ESI Calculator
Employees’ State Insurance contribution on monthly wages — the 0.75% employee share, the 3.25% employer share and whether the ₹21,000 ceiling covers you at all.
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Ready when you are
Adjust the inputs on the left to see your your esi deduction (0.75%).
ESI is the deduction most people notice only when it stops. It is a flat percentage of wages, it applies only below a wage ceiling, and the employer pays more than four times what you do.
The two rates
Since 1 July 2019 the contribution is 0.75% of wages from the employee and 3.25% from the employer, a total of 4% paid to the Employees' State Insurance Corporation every month.
| Monthly wages | Your 0.75% | Employer's 3.25% | Total |
|---|---|---|---|
| ₹12,000 | ₹90.00 | ₹390.00 | ₹480.00 |
| ₹15,000 | ₹112.50 | ₹487.50 | ₹600.00 |
| ₹18,000 | ₹135.00 | ₹585.00 | ₹720.00 |
| ₹21,000 | ₹157.50 | ₹682.50 | ₹840.00 |
| ₹22,000 | not covered | not covered | — |
On ₹18,000 a month you pay ₹1,620 a year and your employer pays ₹7,020 for the same cover.
Who is covered
The scheme applies to employees earning ₹21,000 a month or less (₹25,000 for persons with a benchmark disability) in a covered establishment — broadly, factories and notified establishments with 10 or more employees, 20 in a few states. Earn ₹21,001 and neither contribution is due.
Employees averaging ₹176 a day or less are exempt from their own 0.75%; the employer still pays the 3.25%. The calculator applies that exemption below roughly ₹4,576 a month (26 paid days).
What counts as wages
Basic, dearness allowance, house rent allowance, city compensatory allowance, attendance and production incentives paid monthly, and overtime all attract contribution. Overtime is the odd one: it is included when computing the contribution but excluded when deciding whether you are under the ceiling, so a month of overtime does not push you out of the scheme. Washing allowance, annual bonus and the employer's own PF share are not wages for ESI.
Crossing ₹21,000 mid-year
Contributions run in two fixed periods, April–September and October–March. If a raise takes your wages past the ceiling in, say, June, you keep contributing — and stay covered — until the end of that contribution period in September, and drop out from October. That is why ESI sometimes continues for a few months after a hike, and why an employer who stops it the same month has usually made a mistake.
Each contribution period funds a benefit period that starts nine months later (January–June and July–December), so cover you earned by paying in April–September is what you draw on the following January.
What the 4% buys
- Medical care for you and your dependants at ESI dispensaries and hospitals, with no ceiling on treatment cost.
- Sickness benefit at about 70% of wages for up to 91 days a year, after 78 days of contribution in the preceding period.
- Maternity benefit at full wages for 26 weeks.
- Disablement and dependants' benefits after employment injury, and a funeral expense payment.
For a ₹18,000 earner that is ₹135 a month against a hospitalisation cover with no cap, which is why leaving the scheme on a small raise is not always the good news it looks like.
What this calculator assumes
It treats the wage you enter as ESI wages for both the ceiling test and the contribution, so if part of your pay is overtime the real ceiling test is slightly kinder than shown. It does not model the mid-period continuation rule — once you cross the ceiling it reports no contribution, which is where you will be from the next contribution period.
ESI — frequently asked questions
How much ESI is deducted from salary?
0.75% of monthly wages from the employee, plus 3.25% from the employer, if wages are ₹21,000 or less. On ₹18,000 that is ₹135 from you and ₹585 from the employer, ₹720 a month in total. Employees earning ₹176 a day or less pay nothing themselves; the employer still contributes.
What is the ESI wage limit?
₹21,000 a month, or ₹25,000 for persons with a benchmark disability. Wages above the limit are not covered at all. Overtime pay is excluded from the limit test but included in the contribution, so overtime does not push you out of the scheme.
My salary went above ₹21,000. Why is ESI still being deducted?
Contribution periods are fixed: April–September and October–March. If you cross the ceiling in the middle of one, contributions and cover continue until that period ends and stop from the next. A raise in June keeps you in ESI until September.
Is ESI mandatory?
Yes, for employees earning up to the ceiling in a covered establishment — factories and notified establishments with 10 or more employees (20 in a few states). Neither the employee nor the employer can opt out; the employer must register and remit both shares.
What benefits does ESI give?
Medical care for you and your dependants with no cost ceiling, sickness benefit at about 70% of wages for up to 91 days a year, maternity benefit at full wages for 26 weeks, disablement and dependants’ benefits after employment injury, and a funeral expense payment. Cover earned in one contribution period is available in a benefit period starting nine months later.
Is ESI deducted on gross or basic salary?
On gross wages: basic, DA, HRA, city compensatory allowance, monthly incentives and overtime. Annual bonus, washing allowance and the employer’s PF contribution are not wages for ESI. That is why ESI is usually a slightly larger figure than 0.75% of basic.
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Results from this calculator are estimates for informational use only — not financial, medical, or professional advice. Read our full disclaimer before acting on any number you see here.