Hi, I am working in a Pvt Ltd. IT company. Up to July, I was getting ₹15,000/- CTC and was under ESI. After a ₹1,000/- increment, I was informed that I would be in Mediclaim. But again, they are putting me in the ESI scheme. So, please let me know the criteria for ESI and Mediclaim.
Thanks & Regards,
Ajit Kushwaha
From India, Guwahati
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Thanks & Regards,
Ajit Kushwaha
From India, Guwahati
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If your salary (CTC) have crossed Rs 15000/ from july you have to contribute to ESI till Sept 2013. Varghese Mathew
From India, Thiruvananthapuram
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931From India, Thiruvananthapuram
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Understanding ESIC and CTC
ESIC has nothing to do with your CTC. It is linked to your monthly gross salary. If it crossed the upper limit of Rs. 15,000/- per month in June or July, then deductions will be made until the contribution period up to September 13. From October 13 onward, you will be out of ESIC eligibility, and there shall be no deductions under the ESIC head.
From Singapore
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ESIC has nothing to do with your CTC. It is linked to your monthly gross salary. If it crossed the upper limit of Rs. 15,000/- per month in June or July, then deductions will be made until the contribution period up to September 13. From October 13 onward, you will be out of ESIC eligibility, and there shall be no deductions under the ESIC head.
From Singapore
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Generally, the HR department provides an increment letter to the employee, explicitly stating that you will continue to be under ESI until September or March, as the case may be (with contribution periods being April to September and October to March). Thereafter, you will be out of the purview of ESI coverage and will be covered under the Mediclaim scheme. If this clause is mentioned in the increment letter, it would not create confusion.
Regards,
M.V. Kannan
From India, Madras
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Regards,
M.V. Kannan
From India, Madras
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I am working in a Pvt Ltd. IT company. Up to July, I was getting ₹15,000/- CTC and was under ESI. After a ₹1,000/- increment, I was informed that I would be in Mediclaim, but again, they are putting me in the ESI scheme. Please let me know the criteria for ESI and Mediclaim.
Thanks & Regards,
Ajit Kushwaha
Clarification on ESI and Mediclaim
ESI is calculated on Gross Salary and not on CTC. Kindly clarify whether you are getting ₹15,000/- as CTC or Gross Salary. You mentioned that it was informed you would be in Mediclaim, then it must be Gross Salary. Since you were getting a salary of ₹15,000/- till July, your ESI return cycle completes in September. So, as Mr. Varghese advised, you will be in the ESIC Scheme till 30th September, and from 1st October onwards, you will be excluded from the ESIC Scheme.
Hope this clears your query.
Regards
From India, Ahmadabad
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Thanks & Regards,
Ajit Kushwaha
Clarification on ESI and Mediclaim
ESI is calculated on Gross Salary and not on CTC. Kindly clarify whether you are getting ₹15,000/- as CTC or Gross Salary. You mentioned that it was informed you would be in Mediclaim, then it must be Gross Salary. Since you were getting a salary of ₹15,000/- till July, your ESI return cycle completes in September. So, as Mr. Varghese advised, you will be in the ESIC Scheme till 30th September, and from 1st October onwards, you will be excluded from the ESIC Scheme.
Hope this clears your query.
Regards
From India, Ahmadabad
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ESI Circular - New Salary ceiling of Rs. 15,000 effective May 1, 2010.pdf
Salary Breakup with ESI.xls
ESI - Allowances Rules - Salary.docx