore
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ESIC calculation formula:
- Gross salary - Attendance allowance (if any) * 4.75% Employer's contribution
- Gross salary - Attendance allowance (if any) * 1.75% Employee contribution
ESIC calculation depends on whichever component is included in the employee's monthly salary. This includes Basic pay, HRA, Personal Pay, Statutory Bonus (if paid monthly), Conveyance Allowance, Medical Allowance, Meal allowance, Travel Allowance, Vehicle Allowance, and any other component included in the monthly salary.
For more information, please send an email to dilgeetha_2105@yahoo.co.in. An XL file is attached.
Thank you.
From India, Bangalore
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hello soma how can u calculate CTC without knowing his/her gross salary I think u will calculate CTC if u know Gross salary becoz in CTC other allowance, Bonus Leave are alsoo include
From India, Delhi
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From India, Delhi
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Dear All, How can we avoid diffrence betwin ESIC mannual calculation & system genrated challn amount. Pls check if employee count is more than 50. Regards, Kaushal
From India, Mumbai
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From India, Mumbai
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Hi Shweta, I am not able to underatnd the attachement with regard to the annual gross salary. The total of individual components do not add up to Ra 96,000/-. Could you please explain it in detail?
From India, Madras
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From India, Madras
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Hi, please let me know in what cases do we have ESI. As per my understanding, any establishment or factory that has more than 20 employees, and any employee whose take-home salary is less than ₹15,000, we need to calculate ESI.
From India, New Delhi
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From India, New Delhi
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I had a question on this attachment, Why is the employers part of contribution to Esi and pf being deducted from the 8000 that is the gross salary of our candidate?
From India, Kolkata
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From India, Kolkata
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Dear sir When we are calculation the ESIC on Gross salary. We are exempting the Medical allowance. So it is required to Exempt House rent allowance also. Pls confirm me. Regards D.BABI
From India, Mumbai
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From India, Mumbai
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Friends,
This is the salary sheet of EPF, ESI, and PT calculation. For EPF, amounts above Rs. 6500 will be calculated based on Rs. 6500 only. ESIC will be calculated only for salaries below Rs. 15000. If the gross salary is Rs. 15000 and the employee has worked for 10 or 20 days, ESIC will not be calculated for those days. PT will be calculated based on the gross salary. I have marked EPF, ESIC, and PT in green color, and the days with less work in yellow. ESIC is not calculated because its slab is Rs. 15000/-.
Kindly go through the attached document for your information.
Thank you.
From India, Bangalore
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This is the salary sheet of EPF, ESI, and PT calculation. For EPF, amounts above Rs. 6500 will be calculated based on Rs. 6500 only. ESIC will be calculated only for salaries below Rs. 15000. If the gross salary is Rs. 15000 and the employee has worked for 10 or 20 days, ESIC will not be calculated for those days. PT will be calculated based on the gross salary. I have marked EPF, ESIC, and PT in green color, and the days with less work in yellow. ESIC is not calculated because its slab is Rs. 15000/-.
Kindly go through the attached document for your information.
Thank you.
From India, Bangalore
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Mr Soma This is the calculation of CTC you can go through attached document
From India, Bangalore
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From India, Bangalore
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Dear All,
Please kindly confirm which salary heads should be included in the ESIC salary. The components are as follows:
- LTA (Leave Travel Allowance)
- Personal Allowance
- Variable Allowance
- Night Allowance
Additionally, please advise on which allowances should be omitted during the calculation of the ESIC salary.
Thank you,
Vishal
From India, Mumbai
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Please kindly confirm which salary heads should be included in the ESIC salary. The components are as follows:
- LTA (Leave Travel Allowance)
- Personal Allowance
- Variable Allowance
- Night Allowance
Additionally, please advise on which allowances should be omitted during the calculation of the ESIC salary.
Thank you,
Vishal
From India, Mumbai
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Hi Shweta, Kindly explain why this formula is using/?..Are you have any valid record for this? Here what 104.75 means?.pls help me out with this doubt (CTC-PF)*4.75/104.75 Regards Ahakila
From India, Bangalore
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From India, Bangalore
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Hi, my name is Amith.
I want to build my career in HR. I am trying to learn about ESI and PF calculations. Please help me with this so I can apply it in my current company. I also have an offer from another company.
My email: amith198725@gmail.com
Phone: 9740512350
From India, Bangalore
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I want to build my career in HR. I am trying to learn about ESI and PF calculations. Please help me with this so I can apply it in my current company. I also have an offer from another company.
My email: amith198725@gmail.com
Phone: 9740512350
From India, Bangalore
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plz tell me the journal entries of these payment if A 1st branch payment made to creditors of B branch by chq what the journal effect in both books of A & B.
From India, Jammu
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From India, Jammu
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Hello All, Can anybody help me in calculating Rs 18000/- salary calculation per month, both in CTC and Gross. Regards, Raj
From India, Hyderabad
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From India, Hyderabad
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Hy guys this is not be correct bcoz Employer PF 13.16% not 12%.
From India, Delhi
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From India, Delhi
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Hi,
Can anybody help me with how to calculate ESI if CTC is 7400/-? I know the % of Employer & Employee contribution towards ESI is 4.75% & 1.75% respectively, but I am not able to calculate ESI.
Can anybody show me the calculation method?
Waiting for your quick response.
Thanks,
DHARMENDRA
sk9006229@gmail.com
From India, Jaipur
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Can anybody help me with how to calculate ESI if CTC is 7400/-? I know the % of Employer & Employee contribution towards ESI is 4.75% & 1.75% respectively, but I am not able to calculate ESI.
Can anybody show me the calculation method?
Waiting for your quick response.
Thanks,
DHARMENDRA
sk9006229@gmail.com
From India, Jaipur
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(CTC-PF)*4.75/104.75 Why we devided by 104.75. Please explain. I think it should be (CTC-PF)4.75/100 because it’s 4.75%.
From India, Delhi
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From India, Delhi
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Can someone please clarify while calculating the gross salary for ESI, do the variable components of the salary like reimbursements, overtime payment, etc., need to be included or not? If yes, then included many times, the individual may go beyond 21k. How to go about for such individuals? To get benefits of ESI, it's not mandatory to have the ESI deducted every month.
From India, Pune
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From India, Pune
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Hello Everyone,
First time I am posting my queries related to ESIC. I am working in the manufacturing industry, and we have followed all ESIC rules and regulations. However, recently, we have been facing an ESIC inspection audit. My query is if an employee's salary is above 21k, but due to some reason in April, they earned less than 21k in gross salary, is there any rule to calculate ESIC for this April earned salary? Does this calculation continue for the period up to September? Please suggest and guide.
From India, Pune
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First time I am posting my queries related to ESIC. I am working in the manufacturing industry, and we have followed all ESIC rules and regulations. However, recently, we have been facing an ESIC inspection audit. My query is if an employee's salary is above 21k, but due to some reason in April, they earned less than 21k in gross salary, is there any rule to calculate ESIC for this April earned salary? Does this calculation continue for the period up to September? Please suggest and guide.
From India, Pune
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Hi Sir,
Last month, our employee received a gross salary of Rs. 21,000, and starting from this month, he is receiving Rs. 24,000. Could you please advise me on how to handle ESI returns for this employee for the current month? Specifically, I would like to know how to exclude him from the ESI returns.
Thank you.
From India, Indore
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Last month, our employee received a gross salary of Rs. 21,000, and starting from this month, he is receiving Rs. 24,000. Could you please advise me on how to handle ESI returns for this employee for the current month? Specifically, I would like to know how to exclude him from the ESI returns.
Thank you.
From India, Indore
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GROSS SALARY&CTC FOR 15500.xls