Calculate mandatory employee healthcare insurance deductions under the ESI Act (wages ≤ ₹21,000/month) and state-wise Professional Tax (PT) slabs.
ESIC Rules & Coverage Criteria
The Employees' State Insurance Corporation (ESIC) provides social security and health benefits to workers in India:
Wage Ceiling: Applicable to employees with monthly gross wages up to ₹21,000 (₹25,000 for persons with disabilities).
Employee Contribution:0.75% of gross wages.
Employer Contribution:3.25% of gross wages. Total combined ESI contribution is 4.0%.
Professional Tax (PT): State-levied tax ranging from ₹0 to ₹200/month (₹300 in Feb in Maharashtra) with an annual cap of ₹2,500.
Formula
Employee ESIC = Gross Wage × 0.75% Employer ESIC = Gross Wage × 3.25% Total ESIC Deposited = Gross Wage × 4.0% Net Take Home = Gross Wage − Employee ESIC − Professional Tax − EPF
Frequently Asked Questions
If an employee's wage crosses ₹21,000 during a contribution period (April–Sept or Oct–March), ESIC deductions continue until the end of that specific contribution cycle.
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ESIC registration is mandatory for factories and non-seasonal establishments employing 10 or more persons (20 in a few states like Maharashtra).