Set how ESIC contributions are calculated for eligible employees.
The ESIC tab controls contributions to the Employee State Insurance Corporation (ESIC) scheme, which provides medical and social security benefits to eligible employees. Both the employee and the employer contribute a share of the employee’s salary, and once set up, PrimeHR calculates these contributions automatically during payroll.
How to Access ESIC Settings
Log in to the Admin Panel.
Go to Settings → Organization Settings → Statutory Compliance.
Open the ESIC tab.
To turn ESIC on or off, use the Enable ESIC toggle at the top right.
ESIC Settings
The values below are examples - check the rates shown in your account.
Employee Contribution (e.g., 0.75%) - the share deducted from the employee’s salary
Employer Contribution (e.g., 3.25%) - the company’s contribution
Salary Ceiling (e.g., ₹21,000) - the maximum monthly salary for ESIC to apply. Employees earning above this aren’t covered.
Applicable Day 1 (e.g., Enabled) - when on, ESIC deductions start from the employee’s joining date
For example, for an employee with a monthly salary of ₹18,000, the employee contribution is ₹135 (0.75%) and the employer contribution is ₹585 (3.25%).
Why it helps
ESIC contributions are calculated automatically every payroll run
Only eligible employees are covered, based on the salary ceiling
The same rules apply to every employee, with fewer calculation errors
Contributions start from the right date, with no manual tracking