ESI is government-mandated health insurance for employees with a salary below Rs 21,000 per month. It is compulsory for organizations with more than 10 employees.

If ESI is enabled for your organization, then XPayroll will automatically add ESI deductions to your employees who qualify for it. ESI cannot be disabled for specific employees if they meet the qualification criteria for ESI.

If an employee's salary is increased above the threshold, the ESI contribution does not stop immediately. For an employee who is already contributing to ESI, a contribution can stop only in April and October of every year.