payroll outsourcing Services In Saudi Arabia: Accurate, Compliant, and Hassle-Free
HRBS offers expert payroll outsourcing services in Saudi Arabia, ensuring accurate salary calculations, timely payments, and full compliance with local labor laws and tax regulations. From managing payroll processing and tax filings to handling social security contributions, we take care of all aspects of payroll to reduce legal risks and administrative burdens.
Our team stays updated on regulatory changes to ensure your payroll processes remain error-free and compliant. With HRBS, your employees are paid accurately and on time, while your business stays compliant with Saudi employment regulations. Trust our services to simplify your payroll operations and focus on achieving your business objectives with confidence.
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A quick look at Saudi Arabia
Population
36.95 million
Languages
Arabic (official), English widely spoken
Current GDP
USD 1.068 trillion
Currency
Saudi Riyal (SAR)
Saudi Arabia’s highly skilled, diverse workforce drives innovation, making it a top destination for talent and investment in the Middle East.
78%
Candidates submitted by HRBS that receive client interviews calls
82%
HRBS candidates interviewed by clients who receive offers
5/5
Average HRBS Rating on Clutch and Google
100+
Projects Done
Trusted By
Our Payroll Outsourcing Services
Efficient payroll management in Saudi Arabia requires compliance with local labor laws and tax regulations. Our services ensure accurate salary processing, timely payments, and reduced administrative burdens.
Payroll Management
Outsource your payroll to a trusted provider and enjoy hassle-free payroll management in Saudi Arabia. With expertise in local labor laws and tax regulations, we handle salary processing, tax filings, and social security contributions, ensuring accurate and timely payments. Our services reduce administrative burdens and minimize compliance risks, allowing your business to operate smoothly and efficiently.
Time & Attendance Tracking
Track employee hours effortlessly with our advanced time and attendance tracking system in Saudi Arabia. Designed to integrate with payroll processing, our system ensures accurate salary calculations and timely payments. Automate attendance management to minimize errors, improve compliance with local labor laws, and enhance overall efficiency for your business. Gain real-time insights into attendance data to make informed workforce decisions
Tax Management
Ensure full compliance with Saudi Arabian tax regulations, including corporate tax and payroll tax obligations, through our expert tax management services. We manage tax filings, reporting, and updates on any changes to local tax laws, reducing the risk of penalties. Our services help streamline your payroll process, ensuring timely and accurate tax payments while maintaining legal compliance for your business in Saudi Arabia
Payroll Compliance
Stay on top of legal requirements with our payroll compliance services in Saudi Arabia. We monitor regulatory changes, including Saudi labor law and social insurance regulations, and implement necessary adjustments to keep your payroll operations compliant. Our expert team helps mitigate the risk of non-compliance, ensuring your business remains up-to-date and avoids penalties.
Employee Self-Service Portals
Enhance transparency and employee satisfaction with our user-friendly self-service portals. Employees can easily access their payroll details, including payslips and tax documents, anytime, improving engagement and fostering trust within your team. Our portal streamlines communication and empowers employees to manage their information independently, boosting overall workplace efficiency.
Reporting & Analytics
Streamline your year-end reporting with our specialized services. We ensure accurate tax report preparation, timely filings, and compliance with Saudi regulations, minimizing your workload and reducing the risk of errors. Let us take care of the details, so you can close the year confidently and stay prepared for the next. Our team also provides insights to help you improve financial planning and performance for the upcoming year.
Everything you need to know about Payroll in Saudi Arabia
Effective payroll management in Saudi Arabia is crucial for businesses to ensure legal compliance and smooth operations. This guide outlines key payroll components, regulations, and best practices for managing payroll in Saudi Arabia.
Currency and wage regulations
Ensure compliance with Saudi Arabia’s wage regulations by staying updated on labor laws and adjusting payroll practices. This helps maintain accurate employee compensation and minimizes potential legal risks.
Process we follow
At HRBS, we follow a clear process to ensure timely and accurate payroll processing in Saudi Arabia. Our system manages tax compliance, employee benefit deductions, and payroll calculations, all while fully adhering to Saudi labor laws
Currency: The official currency in Saudi Arabia is the Saudi Riyal (SAR). All wages and salaries paid to employees must be in SAR, ensuring clarity in financial transactions and aligning with Saudi employment regulations. Businesses must process payments in SAR to stay compliant with local financial standards and avoid potential penalties.
Data Collection and Verification: We gather and validate all essential employee information, including working hours, bonuses, and deductions, to ensure full compliance with Saudi payroll regulations. This process enables accurate salary calculations and prevents any potential discrepancies in employee compensation.
Minimum Wage: While Saudi Arabia does not have a national minimum wage law, employers are expected to offer competitive salaries that align with industry standards. Pay rates differ based on factors like job role, industry, and experience. To remain competitive and attract top talent, businesses must ensure their compensation packages meet employee expectations and reflect the region’s cost of living.
Payroll Calculation and Tax Compliance: We ensure accurate payroll calculations, covering salaries, tax deductions, and required contributions like social insurance and pension schemes in Saudi Arabia. Our payroll specialists stay current with Saudi tax regulations, including Zakat and social security, to help your business avoid penalties and ensure accurate tax filings. We also monitor changes in Saudi labor laws to guarantee ongoing compliance.
Payroll and Bonuses Cycle: In Saudi Arabia, the standard payroll cycle operates on a monthly basis, with employees typically receiving their salaries at the end of each month. Although a 13th-month bonus is not required by law, many businesses offer annual bonuses or performance-based incentives to enhance their compensation packages and motivate employees.
Payroll Distribution and Reporting: After payroll is processed, we ensure employees are paid on time and provide detailed payroll reports. These reports outline deductions, benefits, and net pay, offering full transparency and maintaining accurate financial records for your business in Saudi Arabia. This ensures compliance with Saudi labor laws and simplifies tax reporting and auditing processes
Taxes in Saudi Arabia
Saudi Arabia has a straightforward tax system for businesses and employees. Below is an overview of the key taxes that businesses need to consider when operating in the Kingdom, ensuring compliance with Saudi tax laws and regulations.
Taxable Income (SGD)
Income Tax Rate
Corporate Income Tax
20% on profits for foreign businesses operating in Saudi Arabia. Local businesses are taxed under the Zakat system.
Withholding Tax
5% on payments made to non-residents for services or royalties within Saudi Arabia.
Zakat
2.5% on the net worth of businesses, including profits and assets.
Value Added Tax (VAT)
15% VAT on most goods and services. Businesses exceeding the VAT registration threshold must file VAT returns quarterly.
Social Insurance (GOSI)
Employers contribute 9% of employee wages to the General Organization for Social Insurance (GOSI), covering pensions, medical, and disability benefits.
Real Estate Tax (Property Tax)
A 5% tax on the annual rent of real estate properties in Saudi Arabia for commercial properties.
Excise Tax
Applied to specific goods such as tobacco, sugary drinks, and energy drinks. Rates vary between 50% to 100%.
Municipality Tax
A tax levied by local municipalities, often on commercial properties, based on the annual rental value.
Why choose HRBS for Payroll Outsourcing in Saudi Arabia?
Outsource your payroll management to HRBS and ensure your business stays compliant with Saudi Arabia’s labor laws, minimizing the risk of costly penalties. We handle everything—from accurate salary calculations to tax filings, ensuring timely payments to your employees every time. With HRBS, you simplify payroll processing. Our expert team takes care of all aspects, including employee deductions, social insurance contributions, and tax filings, so you can concentrate on your core business activities. We also provide detailed payroll reports to give you complete visibility into your financial responsibilities.
Our payroll services are designed to save you time, reduce operational costs, and reduce errors. Choose HRBS for hassle-free payroll management in Saudi Arabia, ensuring your operations run effortlessly, while you direct your energy towards driving innovation and achieving your business goals.
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Payroll experts
Looking for expert payroll outsourcing services in Saudi Arabia? Connect with our payroll experts today to simplify your payroll processing and focus on driving business growth.
Frequently asked questions
Find answers to the most frequently asked questions about our Payroll Outsourcing Services in Saudi Arabia. Have more questions? Feel free to ask us directly!
We provide a full range of payroll services in Saudi Arabia, including payroll processing, tax compliance, social insurance management, year-end reporting, and employee self-service portals.
Outsourcing your payroll to HRBS helps minimize compliance risks, saves time, and reduces errors. This allows you to focus on core business objectives while ensuring accurate and timely payroll processing.
Our transition process is smooth and seamless. We assist with data migration and offer dedicated support to ensure your payroll operations switch without disruption.
Our experts stay up to date with Saudi Arabian payroll regulations, ensuring your business remains fully compliant with all labor and tax laws.
Our pricing is customized based on your specific needs and the size of your business. Contact us for a tailored quote.
Yes, we offer flexible temporary payroll services to accommodate peak seasons or short-term projects.
HRBS is a trusted payroll service provider in Saudi Arabia due to our personalized service, expertise in local payroll laws, and commitment to client satisfaction. We ensure that your payroll services run smoothly and efficiently.
