List allowances with amounts that are not covered in ESIC
From India, Lucknow
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From India, Lucknow
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From the gross salary, you can exclude traveling/conveyance allowance paid. Similarly, if the employees are issued a uniform, then a washing allowance shall also be excluded from the salary. That does not mean that you can pay a very small amount as a basic salary and keep the majority amount as a washing allowance or traveling allowance.
From India, Kannur
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4482From India, Kannur
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Traveling allowance will be excluded in PF. Also, will it be excluded in PF as my new joiner has a gross of 24405, with 12870 as basic + DA, 6435 as HRA, and 5100 as other allowances? He wants to be in ESIC benefit. Please guide, and can the traveling allowance amount be given along with the take-home amount that is coming after PF deduction?
From India, Lucknow
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From India, Lucknow
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For deciding whether an employee is within ESI or not, his gross salary (without travel allowance and washing allowance) should be taken into account. In this case, since it is above Rs. 21,000, the employee cannot be covered.
When determining the PF qualifying salary, the travel allowance is also excluded. For PF, you can also exclude HRA. The threshold limit is Rs. 15,000 for PF.
From India, Kannur
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When determining the PF qualifying salary, the travel allowance is also excluded. For PF, you can also exclude HRA. The threshold limit is Rs. 15,000 for PF.
From India, Kannur
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24405 as gross 12870 basic+da 6435 hra 5100 (travelling allowance and washing allowance) this can be given or not or any limit for both the allownces
From India, Lucknow
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From India, Lucknow
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for the medical policy for non esic employee is there any limit of amt and who will bear thw cost of policy or that will be part of ctc or not
From India, Lucknow
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From India, Lucknow
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Medical policy for employees who are not covered by ESI can be of any amount, and there is no limit for the amount of insurance, number of persons to be enrolled, etc., as it is purely an employee benefit at the discretion of the employer.
From India, Kannur
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From India, Kannur
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24405 as gross 12870 basic+da 6435 hra 5100 (travelling allowance and washing allowance) this can be given or not or any limit for both the allownces
From India, Lucknow
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From India, Lucknow
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Still, the gross salary is more than Rs 21,000. He cannot be put under ESI. As already pointed out, the only allowances that can be excluded from the gross salary for coverage are washing allowance and traveling allowance. That also will depend on certain reasoning. You cannot have a traveling allowance that is unreasonable. Similarly, you can only put a reasonable amount as a washing allowance, and that also only when you issue uniforms to the employees.
From India, Kannur
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From India, Kannur
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Employee Benefits.doc
Employee Benefits.zip