1. What is EDLI Calculator?

Definition: This calculator estimates the Employees' Deposit Linked Insurance (EDLI) amount based on average monthly salary.

Purpose: It helps employees and employers determine the insurance coverage amount under the EDLI scheme.

2. How Does the Calculator Work?

The calculator uses the formula:

Where:

• \( EDLI \) — Insurance amount in dollars
• \( \text{Avg Salary} \) — Average monthly salary in dollars

Explanation: The average salary is multiplied by 35 to determine the insurance coverage amount.

3. Importance of EDLI Calculation

Details: Proper EDLI calculation ensures adequate insurance coverage for employees and compliance with labor regulations.

4. Using the Calculator

Tips: Enter the average monthly salary in dollars. The value must be > 0.

5. Frequently Asked Questions (FAQ)

Q1: What is EDLI?
A: Employees' Deposit Linked Insurance is a social security scheme that provides life insurance protection to employees.

Q2: Why is the multiplier 35?
A: The 35x multiplier is standard under the EDLI scheme to determine the insurance coverage amount.

Q3: Is there a maximum EDLI amount?
A: Yes, there is typically a cap on the maximum insurance amount, which varies by country.

Q4: How is average salary calculated?
A: Average salary is typically calculated as the mean of the last 12 months' salary.

Q5: Who is eligible for EDLI?
A: Generally, all employees contributing to provident fund are eligible for EDLI coverage.