“Provident Fund (PF) is a retirement savings scheme mandated by the government for salaried employees in India, managed by the Employees’ Provident Fund Organisation (EPFO). Under this scheme, both the employer and employee contribute a fixed percentage (usually 12%) of the employee’s basic salary and dearness allowance every month. The accumulated fund earns interest and can be withdrawn by the employee upon retirement, resignation, or under certain conditions like medical emergencies or purchasing a home. The PF scheme helps employees build a financial cushion for their post-retirement life.
Employee State Insurance (ESIC) is a social security and health insurance scheme for Indian workers, governed by the Employees’ State Insurance Corporation under the Ministry of Labour and Employment. It provides medical, sickness, maternity, disability, and dependent benefits to employees earning a monthly wage of ₹21,000 or less. Employers and employees contribute a small percentage of the wages towards the ESIC fund (currently 3.25% by employer and 0.75% by employee). The scheme ensures access to affordable healthcare and income protection during times of health-related distress.”
Employee State Insurance (ESIC) is a social security and health insurance scheme for Indian workers, governed by the Employees’ State Insurance Corporation under the Ministry of Labour and Employment. It provides medical, sickness, maternity, disability, and dependent benefits to employees earning a monthly wage of ₹21,000 or less. Employers and employees contribute a small percentage of the wages towards the ESIC fund (currently 3.25% by employer and 0.75% by employee). The scheme ensures access to affordable healthcare and income protection during times of health-related distress.”
Eligibility criteria for Registration under Provident Fund:
| Employee Providend Fund | Employee State Insurance | |
|---|---|---|
| Eligibility Criteria | • Any organisation or factory with at least 20 employees needs to get themselves registered under EPF Scheme. • Establishment with less than 20 employees may get themselves voluntarily registered. • Liability to deduct and deposit EPF arises for all employees with wages of Less than ₹ 15,000 per month, • Employees of an organization, which are already registered under EPF Scheme, are directly eligible for getting their Provident Fund account opened from date of their joining. | • All organisations listed under Factories Act and Shops and Establishments Act. • Factories and establishments with 10 or more employees have to register themselves under ESI schemes. • Employees earning wages not exceeding ₹ 21,000/- per month will be covered to check requirements of ESIC registration. |
| Benefits | • It can be used as an Emergency Fund • Exempted Interest Income • Easily withdrawable • A support for the Nominee in case of death of employee | • Medical Care & Benefits within ESI Medical institutions • Disability & Dependent Benefits • Maternity benefits • One-time payment for the funeral of an insured person. • Unemployment Allowance under Rajiv Gandhi Shramik Kalyan Yojna’(RGSKY) • Vocational Rehabilitation Allowance |
| Requirement | Establishment Details: • Copy of PAN Card • Address of the business • In case of factory, copy of factory licence • In case of start-up, startup registration certificate • In case of MSME, copy of MSME Registration certificate • Ownership Details E-contact details: • Email Id • Mobile Number • Details of Contact Person: • Copy of PAN • Designation and date of joining the establishment • Address and contact details Details of Primary and other owners: • Copy of PAN • Designation and date of joining the establishment • Address and contact details Details of any other certificate Details of employees covered under EPF Act Details of Branches and divisions Details of activities: • NIC Code of activity (Not Mandatory) • Nature of work Proof of Address: • Copy of Bank passbook/statement • Copy of electricity connection in the name of establishment • Copy of water connection in the name of establishment • Copy of post-paid telephone bills in the name of establishment • Any licence/Number/Certificate issued by government Authority Agreement between employer and employee in case of voluntary coverage | Establishment Details: • Copy of PAN • Complete postal address of the factory/Establishment along with address proof. • Details of police station • Nature of ownership of premises, i.e., owned or rented Details of all bank accounts Nature of business Registration details and certificate obtained either under Factories Act and Shops and Establishment Act. Date of commencement of factory Constitution of business Name, age, Designation, father’s name and address proof of all directors/owner of the establishment Details of number of employees: • Number of employees covered under scheme • Bifurcation of employees in Male, female, transgender • Bifurcation of employees drawing wages of less than INR 21000 per month in Male, female, transgender • Date when number of employees reached 10 or 20 Details of employees: • Name • Father’s name • Address • Date of Birth • Gender • Marital Status • Permanent Address • Date of Joining • Nominee details • Family Details • Email id and mobile number • Details of bank account • Copy of PAN And Aadhar card • A cancelled cheque of the Bank Account of the Company |
