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ESI Calculation if Base is Beyond Limit mid year

Former Member
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Sorry. I was bit confused in putting my requirement in the earlier post.

We know that the limit for ESI now in 15,000.

Lets say an employee has ESI base of 12,000 in April'2010. Hence if we run the payroll in April'2010, ESI will be based on 12,000. Now lets say his ESI base becomes 14,000 in May'2010. Hence if we run his payroll in May'2010, ESI will be based on 14,000. Till now everything is correct.

Now let his ESI base become 17,000 in June'2010. Now this is out of limit. However if payroll is run for June' 2010, ESI gets deducted till September'2010. However while deducting, it considers this 17,000. Ideally it should consider 15,000, which is the upper limit.

How do I achieve this?

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sikindar_a
Active Contributor
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Now let his ESI base become 17,000 in June'2010. Now this is out of limit. However if payroll is run for June' 2010, ESI gets deducted till September'2010. However while deducting, it considers this 17,000. Ideally it should consider 15,000, which is the upper limit.

Are you sure about this can you let us know wht are the values for wage type /112 and /113

ideally his ESI nominal basis will be 15000 and ESI basis shd be 17000

Former Member
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I have created a test case with ESI basis becoming 31,598.00. Now ESI has got deducted on this 31,598.00.

/112 is 31,598.

/113 is 100000.00 31,598.00

Last month the base was 10,528 and it got deducted based on that.

This month it should have got deducted on15,000 base.

sikindar_a
Active Contributor
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Hope you have applied this note chekc the below thread ESI slab rate change

Former Member
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Yes we have applied this.

This has made 15,000 as the upper limit. Earlier also we were facing the same issue with 10,000 as the upper limit.

One imp issue. We have some 6 wage types which actually form the ESI Base. However for none of these WTs we have Cumulation Class 13 (ESI Basis Nominal) ticked. We only have Cumulation Class 12 (ESI Basis) ticked.

sikindar_a
Active Contributor
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Then have a look at the documentation of CC 12 and CC 13 and Processing class 71,72

Former Member
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Tried various combinations in these.But not useful

Former Member
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Can anyone let me know, what is to be done. I am sure this is a common issue which is faced by several organizations.