ESIC Registration Online for Employers: Get Your ESI Code

The Employees' State Insurance scheme is social insurance for workers on modest wages. It pays for medical care and replaces part of the wage when a worker cannot work. The money comes from a small monthly contribution by the employer and the employee. The ESIC runs its own dispensaries and hospitals and has tie-ups with other hospitals.

ESIC registration has two layers:

• Employer registration: the business files an online form and gets a 17-digit employer code. This code is used on every payment, return and letter.
• Employee registration: each covered worker gets an insurance number. The person registered is called an Insured Person (IP). Family members are added for medical benefit.

The employer code is shown in a registration letter, often called Form C-11, issued through the portal. The insurance number stays with the worker for life. When a worker changes jobs, the new employer links the same number, so benefits carry on without a fresh start.

ESI or ESIC: same thing

People search for both terms. ESI is the scheme. ESIC is the Corporation that runs it. An ESI code number and an ESIC registration number mean the same employer code. On this page we use both words.

The whole process is online on the ESIC portal. No office visit is needed for registration. An ESIC inspector, now called an Inspector-cum-Facilitator under Section 122 of the Code, may visit later to check records.

The First Schedule of the Code on Social Security, 2020 says Chapter IV applies to every establishment in which ten or more persons are employed, other than a seasonal factory. That covers factories, shops, offices, hotels, restaurants, cinemas, private schools and hospitals, transport firms, IT companies and service businesses.

How to count the ten

• Count everyone working for the establishment, permanent, temporary, casual or on probation.
• Include workers supplied by a contractor. The principal employer stays answerable for their ESI contributions too.
• Count staff earning above the wage ceiling. They count towards the ten, even though they are not insured.
• Count branches and units of the same establishment together.

Special cases in the First Schedule

• Hazardous work: where an establishment carries on a hazardous or life-threatening occupation notified by the Central Government, ESI applies even with a single employee.
• Plantations: an employer of a plantation may opt in, where ESI benefits are better than what the employer already gives.
• Seasonal factories: they are left out of the ten-person rule.

Once covered, always covered

Section 1(8) of the Code keeps an establishment covered even if its headcount later falls below the threshold. Do not stop payments because staff dropped to eight.

What about the old 20-person rule?

Under the 1948 Act, some states had applied ESI to shops and similar units only at 20 employees. The Code's schedule now states one test of ten for all establishments. If you are in a state that used 20 and you employ 10 to 19 people, talk to us. We check the current position for your area before you file.

ESI benefits need hospitals and dispensaries on the ground. So the scheme has always grown district by district. Under the old Act, coverage started only in areas notified as implemented areas.

The Code keeps a link to this. The third proviso in the First Schedule says contributions under Section 29 are payable from the date the Central Government notifies that ESI benefits are provided to employees of the establishment. In practice, your duty to pay starts when your district is covered.

Coverage keeps growing

Many districts are fully covered. Others are covered only in part, where only some towns or blocks are notified. For example, notification S.O. 5313(E), dated 28 September 2026, extended ESI to the entire area of 25 districts of Madhya Pradesh from 1 October 2026. Employers there with ten or more staff now have to register.

How we check your area

• We check the district and, where needed, the town or block of your premises.
• We confirm the date from which ESI applies in that area.
• For branches in other districts, we check each one, because coverage can differ.

State-level points

ESI itself is a central scheme. But states run ESI dispensaries in many places, and state rules under the Code are still being finalised in some states. Your shop or trade licence also comes from the state. For that, see our Shop Act registration page.

Ghaziabad, Noida, Delhi and most large cities have been covered for years. Our office in Ghaziabad handles ESIC registration for employers across India online.

Inside a covered establishment, an employee is insured if his or her monthly wages do not exceed the wage ceiling. The ceiling is ₹21,000 a month. For persons with disabilities, it is ₹25,000. The Labour Ministry's FAQs of 16 March 2026 confirm that the ₹21,000 limit continues under the Code. We found no notification changing it up to mid-November 2026.

Do not mix this up with PF. The EPF wage ceiling was raised to ₹25,000 from 17 September 2026. The ESI ceiling is separate and has not moved with it. A worker earning ₹23,000 is now inside the PF limit but outside the ESI limit.

Crossing the ceiling during the year

A raise above ₹21,000 does not end cover at once. A Labour Ministry notification under the Code, dated 8 May 2026, confirms that the person stays covered until the end of the running contribution period. Contributions continue on the actual wages till then.

Who is covered

• Permanent, temporary and casual staff within the ceiling
• Workers employed through contractors
• Probationers and trainees paid wages, other than apprentices under the Apprentices Act
• Part-time staff, if they are employees of the establishment

Who is not covered

• Employees earning above the ceiling at the start of the contribution period
• Apprentices engaged under the Apprentices Act
• Partners and proprietors, who are not employees

The ceiling is set by the Central Government. Proposals to raise it to ₹25,000 or ₹30,000 have been discussed in the news. Until a notification appears, ₹21,000 is the figure we use. We recheck the ceiling on the portal on the day we file.

The contribution is a small share of wages paid every month for each insured employee. The rates have stayed the same since 1 July 2019, when they were cut from 4.75% and 1.75%.

Rule 19 of the Social Security (Central) Rules, 2026, notified on 8 May 2026, carries the 3.25% employer rate under the Code.

Low-wage workers

An employee whose average daily wage is up to ₹176 does not pay the 0.75% share. The employer still pays its 3.25%.

A worked example

Rules on deduction

Under Section 31 of the Code, the employer pays both shares and recovers the employee's share only by deduction from wages. The employer's own share can never be recovered from the worker. Contributions are worked out for each wage period, so a worker who joins mid-month pays only on wages actually earned.

The contribution is a percentage of wages, so the definition of wages decides the bill. The Code brought one common definition, in Section 2(88), for all its chapters.

The 50% check

Wages include basic pay, dearness allowance and retaining allowance. Some items are left out, such as house rent allowance, overtime, bonus and conveyance. But if the left-out items exceed half of total pay, the excess is treated as wages. ESIC has issued guidance on applying this definition, and the Labour Ministry's FAQs say it applies from 21 November 2025.

Two separate tests

Keep two questions apart:

• Is the worker covered? Compare wages with the ₹21,000 ceiling.
• How much is due? Apply 3.25% and 0.75% to the wages as defined.

Some legal advisers note that the position on gross wages under the old regime may still matter until a full ESI scheme under the Code is in place. We follow ESIC's current portal practice and circulars when we calculate.

Common items in a pay slip

Before your first monthly filing, we review your salary structure so the deduction matches the law and your payroll software agrees with it.

Section 32 of the Code lists six benefits: sickness, maternity, disablement, dependants', medical and funeral expenses. Here is what they mean in practice.

Cash benefits depend on contributions paid for a set number of days in the contribution period. Medical care starts sooner. The worker claims at the branch office or through the ESIC portal and app.

Why this matters to workers

A worker on ₹15,000 a month pays ₹112.50 a month. In return the family gets hospital care and the worker gets income support when ill or injured. Many workers value this more than a small raise. Explaining it at hiring builds trust.

• Legal compliance: registering on time avoids interest, damages and prosecution under the Code.
• Cover for workplace injury: when an insured worker is hurt at work, ESIC pays the disablement and dependants' benefits. This takes much of the cost off the employer.
• Maternity costs shared: ESIC pays maternity benefit to insured women, in place of the employer.
• Lower attrition: health cover for the whole family is a real reason to stay.
• Clean records for clients: large companies, government buyers and contractors often ask suppliers for ESIC and PF challans.
• Payroll discipline: monthly filing keeps wage records, attendance and salary slips in order.
• Tax deduction: the employer's contribution is a business expense. The employee's share deducted must be deposited by the due date to be allowed.

For a small business, the cost is modest. On ten workers earning ₹15,000 each, the employer's share is ₹4,875 a month. That buys medical cover for ten families and protection against large injury claims.

Voluntary coverage for smaller employers

Section 1(7) of the Code lets the Director General of ESIC extend Chapter IV to an establishment with fewer than ten people, where the employer and a majority of employees agree. The employer can later apply to exit under the proviso to that section. This suits small clinics, firms and shops whose workers want medical cover.

Contract workers

The principal employer is responsible for ESI on workers supplied by a contractor. If the contractor has its own ESIC code, collect monthly challans and employee lists from it. If not, the principal employer pays and can recover the amount from the contractor.

New companies

Companies registered through SPICe+ on the MCA portal often get an ESIC registration with incorporation. That gives a code, but the monthly duty depends on headcount and area. If you formed a company recently, check whether a code already exists before applying again. Our company registration team can check this for you.

Several branches

A business with units in different districts or states can register each unit as a sub-code under the main code. Contributions for each unit are then filed under its own sub-code, with the right ESIC branch office.

Gig and platform work

The Code also provides for social security of gig and platform workers through aggregator contributions. That is a separate scheme from ESIC registration of an establishment. We advise on it only where it applies.

Employers often meet ESI and PF together. They are different schemes with different tests. Here is a short comparison. For the full list of business licences, see our business licences page.

• With 20 or more staff, you usually need both. See PF registration.
• If your state levies professional tax on salaries, see professional tax registration.
• Most shops and offices also need a licence under the state Shops and Establishments Act. See Shop Act registration.

If you have ten or more workers in a covered area and some earn up to ₹21,000, this is the service for you.

Keep clear scans in PDF or JPG. Names must match PAN and registration papers exactly.

For the business

• PAN of the business
• Certificate of incorporation, LLP certificate, partnership deed, or Shop Act, GST or Udyam certificate for a proprietorship
• Memorandum and articles, or LLP agreement, where relevant
• Factory licence or Shops and Establishments registration, if obtained
• Proof of premises: electricity bill, property tax receipt or rent agreement
• Bank details: cancelled cheque or bank statement in the business name
• List of directors, partners or proprietor, with PAN, Aadhaar and address
• Email ID and mobile number for the employer login
• Date on which the tenth person joined, and main business activity

For each employee

• Name, father's or spouse's name, and date of birth
• Aadhaar number and mobile number
• Date of joining and monthly wages
• Bank account number with IFSC
• Family details for medical benefit, with Aadhaar where available
• Nominee details
• Existing insurance number, if the worker was insured in an earlier job

Good to have

• Attendance register and wage register for recent months
• Appointment letters
• Contractor's ESIC code and challans, for contract labour

We send a one-page checklist after the first call, matched to your business type.

1. Coverage check: on a free first call, we confirm headcount, wages, your district and the date from which ESI applies.
2. Documents: you share scans online. We check names, addresses and PAN details for mismatch.
3. Employer sign-up: we create the employer account on the ESIC portal with your email and mobile.
4. Form 01: we fill the employer registration form under New Employer Registration, with unit type, address, activity, owners and employee count.
5. Initial payment: the portal shows the initial advance contribution. You pay it online through the gateway.
6. Registration letter: the system issues the registration letter (C-11) with your 17-digit employer code.
7. Employee registration: we register each covered worker, generate insurance numbers and help download e-Pehchan cards.
8. First monthly filing: we file wages and days for each employee and generate the challan, so you pay by the 15th.

Some employers register through the Shram Suvidha portal, which links ESIC and EPFO. We use whichever route suits your case. For an existing code, we only update details and do not apply again.

Things you do

• Share documents and approve the form details
• Pay the initial contribution from the business account
• Collect family details from staff for their e-Pehchan cards

The rules and regulations made under the 1948 Act continue under the saving clause in Section 164 of the Code for one year from 21 November 2025, that is, until 20 November 2026, to the extent they fit the Code. New regulations under the Code are expected to take over the same timelines. We follow whichever text is in force on the day we file.

How long our work takes

Once documents are complete, most employer registrations finish within a few working days. Employee registration takes a little longer if many family details are missing. We confirm your timeline on the first call.

When the duty starts

Contributions are due from the date ESI first applies to you, not from the date you apply. A late application can bring a demand for past months. So register as soon as the tenth person joins.

ESIC charges no fee to register an employer. There is no stamp duty and no processing charge. Any site that asks for a government fee to issue an ESIC code is not ESIC.

The amounts you pay ESIC are contributions, not fees. They belong to the scheme and fund your workers' benefits. Check the current rates and circulars on the ESIC portal and the Ministry of Labour and Employment website.

TaxCaller's fee for ESIC registration starts at ₹1,499 + GST. Government payments, such as contributions and any interest, are paid separately at actual. There is no government fee for the registration itself. Our invoice shows our fee and GST only.

What our fee covers

• A free first call to confirm coverage and the start date
• Document check and employer sign-up
• Form 01 filing and the registration letter with your employer code
• A short guide to your monthly ESI cycle

What is charged separately

• Employee registration beyond the number in your plan
• Monthly contribution filing, unless your plan includes it
• Past-period dues, interest, damages and replies to ESIC notices
• PF, professional tax or Shop Act registration

Each plan is listed with its price + GST in the pricing section. Our expert confirms your fee in writing before work starts.

Registration is a one-time job. The monthly cycle runs for as long as you are covered.

Each month

• Enter each insured employee's wages and days worked on the portal.
• Generate the challan and pay it by the 15th of the next month. October wages are due by 15 November.
• Mark employees who left, with the date and reason.
• Register new joiners as soon as they join and give them their e-Pehchan card.

Contribution and benefit periods

The ₹21,000 test is applied at the start of each contribution period. That is why April and October matter for salary revisions.

Records to keep

• Wage register and attendance register
• Copies of challans and payment proofs
• Accident reports and leave records
• Contractor ESIC challans for contract labour

Employment injury

If an insured worker is hurt at work, report it to ESIC through the portal promptly. Late reporting can delay the worker's benefit and draw questions.

Our accounting and bookkeeping team can keep payroll and ESI entries together. Salary TDS is handled by our TDS return filing service.

Late or missing contributions are costly. The Code keeps interest and damages, and adds steep penalties for deducting the worker's share and not depositing it.

Not registering at all

If ESI applied but you never registered, ESIC can assess past contributions on its own estimate of wages. Interest and damages are then added to that figure. A voluntary late registration, with dues paid, is far cheaper than an assessment after inspection.

Settlement schemes

ESIC's SPREE 2025 drive let employers register unregistered units and staff without inspection or past dues for earlier periods. It closed on 31 January 2026. An ESIC amnesty scheme for pending disputes ran until 30 September 2026. If a new scheme opens, we will tell our clients.

• Wrong start date: using the application date instead of the date the tenth person joined.
• Name mismatch: the business name in Form 01 does not match PAN or the incorporation certificate.
• Wrong unit type or activity: picking a category that does not fit, which sends the file to the wrong branch.
• Duplicate code: applying again when SPICe+ or an earlier consultant already got a code.
• Leaving out contract workers: the principal employer remains liable for them.
• New insurance numbers for old members: a worker who had ESI before should keep the old number.
• Missing family details: e-Pehchan cards without family members limit medical benefit.
• Cash wages without records: inspectors cannot match payments with challans.
• Stopping when staff falls below ten: coverage continues under Section 1(8).
• Mixing up the PF and ESI ceilings: treating the new ₹25,000 PF limit as the ESI limit.

Each of these can bring a query, a past-dues demand or a damages notice. We check for them before we submit.

The law behind ESI changed more in the last year than in the decade before it. Here are the points that matter, with their sources.

Read the Code and notifications on the Ministry of Labour and Employment website and the ESIC portal.

What did not change

• The ten-person threshold
• The 3.25% and 0.75% rates
• The ₹21,000 ceiling, as far as we could find up to mid-November 2026
• Payment by the 15th of the next month
• No government fee for registration

What to watch

The one-year saving period for the old ESI regulations ends on 20 November 2026. New ESIC regulations under the Code are awaited, and the wage ceiling may be revised. We update this page when they are notified.

• Working since 2018: from our Ghaziabad office and online across India.
• Payroll and tax together: our tax experts handle ESI with PF, TDS on salary and GST, so your numbers agree.
• Legal review: Abhinay Rai, Advocate, reviews this page and our ESI process notes.
• Clear pricing: our fee + GST, with contributions to ESIC kept separate.
• One contact: the same person handles your registration and the first monthly filings.

Other payroll and licence help

• PF registration once you reach 20 employees
• Professional tax registration in states that levy it
• Shop Act registration for your premises
• Business licences overview for new employers
• TDS return filing for salaries
• GST registration if your turnover needs it

Want to talk first? Contact us for a free first call.