Saudi Arabia Employee Cost Calculator

Enter the employee's salary and nationality to see their full cost to the company each month and year, item by item.

Prepared and reviewed by the Mustahaqati team · Last updated: 2026-11-03

Calculate the employee's cost

Employee nationality

Basic salary (monthly, SAR)

Housing allowance (monthly)

Other allowances (monthly)

Medical insurance (yearly)

Years of service Sets the end-of-service provision rate.

First GOSI registration

Expats vs Saudis in the company

Iqama fee

Annual air ticket (if in the contract)

What goes into employee cost in Saudi Arabia

Item	Saudi	Expat
Employer GOSI share	11.75% (9% pension + 2% hazards + 0.75% SANED), slightly higher for new registrants	2% occupational hazards
GOSI wage base	Basic plus housing, capped at SAR 45,000 a month
Expat levy	—	SAR 800 or 700 a month
Work permit and iqama	—	SAR 100 + 650 (or 500) a year
End-of-service provision	Half a month per year for the first five years, then a month

Example: an expat on SAR 6,000 basic, 1,500 housing and 500 other allowances, more expats than Saudis, SAR 2,500 medical insurance, in the first year: salary 8,000, hazards 150, levy 800, permit and iqama 62.50, insurance 208.33 and end-of-service provision 333.33, about SAR 9,554 a month, or 19% above salary.

Prefer Arabic? Use the Arabic version of this calculator.

Frequently asked questions

What does a Saudi employee cost the employer beyond salary?

The employer's GOSI share: 9% pension (for those insured before 3 July 2024), 2% occupational hazards and 0.75% SANED, i.e. 11.75% of basic salary plus housing allowance up to SAR 45,000, plus the end-of-service provision and medical insurance.

What does an expat employee cost the company?

On top of salary: 2% occupational hazards on basic plus housing, the expat levy of SAR 800 a month if expats outnumber Saudis (SAR 700 otherwise), the SAR 100 annual work permit fee, the iqama fee, medical insurance and the end-of-service provision.

How much is the monthly end-of-service provision?

The award is half a month's wage per year for the first five years and a month per year after, so the monthly provision is about wage ÷ 24 in the first five years and wage ÷ 12 after, on the last actual wage.

Can the employer charge the iqama or levy to the employee?

No. Article 40 of the Labor Law makes the employer pay the iqama and work permit fees, their renewal and late fines, and the costs of changing profession and the worker's exit and re-entry visas.

Sources

Figures and formulas on this page were last reviewed on 2026-11-03.