Payroll Social in Cayman Islands

Payroll & social contributions for Cayman Islands (tax year 2025) — rates, thresholds and rules with primary-source citations. Unverified; pending local-accountant review.

Cayman Islands · tax year 2025 · changed 25 Jun 2026

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Key figures: Cayman Islands, 2025

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PAYE / payroll income tax withholding

None — there is no income tax, so no PAYE withholding from wagesPwC Worldwide Tax Summaries — Cayman Islands (Individual) https://taxsummaries.pwc.com/cayman-islands/individual/taxes-on-personal-income

State social-security contribution

None — there is no government social-security or national-insurance payroll taxPwC Worldwide Tax Summaries — Cayman Islands (Individual — Other taxes) https://taxsummaries.pwc.com/cayman-islands/individual/other-taxes

Mandatory pension contribution (total)

10% of pensionable earnings, generally split 5% employer / 5% employeeNational Pensions Act (Cayman Islands) https://caymanresident.com/work/pension-requirements/cayman-pension-law

Pension — employer share

5% of pensionable earningsNational Pensions Act (Cayman Islands) https://caymanresident.com/work/pension-requirements/cayman-pension-law

Pension — employee share

5% of pensionable earnings (deducted by employer)National Pensions Act (Cayman Islands) https://caymanresident.com/work/pension-requirements/cayman-pension-law

Maximum pensionable earnings (wage cap)

CI$87,000 per year per employeeNational Pensions Act (Cayman Islands) https://caymanresident.com/work/pension-requirements/cayman-pension-law

Pension eligibility

All employees aged 18–65 must be enrolled; non-Caymanian employees become pensionable after 9 months' continuous employment in the IslandsNational Pensions Act (Cayman Islands) https://caymanresident.com/work/pension-requirements/cayman-pension-law

Pension remittance deadline

Contributions due by the 15th of the month following the month of deductionNational Pensions Act (Cayman Islands) https://caymanresident.com/work/pension-requirements/cayman-pension-law

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Payroll, pensions and social obligations

There is no income tax withholding (PAYE) and no state social-security tax in the Cayman Islands. Employers must instead enrol eligible workers in a private pension plan and provide approved health insurance; these are the only mandatory payroll-related contributions.

PAYE / payroll income tax withholding — None — there is no income tax, so no PAYE withholding from wages (PwC Worldwide Tax Summaries — Cayman Islands (Individual) https://taxsummaries.pwc.com/cayman-islands/individual/taxes-on-personal-income)
State social-security contribution — None — there is no government social-security or national-insurance payroll tax (PwC Worldwide Tax Summaries — Cayman Islands (Individual — Other taxes) https://taxsummaries.pwc.com/cayman-islands/individual/other-taxes)
Mandatory pension contribution (total) — 10% of pensionable earnings, generally split 5% employer / 5% employee percent (National Pensions Act (Cayman Islands) https://caymanresident.com/work/pension-requirements/cayman-pension-law)
Pension — employer share — 5% of pensionable earnings percent (National Pensions Act (Cayman Islands) https://caymanresident.com/work/pension-requirements/cayman-pension-law)
Pension — employee share — 5% of pensionable earnings (deducted by employer) percent (National Pensions Act (Cayman Islands) https://caymanresident.com/work/pension-requirements/cayman-pension-law)
Maximum pensionable earnings (wage cap) — CI$87,000 per year per employee CI$ (National Pensions Act (Cayman Islands) https://caymanresident.com/work/pension-requirements/cayman-pension-law)
Pension eligibility — All employees aged 18–65 must be enrolled; non-Caymanian employees become pensionable after 9 months' continuous employment in the Islands (National Pensions Act (Cayman Islands) https://caymanresident.com/work/pension-requirements/cayman-pension-law)
Pension remittance deadline — Contributions due by the 15th of the month following the month of deduction (National Pensions Act (Cayman Islands) https://caymanresident.com/work/pension-requirements/cayman-pension-law)
Mandatory health insurance — Employers must provide at least standard health insurance (SHIC) from an approved insurer for each eligible employee; premium is generally shared, with the employer paying at least 50% ((employer share approx — confirm)) (Health Insurance Act (Cayman Islands) https://caymanresident.com/work/pension-requirements)
Work-permit fees (employer cost) — Employers of non-Caymanian staff pay annual work-permit fees that vary by occupation and sector; these are a payroll-related government cost (not a tax on wages) (Immigration (Transition) Act (Cayman Islands) https://www.bizlatinhub.com/labour-law-in-the-cayman-islands/)

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Payroll, pensions and social obligations

PAYE / payroll income tax withholding — None — there is no income tax, so no PAYE withholding from wages (PwC Worldwide Tax Summaries — Cayman Islands (Individual) https://taxsummaries.pwc.com/cayman-islands/individual/taxes-on-personal-income)

State social-security contribution — None — there is no government social-security or national-insurance payroll tax (PwC Worldwide Tax Summaries — Cayman Islands (Individual — Other taxes) https://taxsummaries.pwc.com/cayman-islands/individual/other-taxes)

Mandatory pension contribution (total) — 10% of pensionable earnings, generally split 5% employer / 5% employee percent (National Pensions Act (Cayman Islands) https://caymanresident.com/work/pension-requirements/cayman-pension-law)

Pension — employer share — 5% of pensionable earnings percent (National Pensions Act (Cayman Islands) https://caymanresident.com/work/pension-requirements/cayman-pension-law)

Pension — employee share — 5% of pensionable earnings (deducted by employer) percent (National Pensions Act (Cayman Islands) https://caymanresident.com/work/pension-requirements/cayman-pension-law)

Maximum pensionable earnings (wage cap) — CI$87,000 per year per employee CI$ (National Pensions Act (Cayman Islands) https://caymanresident.com/work/pension-requirements/cayman-pension-law)

Pension eligibility — All employees aged 18–65 must be enrolled; non-Caymanian employees become pensionable after 9 months' continuous employment in the Islands (National Pensions Act (Cayman Islands) https://caymanresident.com/work/pension-requirements/cayman-pension-law)

Pension remittance deadline — Contributions due by the 15th of the month following the month of deduction (National Pensions Act (Cayman Islands) https://caymanresident.com/work/pension-requirements/cayman-pension-law)

Mandatory health insurance — Employers must provide at least standard health insurance (SHIC) from an approved insurer for each eligible employee; premium is generally shared, with the employer paying at least 50% ((employer share approx — confirm)) (Health Insurance Act (Cayman Islands) https://caymanresident.com/work/pension-requirements)

Work-permit fees (employer cost) — Employers of non-Caymanian staff pay annual work-permit fees that vary by occupation and sector; these are a payroll-related government cost (not a tax on wages) (Immigration (Transition) Act (Cayman Islands) https://www.bizlatinhub.com/labour-law-in-the-cayman-islands/)