Seamless ESI Registration – Enroll Today!
Just at ₹6490 (All Inclusive)
Say goodbye to delays and challenges! Choose India’s top company incorporation services provider to swiftly register your business. Subject to T&C*
Still having any queries?
Happy businesses & Clients.
Partnered banks & Government Orgs.
India Registered
Google Ratings
Customer Satisfaction Guarantee
OVERVIEW
ESI REGISTRATION
Employee State Insurance Corporation, or ESIC, is an independent organization established by the Ministry of Labor and Employment to oversee and control Employee State Insurance in India. ESI is a self-financing social security programme established to benefit Indian employees by offering them essential benefits from their business. The employer offers employees a wide range of medical, financial, and other benefits.
Any factory or business with more than 10 employees (or 20 in some states) and a salary cap of INR 21,000 must register with the ESIC. Following this plan, the employer is only required to contribute 0.75% of the employee’s monthly salary each month of the year, as opposed to 3.25 per cent of the employee’s total monthly compensation. The only employee who is excused from paying his share is one whose daily wage is less than INR 176.
INDIAN ESI REGISTRATION
INDIAN ESI REGISTRATION
BENEFITS
ADVANTAGES OF REGISTERING FOR ESI
Sickness Benefits:
If an employee’s illness lasts more than 91 days in a year, 70% of his salary will be supplied as sick pay, which will also be certified.
Medical Benefits:
All individuals covered by ESI and their family members are given complete medical treatment beginning the day they begin insurable employment. The cost of an insured person’s or his family member’s treatment is not capped. By payment of a nominal annual premium of INR 120, medical treatment is also offered to retired and permanently disabled covered people and their spouses.
Maternity Benefits:
Women receive maternity benefits in the form of paid leaves. According to medical recommendations, maternity benefits for confinement or pregnancy are paid for three months at a rate of full wage, subject to contribution for 70 days the year before.
Deceased employee:
In the event that an employee passes away while working, their family will be given 90% of the insured person’s pay.
Funeral expenses:
If an employee covered by ESIC passes away, funeral costs are covered. INR 10,000 is payable to the dependents or to the person performing final rites.
Retirement Benefits:
At retirement or in old age, medical care benefits are offered.
Compensation for Permanent Disability:
90% of the insured person’s wage is offered as a monthly payment in the event of a permanent disability as an insurance benefit.
Unemployment Benefits :
When an insured person who has had insurance for more than three years loses their job, they are given unemployment benefits. When a manufacturing or other establishment closes, there are layoffs, or a person becomes permanently disabled, the Rajiv Gandhi Shramik Kalyan Yojana pays out unemployment benefits to covered people. The following unemployment benefits are applicable: 1. An unemployment benefit of 50% of the previous week’s pay for a maximum of one year. 2. ESIC is responsible for paying the fees and travel expenses for any vocational training provided to upgrade skills.
DOCUMENTS REQUIRED
DOCUMENTS REQUIRED FOR ONLINE ESIC REGISTRATION:
To register a private limited company in India, you need to follow the steps given below:
- The registration certificate or license issued by - The shops and Establishments/Factories Act
- Address proof
- Rent receipt of the occupied premises (with mentioning its capacity)
- PAN Card
- Copy of bank statement
- Photocopy of the last building tax/property tax receipt
- MOA and AOA or Partnership Deed registration or Trust Deed registration (depending on the applying entity)
- Copy of registration
- Certificate of commencement of production
- GST Registration Certificate
ESI NUMBER FORMAT
ESI NUMBER FORMAT
ESI number follows a 17 digit code format. For explaining the format, let’s take a code, e.g. 52–00–123456–000–0001.
- 52 - stands for the region where the company/establishment is situated. For instance, 52 is for Hyderabad.
- 00 - stands for main region code. It is used in the case where the company's head office is situated in some other region.
- 123456 - It's the company's unique code; it can have a maximum of 6 digits.
- 000 - These three digits represents the number of branches.
- 0001 - These four digits depend upon the type of business activity in which the company is involved. For instance, for Service providers- 0001,for Restaurants-1102.
ESI MONTHLY CONTRIBUTION
WHAT IS MEANT BY ESI MONTHLY CONTRIBUTION?
A certain amount of contribution from the employer and the employee is necessary. Nonetheless, rates are occasionally changed. The mandatory monthly contribution rate, which both the employer and the employee make, is as follows:
Employers:
Employers are only eligible to participate in contributions if their daily average pay is at least INR 137. Yet, it is the employer’s responsibility to provide their own shares in regard to these.
Employees:
The employee is required to pay into the ESI Fund 0.75% of his basic salary. Employer: The employer must contribute 3.25% of the employee’s basic pay. Let’s say an employee’s monthly gross compensation is 20,000. The formula for calculating the ESI deduction is: Contribution from the employee: 0.75% of INR 20,000 equals INR 150 per month Payment from the Employer: 3.25% of INR 20,000 equals INR 650 per month For a worker making INR 20,000 per month, the total monthly contribution to ESI will be INR 800 (employer contribution + employee contribution).
FINALIZATION OF REGISTRATION
RETURNS SUBMITTED EVERY YEAR FOLLOWING THE FINALIZATION OF REGISTRATION
ESI Returns can be filed monthly and half yearly after registration. The following papers must be included with the monthly returns:
- Attendance Sheet
- ESI Contribution Working
- Wage Register
- Wage Slip
The following papers must be included with the half yearly returns:
- Register of employees' attendance.
- Register of wages.
- Form 6 – Register.
- Monthly returns and challans.
- Register of any accidents which have happened on the premises of the business.
TAXKEY FOR YOUR ESI REGISTRATION
WHY CHOOSE TAXKEY FOR YOUR ESI REGISTRATION?
We can complete your ESI registration in as 3 – 7 working days if the processing time required by the authorities is not taken into account. After the registration process gets done, we will provide you the 17-digit Identification Code Number and Employee Insurance Number. We completely handle the application at every level, from submission to completion and including all follow-ups. Our specialist is tasked with handling the final registration stages and responding to any inquiries that may come up during the processing. We make sure that all aspects of the ESI New Registration process are handled flawlessly by our affiliates.
FAQS
FAQS
Who are mandate for an ESI registration?
Every shop, business, and factory with 10 or more workers must register for Employees’ State Insurance.
What will be the penalty if I Fail to get ESI Registration?
An employer is subject to a fine of INR 10,000 in the event of any noncompliance, such as failing to complete the online ESIC employer registration process or failing to comply with the ESI return filing method.
How much penalty is prescribed for the employer’s delay?
Under the ESI Act, non-payments, delayed payments, or falsified payments are punishable by up to two years in prison and a fine of Rs 5,000.
Employers who fail to make contributions within the time frame stipulated in the regulation are subject to simple interest charges of 12% per year for each day of lateness or failure to make contributions.
What incentives has the government put in place for ESI members?
For low-income households, the government has implemented a number of healthcare advantages. Families covered by the NHPS programme have access to medical services through ESI Hospitals. Also, employees who are insured by the ESI programme are entitled to medical care for themselves and their dependents
What additional benefits are there for ESI female members?
In the event of female employees, maternity benefits and allowances are available to ESI members.
How ESI registration does helps pension benefits?
Employees who are covered by the ESI plan are eligible for a family pension.
Do I have to be present physically to complete the process?
No, you don’t have to be physically there to complete the procedure. Taxkey is an online platform, so all you need is a phone or computer with an internet connection, along with the necessary paperwork, and we can do the work regardless of where you are in India.
How it works
Easy Step Process
We offer consulting services to businesses. Our experts help you achieve your financial goals.
Simplify your finances with TaxKey Accounting's seamless online platform. From registration to personalized financial plans, we're your trusted partner every step of the way.
Experience convenience with our streamlined delivery process. From order to doorstep, we ensure your items reach you swiftly and securely
Need more help?
Testimonials
Our Clients' Reviews
