Agriculture & Contribution · EOBI
EOBI Contribution Calculator
Calculate employer and employee EOBI contributions — 5% employer, 1% employee, assessed on the notified minimum wage rather than on actual salary.
Step by step
How EOBI contribution is worked out
Enter the monthly wage
Per employee. It is shown for context only — contributions are assessed on the minimum wage, not on this figure.
Enter the number of employees
To see the combined cost across your workforce.
See both shares
Employee's 1% and employer's 5%, separately and combined.
Plan your annual budget
The employer's yearly EOBI cost across all employees.
Reading the result
Assessed on the minimum wage, not on what you pay
This is the part employers get wrong most often. EOBI contributions are calculated on the notified minimum wage, not on the employee's actual salary. A manager on a large package and a junior on the minimum generate the same contribution.
It makes the arithmetic easier than expected: per covered employee, the amount is the same across the payroll, and it changes when the minimum wage is revised rather than when you give someone a raise.
Registration is the obligation, not just payment
The duty is to register the establishment and each eligible employee, then contribute monthly. An employer who pays contributions but never registered the workers properly has not protected them — the pension depends on the contribution record being attributable to a named, registered insured person.
Gaps in that record surface years later, when someone retires and finds their service is not fully credited. By then it is difficult to fix.
EOBI is federal; social security is provincial
EOBI funds old-age pension, invalidity and survivors' benefits. SESSI, PESSI and their provincial equivalents fund medical treatment. They are separate institutions with separate registration and separate contributions, and paying one does nothing for the other.
The SESSI / PESSI calculator covers the provincial side.
Where this stops
This computes the monthly contribution from the wage basis and rates you enter. Whether a particular worker is covered depends on the establishment's size and sector, and on how EOBI has registered you.
FAQs
EOBI contribution FAQs
How much is EOBI contribution?
The employee contributes 1% and the employer 5%, for a combined 6% — but both are calculated on the notified minimum wage, not on the employee's actual salary. On the Rs 40,700 minimum wage set in Budget 2026-27 that is Rs 407 from the employee and Rs 2,035 from the employer per month, whether the employee earns Rs 40,700 or Rs 400,000.
Who is covered by EOBI?
Employees of establishments with 5 or more workers registered under the Employees' Old-Age Benefits Act are typically covered, subject to specific exemptions and thresholds set by EOBI.
Does EOBI reduce my take-home pay?
Yes — the 1% employee share is deducted from your salary. The employer's 5% share is a separate cost to the employer, not deducted from you.
What if an employee earns below or far above the minimum wage?
It makes no difference to the contribution: EOBI is assessed on the minimum wage in both directions. An employee on Rs 25,000 and one on Rs 250,000 attract the same Rs 407 employee share and Rs 2,035 employer share (at the Rs 40,700 minimum wage). Change the minimum-wage figure if your province has notified a different one.
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