Dear All, I’m working as an accounts manager and now i’m got duties of HR too. From April 2023 it’s my duty to start PF & ESI.
So i need to know the calculations. Pros & cons of employer side and employee side.
There are 30 employees in my office employees which have salary of below 20,000 is number of 10.
Can anyone help me to find the calculations. Need to break the salary, take awareness to employees about PF&ESI
From India, Kochi
So i need to know the calculations. Pros & cons of employer side and employee side.
There are 30 employees in my office employees which have salary of below 20,000 is number of 10.
Can anyone help me to find the calculations. Need to break the salary, take awareness to employees about PF&ESI
From India, Kochi
Is your company presently covered by ESI and EPF? You have stated that your establishment has 30 employees. I am afraid still you have not taken registration!
Both these two legislation are social security legislation and you cannot enforce it considering their pros and corns. The positive side of registering under ESI and EPF are tension free business. Once you have complied with the provisions of law, you need not worry about that side. You (the employer) can concentrate on your basic priorities, ie, finance and marketing. On the other hand, you can expect an Inspector to come to your office at any time. If some accident happens, don't you know how much the employer will cost by way of medical bills, compensation (under Workmen Compensation Act) rehabilitation expenses etc? If covered by ESI and pay the contributions, you don't need to spend anything extra but the ESIC will take care of it. For employees, since it gives a medical coverage to themselves and their families including dependent parents without any consideration of their age, it benefits a lot. EPF being one of the most attractive investment for tomorrow gives an opportunity to employees to save for future.
Your establishment will be covered in ESI from the date on which your number of employees became 10 and EPF from the date on which the number of employees became 20. For this coverage of establishment the salary that your employees are getting is totally irrelevant. It is okay that you need not register under ESI those whose monthly salary are more than Rs 21000. Similarly, you can exclude employees getting more than 15000 from PF subject to certain conditions. Since you have take anti dated registrations you have to remit both employees' share as well as employer's share for the past period with interests and damages as decided by them. For the future contributions payable, you can deduct the employees' share from their salaries.
From India, Kannur
4249Both these two legislation are social security legislation and you cannot enforce it considering their pros and corns. The positive side of registering under ESI and EPF are tension free business. Once you have complied with the provisions of law, you need not worry about that side. You (the employer) can concentrate on your basic priorities, ie, finance and marketing. On the other hand, you can expect an Inspector to come to your office at any time. If some accident happens, don't you know how much the employer will cost by way of medical bills, compensation (under Workmen Compensation Act) rehabilitation expenses etc? If covered by ESI and pay the contributions, you don't need to spend anything extra but the ESIC will take care of it. For employees, since it gives a medical coverage to themselves and their families including dependent parents without any consideration of their age, it benefits a lot. EPF being one of the most attractive investment for tomorrow gives an opportunity to employees to save for future.
Your establishment will be covered in ESI from the date on which your number of employees became 10 and EPF from the date on which the number of employees became 20. For this coverage of establishment the salary that your employees are getting is totally irrelevant. It is okay that you need not register under ESI those whose monthly salary are more than Rs 21000. Similarly, you can exclude employees getting more than 15000 from PF subject to certain conditions. Since you have take anti dated registrations you have to remit both employees' share as well as employer's share for the past period with interests and damages as decided by them. For the future contributions payable, you can deduct the employees' share from their salaries.
From India, Kannur
Community Support and Knowledge-base on business, career and organisational prospects and issues - Register and Log In to CiteHR and post your query, download formats and be part of a fostered community of professionals.
Registration for esi and pf.doc