Dear HR Family members,
I am here requesting you to clarify my doubt: when an employer is going to offer a salary package to a selected candidate, is it correct to mention that the employer's ESI contribution is part of the CTC package?
Regards,
Venki
From India, Pune
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1I am here requesting you to clarify my doubt: when an employer is going to offer a salary package to a selected candidate, is it correct to mention that the employer's ESI contribution is part of the CTC package?
Regards,
Venki
From India, Pune
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To be on the better side, it would be advisable to deduct but not show the employer's part of PF & ESI in your salary register or wages register. This is because, as per labor welfare legislation, the PF and ESI contributions from the employer should be deducted from the employee's salary. In the context of CTC, these contributions are inclusive.
From India, Delhi
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From India, Delhi
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Dear HR friends, please tellme whatare all heads affect ESI. and list the expenses which i deduct the ESI. please send all ESI Forms in excel format. thanks Regards sahanasamu
From India, Madras
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From India, Madras
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Dear Friends,
Thank you for your valuable replies. However, based on my knowledge, we shouldn't include Employer ESI contribution as part of CTC. There are two methods to consider:
1) While calculating the employee cost to the company, we can include the Employer ESI contribution as part of the cost to the company.
2) When offering a package to a candidate, we cannot include it as part of their offering package.
Please clarify if there is anything incorrect.
Regards,
Raghav
From China
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Thank you for your valuable replies. However, based on my knowledge, we shouldn't include Employer ESI contribution as part of CTC. There are two methods to consider:
1) While calculating the employee cost to the company, we can include the Employer ESI contribution as part of the cost to the company.
2) When offering a package to a candidate, we cannot include it as part of their offering package.
Please clarify if there is anything incorrect.
Regards,
Raghav
From China
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While displaying CTC to attract a prospective employee, companies generally throw in a plethora of perks and benefits. However, a line should be drawn. Although, an employer's contribution towards PF can be shown in CTC, the administrative cost for PF should not be included in the CTC.
Warm regards.
From India, Delhi
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Warm regards.
From India, Delhi
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(Fact Checked)-Dear HR friends, ESI heads include wages, overtime pay, bonuses, etc. You can't deduct ESI but contribute based on employee wages. Forms available online. Keep learning! (1 Acknowledge point)