Social Fund Contributions Filing

Social Fund Contributions Filing

A company with employees that are working on a regular status is mandatorily required to register its employee/s in the Social Security Department and should remit the social fund shares, both that of the employee and employer. The monthly share made by both the employer and employee is calculated on an equal percentage rate that is applied to the income of the employee. The coverage of the benefits to the employee includes sickness, maternity, disability, death, child allowance, old age and unemployment. The current social fund share rate is 10% (5% employee share, 5% employers share). Remittance of the social fund contributions is made within 15 days of the following month. Failure to do so will incur penalties and summons from the relevant government authorities.