How to File ESI Monthly Contribution Online in 2026 – Guide for Employers
ESI (Employees’ State Insurance) is a key social security scheme under the ESI Act, 1948. It provides health insurance, maternity benefits, disability coverage, sickness benefits, and more to workers and their families. Employers must register and file monthly ESI contributions online via the ESIC portal to stay compliant and ensure employees get uninterrupted benefits.
Latest Updates (as of 2026)
- Contribution Rates (unchanged since July 2019):
- Employee: 0.75% of wages
- Employer: 3.25% of wages
- Total: 4% of eligible wages
- Wage Ceiling: ₹21,000 per month (₹25,000 for persons with disabilities).
- Recent Labour Code changes (effective late 2025) redefined “wages” (mainly Basic + DA), potentially affecting applicability. The ceiling remains ₹21,000—no major hike confirmed yet, though proposals for ₹25,000–₹30,000 are under review.
- Daily average wage up to ₹176: Employee exempt, but employer pays 3.25%.
- Deadline: 15th of the following month (e.g., November contributions due by December 15). Late filing attracts penalties.
- Registration: Use Shram Suvidha Portal for free common registration (ESIC + EPFO). New companies often get ESIC via SPICe+ form.
Who Needs to File ESI?
- Establishments with 10+ employees (some states: 20+).
- Employees earning up to ₹21,000/month are covered.
- File monthly—even Nil returns if no eligible employees (mandatory to avoid penalties).
Step-by-Step ESI Online Filing Process
Step 1: Register & Get Login
Register on Shram Suvidha Portal (free) or ESIC portal. You’ll get a 17-digit ESIC code (username). Reset password if needed.
Official ESIC Employer Portal: click here portal.esic.gov.in/EmployerPortal
Step 2: Check Eligibility & Update Employee Data
- Add new joiners within 10 days (if salary ≤ ₹21,000).
- Collect: Aadhaar, PAN, email, mobile, family details, nominee, bank A/c + IFSC.
- Generate IP number if missing.
- Update for exits, leaves, or salary changes.
- Half-yearly review (April & October): Exclude employees > ₹21,000.
Step 3: Log In to ESIC Employer Portal
- Username: 17-digit ESIC code.
- Password: As set/reset.
- Navigate to Monthly Contribution section.
Step 4: File Monthly Contribution
- Select Contribution Period (previous month/year).
- Upload/enter employee data (Excel bulk upload for ease):
- Days worked
- ESI wages
- Contributions (auto-calculated)
- Verify details match payroll.
- Include Maternity Contribution (MC) for eligible female employees (70+ days contribution in last 12 months). System calculates MC automatically.
Step 5: Verify & Submit
- Double-check:
- Total headcount & wages
- Employee (0.75%) + Employer (3.25%) shares
- Maternity eligibility & amounts
- Submit to generate challan.
Step 6: Make Payment Online
- Go to Payment section.
- Search by ESIC code → View challan.
- Pay via Net Banking (SBI/other banks).
- Due by 15th—pay early to avoid interest/penalties.
Step 7: Download Receipt
- Save Payment Acknowledgment/Challan Receipt for records, audits, or compliance proof.
Step 8: File Nil Return (If Applicable)
- Even with no eligible employees, file monthly Nil return.
- New companies (registered via SPICe+) must start filing after activation to stay compliant.
Key Compliance Tips for 2026
- Timely Filing: Avoid late fees—interest @12% p.a. + damages.
- Maternity Benefits: Female employees need 70 days contribution in prior 12 months.
- Penalties: Respond promptly to ESIC notices.
- New Wage Definition: Post-2025 Labour Codes, calculate on “wages” (Basic + DA). If allowances >50%, add-back may apply—consult expert if needed.
- Tools: Use payroll software for auto-calculation & bulk upload.
This process keeps your business compliant, protects employees, and avoids fines. For new setups or complex cases, professional help ensures accuracy.
Need Assistance with ESI Registration, Filing, or Compliance?
Contact Team IN Filings – Call +91 7019827351 today for expert support!
