ESIC Calculator India
India · ESI Contribution · 2025–26 Rates · Free · No Login
Free ESIC Contribution Calculator — 2025–26
Enter monthly gross salary to instantly calculate employee (0.75%) and employer (3.25%) ESI contributions. Includes eligibility check, annual totals, and net take-home estimate — for HR teams, payroll managers, accountants, and employees.
Employee Rate
0.75%
Employer Rate
3.25%
Total ESI
4.00%
Salary Details
ESIC Contribution Rates — 2025–26
| Contributor | Rate | Basis | Notes |
|---|---|---|---|
| Employee | 0.75% | Monthly gross wages | Deducted from take-home salary |
| Employer | 3.25% | Monthly gross wages | Paid over & above gross salary |
| Total | 4.00% | Monthly gross wages | Remit to ESIC by 15th of next month |
Wage ceiling: ₹21,000 / month (standard) · ₹25,000 / month (persons with disability) · Effective July 2019
What Counts as ESI Wages?
✓ Generally Included
- Basic salary
- Dearness allowance (DA)
- House rent allowance (HRA)
- City compensatory allowance
- Attendance allowance
- Overtime wages
- Regular incentives / performance pay
✗ Generally Excluded
- Annual / one-time bonuses
- Employer PF or ESIC contributions
- Gratuity payments
- Leave encashment on retirement
- Expense reimbursements (on actual bills)
- Washing or uniform allowance
When in doubt: refer to the wage definition under the ESI Act, 1948, or consult a payroll compliance professional. Misclassifying wage components can cause issues during ESIC inspections.
Example Calculation
Consider an employee with a monthly gross salary of ₹18,000. Since this is below the ₹21,000 ceiling, ESIC applies as follows:
| Component | Rate | Amount |
|---|---|---|
| Monthly Gross Salary | — | ₹ 18,000 |
| Employee ESI | 0.75% | ₹ 135 |
| Employer ESI | 3.25% | ₹ 585 |
| Total Monthly ESI | 4.00% | ₹ 720 |
| Est. Net Take-Home | — | ₹ 17,865 |
The employee's ₹135 is deducted from their salary. The employer pays ₹585 over and above the gross. Both amounts are combined and remitted to ESIC by the 15th of the following month.
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Frequently Asked Questions — ESIC India
What is the current ESIC contribution rate in India?▼
The current ESIC contribution rate is 4% total — 0.75% paid by the employee (deducted from salary) and 3.25% paid by the employer over and above the salary. These rates have been in effect since July 2019, reduced from the earlier combined rate of 6.5%.
What is the ESIC salary eligibility limit for 2025–26?▼
An employee is eligible for ESIC if their monthly gross wages are ₹21,000 or below. For employees who are persons with disability, the ceiling is ₹25,000 per month. Employees earning above the applicable ceiling are excluded from the ESI scheme.
Is ESIC calculated on gross salary or basic salary?▼
ESIC is calculated on gross wages, which includes basic pay, dearness allowance, HRA, city compensatory allowance, and most regular monthly allowances. Annual one-time bonuses, gratuity, expense reimbursements, and employer PF contributions are generally excluded.
When must ESIC contributions be deposited?▼
Both employee and employer ESIC contributions must be deposited with ESIC by the 15th of the month following the salary month. For example, ESIC contributions for March salaries must be remitted by 15th April. Late deposits attract interest at 12% per annum.
Does an employee earning above ₹21,000 get ESIC benefits?▼
No. Once a salary exceeds the ₹21,000 ceiling, the employee is out of ESI coverage for that contribution period. No ESIC is deducted and they are not entitled to ESI scheme benefits. Coverage can resume if their salary drops back below the ceiling in a future period.
How many employees trigger mandatory ESIC registration?▼
ESIC registration is mandatory for establishments with 10 or more employees in most states. In some states the threshold is 20 employees. Once registered, all employees earning up to ₹21,000 per month must be covered under the ESI scheme.
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