#ESICCompliance

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 Role of PF and ESIC Consultants in Mumbai

In the bustling business landscape of Mumbai, ensuring compliance with statutory regulations is crucial for the smooth functioning of any organization. Among the myriad of obligations, managing Provident Fund (PF) and Employee State Insurance Corporation (ESIC) compliance is a task that demands precision and expertise. This is where PF and ESIC consultants in Mumbai play a pivotal role, offering businesses the guidance and support needed to navigate the intricate realm of payroll compliance

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EPF and ESIC Compliances| Talent Cabin India PAN India Compliance Solutions

In order to give retirement/emergency financial security and health security to the working people who depend on their salary/wages to meet their needs, EPF and ESIC are the two mandatory options to be provided in commercial units with more than a certain number of employees.

Once such employers enroll under these schemes, they have to comply with certain mandatory reporting obligations per financial year in order to remain legally protected. To be clearer, first let us say the primary criteria that must be fulfilled by the employers to get EPF and ESIC registration and under their annual compliance.

Employees’ Provident Fund [EPF]

The scheme is applicable under the guidelines of the Employees' Provident Fund and Miscellaneous Provisions Act, 1952, as prescribed by the Employees' Provident Fund Organization (EPFO).

Compulsory registration for all companies/organizations 3 years old with more than 20 employees. Voluntary registration is accepted for units with less number of employees.

In this scheme, both the employer and the employee contribute equally.

If the employee strength is more than 20, the contribution amount is 12% of Basic + DA. If the employee strength is less than the contribution amount is 10% of Basic + DA.

Employees’ State Insurance Corporations [ESIC]

The scheme is implemented under the ESI Act, 1948, prescribed by the Employees' State Insurance Corporation (ESIC) under the Ministry of Labor and Employment.

Compulsory registration for establishments/units/factories with up to 10 employees receiving INR 15,000 per month. income within 15 days

75% of the salary from the employee and 4.75% from the employer has to be contributed under this scheme (except for employees who earn INR 100 per day)

EPF and ESIC Compliances after Registration

Once a commercial entity obtains EPF/ESIC registration, the employer must fulfill these responsibilities and keep the records updated through the official web portal of the respective schemes as required:

For EPF, the employer should enlist new eligible employees providing their KYC. The employee should fill Form 2 (Declaration and Nomination) by the 25th of the end of the month under the PF scheme.

For ESIC, any eligible employee must be enrolled within 10 days of appointment and must have ESIC card to avail benefits (same card is applicable to any other employer listed under ESIC scheme)

Records to keep all necessary updates

Attendance and salary register of employees

Form 6 Register (Details of employer contribution to the respective schemes)

Inspection Books with details of inspections and reports made by officers

Accident register of employees

Record of Monthly Invoices and Returns

Account books and registers for general compliance, such as P&L account, cash book, balance sheet, etc.

You can easily manage your EPF & ESIC Compliances by outsourcing to the Talent Cabin India.