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What is Provident Fund and ESI ?

Provident fund is a savings scheme for the benefit of the employees run by the government. Employees Provident Fund Organisation (EPFO) is a governmental body which maintains and oversees the fund. Contribution to PF is mandatory for every employee, employers also contributes equally to the provident fund. Amount accumulated in the fund can be withdrawn at the time of retirement along with interest.

ESI Scheme is a comprehensive Social Security Scheme designed to accomplish the task of socially protecting the ’employees’ in the organized sector against the events of sickness, maternity, disablement and death due to employment injury and to provide medical care to the insured employees and their families.

What are the Documents required for Udyog Aadhaar Registration?

MOA & AOA with Certificate of Incorporation/Partnership Deed
Business Number Allotment Form (may be obtained from Pf Office)
Copy of Factory/Shop & Comm. Est Registration
List of minimum 20 Employees with their DOJ and Rate of Salary
Copy of GST Registration Certificate
Copy of PAN
Who is required to register?

Organisations employing 20 or more members are required to register with PF department. Strength of 20 includes contract employees. Companies can also register themselves voluntarily. Employers are required to register with PF department within one month from the date of reaching 20 employees.

A Employees’ Contribution 1.75% of Total Wages
B Employers’ Contribution 4.75% of Total Wages

In a situation where all employees are drawing above Rs. 15,000/-, you still need registration, we file a letter that there are no employees who draw a gross salary lesser than Rs. 15,000 per month and therefore no contribution, filing of returns etc. is still required. Therefore ESI registration is purely from a compliance perspective.

FAQ's

Remittance by the employer has to be done only after generating challan from the EPFO. Hence, it is mandatory for every employer to register in the EPFO portal.
The online generation of challan will not be possible if the employer has not registered his/her establishment. The employer has to register and create his/her user id & password for accessing the Employer Portal of EPFO.
Every employer has to generate challan and pay the amount due by 15th of every month. Also, employers are required to file PF returns.
Registration is the process by which every employer/factory and its every employee employed for wages, is identified for the purpose of the Scheme, and their individual records are set up for them. EMPLOYERS CAN NOW SUBMIT APPLICATION ONLINE FOR REGISTRATION UNDER ESI ACT THROUGH.