About the ESIC Calculator
This ESIC calculator works out Employees’ State Insurance contributions under the ESI Act, 1948. Since 1 July 2019 the employee pays 0.75% of wages and the employer pays 3.25%, a total of 4%, in every wage period. Employees earning up to ₹21,000 a month are covered (₹25,000 for persons with disability), and those with an average daily wage of ₹176 or less pay nothing themselves while the employer still pays its share.
Enter monthly gross wages and the days worked in the month. The calculator checks whether the employee is within the coverage limit, applies the low-wage exemption, and shows the monthly and yearly employee deduction, the employer contribution and the total remitted to ESIC. Contributions are rounded up to the next rupee, as is usual in payroll.
It is meant for HR and payroll teams, small employers registering staff, and employees reading their payslip. Wages for ESI include basic pay, DA, HRA, overtime and most allowances paid monthly, but exclude annual bonus, gratuity and retrenchment compensation. Once an employee is covered at the start of a contribution period (April–September or October–March), contributions continue for the whole period even if wages rise above the limit.
With the default inputs, the total esi contribution (monthly) is ₹720.00. Change any value above to recalculate instantly.
How to use the esic calculator
- 1Enter the employee’s gross monthly wages.
- 2Enter the days worked or paid in the month.
- 3Tick the disability box if the higher ₹25,000 limit applies.
- 4If the employee was already covered this period, tick the continuing box.
- 5Read the employee deduction, employer share and total payable.
Formula and method
ESI contributions are a percentage of the wages paid in each wage period. The employee’s share is 0.75% and the employer’s share is 3.25% (rates in force since 1 July 2019), each rounded up to the next whole rupee. Employees whose average daily wage is ₹176 or less are exempt from their own share; the employer still pays 3.25%.
Coverage depends on monthly wages: up to ₹21,000, or ₹25,000 for persons with disability. Contributions are counted in two six-month contribution periods, 1 April–30 September and 1 October–31 March; an employee who is covered at the start of a period stays covered, and keeps contributing, until it ends even if a pay rise takes wages over the limit. The yearly figures here simply multiply the monthly contribution by 12.
- Wages
- Monthly ESI wages (basic, DA, HRA, overtime and allowances)
- ⌈ ⌉
- Rounded up to the next rupee
Worked examples
₹18,000 a month
0.75% of ₹18,000 is ₹135 deducted from the employee and 3.25% is ₹585 paid by the employer, ₹720 a month in total or ₹8,640 a year.
₹15,555 — rounding up
0.75% of ₹15,555 is ₹116.66, rounded up to ₹117. 3.25% is ₹505.54, rounded up to ₹506, so ₹623 is remitted.
Low daily wage: ₹4,400 for 26 days
The average daily wage is ₹4,400 ÷ 26 = ₹169.23, which is below ₹176, so the employee pays nothing. The employer still pays 3.25% = ₹143.
₹24,000 — above the limit
₹24,000 is above the ₹21,000 coverage limit, so a new employee on this salary is not covered and no contributions are due.
Frequently asked questions
What is the ESIC contribution rate?+
Since 1 July 2019 the employee contributes 0.75% of wages and the employer contributes 3.25%, a total of 4% of wages in each wage period.
What is the ESIC salary limit?+
Employees earning up to ₹21,000 a month are covered by ESI. For persons with disability the limit is ₹25,000 a month. The limit has applied since 1 January 2017.
Who is exempt from paying the employee ESI contribution?+
Employees whose average daily wage is ₹176 or less do not pay the employee share. Their employer must still pay its 3.25% contribution.
What happens to ESI if my salary goes above ₹21,000?+
You remain covered and keep contributing until the end of the current contribution period — 30 September or 31 March. From the next period you are no longer covered unless your wages fall back within the limit.
When must ESI contributions be paid?+
The employer must deposit both shares within 15 days of the end of the calendar month in which the contributions fall due, through the ESIC portal or authorised banks.
Results are estimates for educational purposes and are not financial advice. Rates, fees and terms vary — confirm with your lender or a licensed advisor before making decisions.