Total monthly cost of a Kuwaiti employee
What is the total monthly employer cost of a Kuwaiti employee on KWD 2,000?
The situation
The employer pays 11.5% of salary up to the KWD 2,750 ceiling.
The law
- Social Insurance Law (administered by PIFSS): Kuwaiti employees: employer 11.5% and employee 8% of salary up to KWD 2,750 a month, plus employee 2.5% up to KWD 1,500; expatriates are not covered
What it means for you
Employer PIFSS is KWD 230, so about KWD 2,230 before other benefits like allowances. Budget yearly at about KWD 26,760. Confirm the rate with PIFSS each year.
What to do
- Compute PIFSS.
- Add allowances.
- Budget yearly.
- Review rates.
We can do this for youPIFSS contributions for Kuwaiti staff and end-of-service planning for expatriates: KWD 150