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🇮🇳 India Payroll Statutory Compliance

How to File PF and ESI Returns

Two filings, both due on the 15th, in two formats that share nothing. This is the whole picture — contribution rates, the exact file layouts, sample files you can download, step-by-step portal walkthroughs, and what it costs when a month slips.

15th
Both due monthly
12% + 12%
EPF employee + employer
0.75% + 3.25%
ESI employee + employer
Aug 2026
Rates verified

Start with the filing you owe

Each guide is written to be worked through with the portal open in another tab — the file format first, then a sample, then the screens in order.

EPF and ESI side by side

They are administered separately and behave differently in almost every respect except the deadline. This table is the one thing worth printing.

EPF (Provident Fund)ESI
StatuteEPF & MP Act, 1952ESI Act, 1948
RegulatorEPFOESIC
Applies toScheduled establishments with 20 or more employees, plus voluntary coverageFactories and notified establishments with 10 or more persons (20 in some states)
Employees coveredAll employees; statutory liability computed on wages up to Rs 15,000Employees drawing gross wages up to Rs 21,000 a month (Rs 25,000 with a disability)
Employee share12% of PF wages0.75% of gross wages
Employer share12% — of which 8.33% to pension and 3.67% to provident fund3.25% of gross wages
Other employer costsA/c 2 administration 0.50% (minimum Rs 500), A/c 21 EDLI 0.50%None — the 3.25% is the whole employer cost
The returnECR 2.0 — return and challan in oneMonthly Contribution upload
File formatPlain text .txt, 11 fields, #~# delimiter, no header rowExcel 97-2003 .xls, 6 columns, all cells formatted as Text
Portalunifiedportal-emp.epfindia.gov.inesic.gov.in
Due date15th of the following month15th of the following month
Interest on delay12% per annum — Section 7Q12% per annum — Regulation 31A
Damages1% of arrears per month since 15-06-2024, capped at 100% of arrears — Section 14B5% to 25% per annum by length of delay, capped at the contribution in default — Regulation 31C

The payroll compliance calendar

PF and ESI are the two that come round every month, but they do not arrive alone.

7th

TDS on salaries deposited

Tax deducted under Section 192 in the previous month is paid by the 7th. For March the date moves to 30 April.

15th

EPF — ECR uploaded and challan paid

Upload the ECR 2.0 file, generate the TRRN, add administration charges and pay. The old five-day grace period was withdrawn in 2016.

15th

ESI — monthly contribution filed and paid

Upload the MC excel, verify the computed shares, generate the challan and complete the payment.

Varies

Professional tax

A state levy with state deadlines — commonly between the 10th and the 20th, and monthly or annually depending on the state and headcount. Check the rule for each state you employ in.

Quarterly

Form 24Q — TDS return on salaries

31 July, 31 October, 31 January and 31 May for the four quarters. Q4 carries the annual salary detail annexure.

15 June

Form 16 issued to employees

The annual salary TDS certificate, issued after the Q4 24Q is processed.

Forms and registers you still encounter

Online filing retired a great many forms, and a surprising number of checklists still list them. Here is what remains live, and what does not.

SchemeFormPurpose
EPFForm 2Nomination and declaration for provident fund and pension — collected when a member joins.
EPFForm 11Declaration by a new employee about previous PF membership. Decides whether the member is an excluded employee and whether EPS applies.
EPFForm 5AOwnership return for the establishment. Update it whenever ownership or management changes.
EPFForm 13Transfer of accumulations when a member changes employer — now largely handled online against the UAN.
EPFForms 19, 10C, 10D, 31Member claims: final settlement, pension withdrawal or scheme certificate, monthly pension and advances.
EPFForms 5, 10, 12A, 3A, 6ADiscontinued. The monthly and annual returns they carried are now inside the ECR, and joiners and exits are recorded against the UAN.
ESIForm 01Employer registration for a newly covered establishment.
ESIForm 1Declaration form for a new insured person, followed by the IP number and Pehchan card.
ESIForm 1AFamily declaration, which is what extends medical benefit to dependants.
ESIForm 6Register of employees under Regulation 32 — maintained at the establishment and asked for on inspection.
ESIForms 11 and 12Accident book and the accident report to the branch office. Employment injury reporting is time-sensitive.
ESIForm 5The half-yearly Return of Contributions, dispensed with once monthly contributions moved online.

Sample files and format notes

Teaching samples, not live templates. For an actual filing take the ECR structure from the EPFO portal and the MC template from the ESIC portal, and use these to check your own output against a known-good shape.

Mistakes that span both schemes

Each guide lists its own upload errors. These are the ones that come from treating PF and ESI as the same obligation.

Treating the wage ceilings as the same thing

The PF ceiling of Rs 15,000 caps the amount you contribute on. The ESI ceiling of Rs 21,000 decides whether an employee is covered at all, and contribution is then on full gross wages. Confusing the two under-reports ESI on every mid-salary employee.

Stopping ESI in the month a salary crosses the ceiling

Coverage runs to the end of the contribution period — 30 September or 31 March. Contribution continues on the higher wages until then.

Leaving exits unmarked

An unmarked PF Date of Exit blocks the member from transferring or withdrawing. A missing ESI last working day keeps a former employee inside your coverage. Mark both in the month the person leaves.

Uploading the return but not paying the challan

In both schemes the return is only complete when the money is paid. A TRRN or a challan number on its own leaves the month in default, and interest runs from the 15th.

Preparing the files by hand each month

Delimiters, decimals, name spellings and cell formats are exactly the kind of detail a person gets wrong at month end. Generate both files from payroll and reconcile the totals before uploading.

Filing nothing in a month with no wages

A NIL PF return still has to be filed, and the minimum administration charge still applies. Silence reads as default, not as inactivity.

PF and ESI — frequently asked questions

What is the difference between PF and ESI?

PF is a retirement savings and pension scheme run by EPFO: 12% from the employee and 12% from the employer, computed on wages up to a ceiling of Rs 15,000. ESI is a health and social insurance scheme run by ESIC: 0.75% from the employee and 3.25% from the employer, covering employees who draw gross wages up to Rs 21,000 a month. Different statutes, different portals, different file formats — but the same 15th of the month deadline.

When are PF and ESI due each month?

Both fall due on the 15th of the month following the wage month. Filing and payment go together in each scheme; uploading a return without paying the challan leaves the month in default.

What file format does each portal accept?

EPFO accepts a plain text file with a .txt extension — eleven fields per member separated by #~#, no header row, whole rupees only. ESIC accepts an Excel workbook in the Excel 97-2003 format with a .xls extension, six columns, every cell formatted as Text and no formulas. Neither portal accepts the other one's format.

Is an establishment required to register for both?

Not necessarily. PF coverage generally attaches at 20 or more employees in a scheduled industry; ESI generally at 10 or more persons, though a few states set 20 for certain establishments. Many establishments cross the ESI threshold first. Once coverage attaches under either Act it does not lapse simply because headcount later falls.

Which employees are covered by ESI but not by PF, or the other way round?

ESI covers only employees drawing gross wages up to Rs 21,000 a month, so senior staff are outside it entirely. PF has no upper limit on coverage — the Rs 15,000 ceiling caps the contribution, not the membership — so a well-paid employee is usually a PF member and not an ESI member.

Can the same payroll run produce both files?

Yes, and it should. The two returns draw on the same attendance and wage data; what differs is the wage definition, the ceiling and the file layout. Producing them from one payroll run is what keeps the challan totals reconciled to the payroll register.

What happens if a month is missed entirely?

Interest at 12% per annum accrues under both Acts from the due date. On top of that, PF damages run at 1% of the arrears per month since 15 June 2024, capped at 100% of the arrears, and ESI damages at 5% to 25% per annum depending on the length of the delay, capped at the contribution in default. Deducting an employee share and not depositing it is treated far more seriously than paying late.

How Laabam.One handles PF and ESI

Computed as payroll runs

EPF, EPS, EDLI and ESI are worked out per employee inside the payroll run — ceilings, EPS exclusions, NCP days, the daily-wage exemption and mid-period ceiling crossings included.

Both files exported ready to upload

The ECR 2.0 text file with the #~# delimiter and whole-rupee amounts, and the ESI monthly contribution sheet with days, wages and reason codes already filled.

Reconciled before you file

Challan heads and contribution totals are tied back to the payroll register, so the number on the portal matches the number in your books before you pay.

Keep reading

A note on accuracy. Rates, wage ceilings, file templates and reason codes are set by EPFO and ESIC and do change — the damages provision under Section 14B was rewritten as recently as June 2024. Everything here was checked in August 2026. Take the live template from the portal each filing season, and confirm current rates before you file. This is guidance, not professional advice.

Stop building statutory files by hand

Run payroll once and get the ECR text file and the ESI contribution sheet out the other side, reconciled and ready to upload.