ESI is getting deducted though the salary is high for one employee

Hi Experts,
I have one employee for whom the ESI is getting deducted in january salary. though the salary is 16000 for this employee.
what could be the reason? and hoiw to solve this error?
Thanks and Regards
Jaydeep Jadhav
SAP HR Consultant

HI,
As mentioned by our friends you can also note the below point
ESIC is calculated based on the monthly master components except for reimbursement pay elements ( Medical, Fuel) are included in ESIC eligibility but for calculating purpose it will also include reimbursements components.
For eg: If an employee is having salary of Rs. 16000/- including monthly reimbursements  of Rs. 2000/-  In this case he is under ESIC bracket (16000-2000=14000) but ESIC deduction will be done on Rs. 16000/-.
So you need to check each pay element for ESIC.

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