what is the ESI ? TELL ME RATE HOW TO WRITE ENTRY

Answer Posted / senthil

ESI - Employees' State Insurance, Whose salay dose not
exceeds Rs.10000 per month is liable to the company to
deduct 1.75% from gross salary and along with that 4.75%
employer contribution to be paid to ESI office with challan.

The entry will be -

Salary A/c Dr (Gross) 10000.00
Salay payabe A/c Cr 9825.00
ESI Payable A/c Cr 650.00
ESI Employer Cont. Dr. 475.00

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