ESI & EPF monthly correspondence

ESI and EPF monthly correspondence

ESI

Employee's State Insurance(ESI) is a self-financing social security and health insurance scheme for Indian workers. ESI is an autonomous corporation under Ministry of Labour and Employment, Government of India. But most of the dispensaries and hospitals are run by concerned state governments. Registered employer is allotted a 17 digit unique identification code.

EPF

The main aim of the EPF scheme is to promote retirement savings for employees across India. The Employees' Provident Fund (EPF) is a corpus of funds built through regular, monthly, contributions made by an employee and his/her employer. The amount contributed to the fund is based on a fixed rate. Employees earn interest on their EPF balances. Both, the interest earned and the total amount withdrawn at maturity are tax-free, making this one of the most popular forms of long-term retirement savings among the working population in India. Besides retirement, funds accumulated in an employee's EPF account can also be used at time of resignation or death.