Source-cited draft: payroll & social contributions for Kuwait (tax year 2025) — rates, thresholds and rules with primary-source citations. Unverified; pending local-accountant review.
Source-cited draft.Written from sources but not reviewed by a licensed practitioner, so it may be incomplete or wrong. General reference only; don't file or take a position on it without professional review.
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Every figure is drawn from this Tax Guide and cited to its source.
General overview
There is no payroll income tax (PAYE) in Kuwait. Social insurance applies only to Kuwaiti nationals (and, by bilateral arrangement, some GCC nationals) through the Public Institution for Social Security (PIFSS). Non-GCC expatriate employees are exempt from social security contributions.
Payroll income tax (PAYE)
None — Kuwait does not withhold income tax on salariesKuwait Income Tax Decree No. 3 of 1955 (https://taxsummaries.pwc.com/kuwait/individual/other-taxes)
Employer social security contribution
11.5% of monthly salary (Kuwaiti national employees)Social Security Law No. 61 of 1976 (https://taxsummaries.pwc.com/kuwait/individual/other-taxes)
Employee basic social security contribution
8% of monthly salary (Kuwaiti national employees)Social Security Law No. 61 of 1976 (https://taxsummaries.pwc.com/kuwait/individual/other-taxes)
Additional employee contribution
2.5% of monthly earnings (supplementary pension contribution since 2015), bringing total employee contribution to 10.5%Social Security Law No. 61 of 1976 (as amended) (https://taxsummaries.pwc.com/kuwait/individual/other-taxes)
Monthly contributory salary ceiling
KWD 2,750 per month ((approx — confirm current ceiling))Social Security Law No. 61 of 1976 (https://taxsummaries.pwc.com/kuwait/individual/other-taxes)
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Other Kuwait computations in the OpenAccountants Tax Library.
Expatriate (non-GCC) employees
Exempt from PIFSS social security contributions; employers instead owe end-of-service indemnity under the Labour LawSocial Security Law No. 61 of 1976; Private Sector Labour Law No. 6 of 2010 (https://taxsummaries.pwc.com/kuwait/individual/other-taxes)
GCC-national employees
Covered under their home-state social insurance via the GCC unified extension of insurance protection; contributions calculated per the home-state schemeGCC Unified Law for Extending Insurance Protection (https://taxsummaries.pwc.com/kuwait/individual/other-taxes)
Contribution remittance deadline
Monthly — by the 15th day of the month following the payroll monthSocial Security Law No. 61 of 1976 (https://taxsummaries.pwc.com/kuwait/individual/other-taxes)
End-of-service indemnity (gratuity)
15 days' wage per year for the first 5 years, then 1 month's wage per year thereafter (private sector) ((approx — confirm calculation caps))Private Sector Labour Law No. 6 of 2010
Rendered from the canonical facts model. General reference only — confirm with a qualified professional before acting.