Source-cited draft: payroll & social contributions for Malawi (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.
Overview of payroll withholding and pension obligations
Employers operate PAYE on employee salaries and must enrol employees in a pension scheme under the Pension Act. There is no broad state social-security payroll tax; the statutory contributory pension is the main payroll-linked contribution.
PAYE withholding
Employers deduct PAYE on the progressive monthly scale and remit to the MRATaxation Act (Chapter 41:01), Eleventh Schedule (PAYE) — https://www.mra.mw/individuals/what-is-pay-as-you-earn-paye
PAYE remittance deadline
By the 14th day of the month following deductionTaxation Act (Chapter 41:01) — https://www.mra.mw/individuals/what-is-pay-as-you-earn-paye
Employer minimum pension contribution
10Pension Act, 2011 — https://workforceafrica.com/malawi-payroll-2025-explaining-paye-tables-and-pensions-for-employers/
Employee minimum pension contribution
5Pension Act, 2011 — https://workforceafrica.com/malawi-payroll-2025-explaining-paye-tables-and-pensions-for-employers/
Order of operations
Employee pension contribution is deducted before PAYE is computedTaxation Act (Chapter 41:01) — https://workforceafrica.com/malawi-payroll-2025-explaining-paye-tables-and-pensions-for-employers/
General social-security payroll tax
No broad-based national social-insurance payroll tax beyond the statutory pension; the contributory pension scheme is the principal payroll-linked contribution ((approx — confirm any sector-specific levies, e.g. skills development/TEVET levy))Pension Act, 2011
TEVET levy (skills development)
1Technical, Entrepreneurial and Vocational Education and Training Act
Pension contribution remittance
Contributions remitted to the licensed pension fund within 14 days of month end ((approx — confirm exact remittance window))Pension Act, 2011
Pensionable emoluments base
Contributions are calculated on pensionable emoluments (typically basic salary plus specified allowances) ((approx — confirm the definition of pensionable emoluments))Pension Act, 2011
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Other Malawi computations in the OpenAccountants Tax Library.