Tax & complianceEmployer Cost in Egypt 2026: Social Insurance, Health Insurance and Salary Tax for a Hotel EmployeeWhat a hotel employee in Sharm El Sheikh costs the employer in 2026: social insurance at 18.75% and 11% on an insurable…
Accounting · Sharm El Sheikh
Payroll Services in Egypt:
Salary Tax and Social Insurance
Every employer in Egypt withholds salary tax and pays social insurance: 11% from the employee and 18.75% from the employer. Most also file Form 4 each quarter, and all of them settle the year in January. In South Sinai, Universal Health Insurance adds 4% for the employer and 1% for the employee. Our payroll services in Egypt cover every step, from Office 314 in Sharm El Sheikh.
- Chartered Accountant (محاسب قانوني)
- Rates checked October 2026
- Arabic, English, Italian, Russian
01What's included
What our payroll services in Egypt cover
The same team runs your payroll and keeps your books, so the salaries in your Form 4 returns match the salaries in your accounts.
01Social Insurance registrationWe register the business with the Social Insurance office where it is not yet registered, then open or update a file for every employee.
02The monthly payroll runGross to net for each employee: salary tax withheld, social insurance and health insurance shares, the Martyrs' Fund contribution and a payslip.
03Starters and leaversNew staff are registered when they join and taken off when they leave, so the Social Insurance record follows the real headcount through the season.
04Form 4 and the January settlementWe file the quarterly payroll return in January, April, July and October, and reconcile each employee's tax for the year every January.
05Foreign staff filesWork permits, Ministry of Tourism approvals for tourism employers and the social insurance check for each foreign employee.Work permits for foreign staff06Payroll in your booksSalary costs posted to your accounts and matched with the payments from your bank, ready for the year-end statements.Accounting and bookkeeping02Process
How we take over your payroll
Timing depends on the state of your registrations and documents, so we give you a date range once we have seen your file, never a fixed promise.
- 01
Look at what you have
Headcount, contracts, the current salary sheet, existing social insurance registrations and the Form 4 returns already filed.
- 02
Register or put right
We register the business with the Social Insurance office if needed, add employees who are missing and correct wages recorded at the wrong level.
- 03
Set up the payroll
Pay items, the EGP 20,000 personal exemption, the 2026 contribution limits, Universal Health Insurance and your payslip format.
- 04
Run it every month
Gross to net for each employee, payslips, the list of salary payments and the amounts due to the Tax Authority and the Social Insurance office.
- 05
File Form 4
We prepare and file the quarterly payroll return and keep the filing receipt in your file.
- 06
Settle the year
The January settlement reconciles each employee's tax for the year, second jobs included, and the payroll feeds your year-end statements.
Under the Law 6/2025 simplified regime there is no Form 4: the January settlement is the only payroll filing.
03Why us
Why clients in Sharm choose us
Payroll, Salary Tax and Social Insurance in Egypt, handled by one chartered accountant from your first question to the final registration. As a payroll company in Egypt, we handle Egypt payroll tax and social insurance; payroll in Egypt is filed every month. Related guides: Employer Cost in Egypt 2026, Egypt Income Tax Rate 2026.
+100 businesses servedHotels, restaurants, dive centres, shops and investors in Sharm El Sheikh trust us with their files.
A chartered accountant on your fileYour file is prepared and followed by a Chartered Accountant (محاسب قانوني) and tax expert.
On the ground in SharmOffice 314, Al Azizia Mall, close to the authorities your file goes through. Open every day, 09:00–23:00.
Four languagesArabic, English, Italian and Russian, with the same facts in each.
09FAQ
Payroll and social insurance in Egypt: questions
What are the social insurance rates in Egypt in 2026?
As of October 2026, the employee pays 11% and the employer 18.75%, both on the insurable wage, which for 2026 runs from EGP 2,700 to EGP 16,700 a month. Pay above EGP 16,700 attracts no further social insurance. In South Sinai, Universal Health Insurance adds 4% for the employer and 1% for the employee on top.
How much of a salary is tax-free in Egypt?
Each employee has an annual personal exemption of EGP 20,000, and the first EGP 40,000 of taxable income is taxed at 0% under Law 7/2024. Rates then rise in steps from 10% to 27.5%. Above EGP 600,000 of annual net income the lower bands are withdrawn, so the 0% band no longer helps high earners.
What is Form 4, and when is it due?
Form 4 is the quarterly payroll tax return that employers file with the Egyptian Tax Authority in January, April, July and October. The annual payroll settlement, which reconciles each employee's tax for the year, is also due in January. Businesses under the Law 6/2025 simplified regime file only that settlement. Deadlines falling on official holidays are extended.
Does Universal Health Insurance apply to employers in Sharm El Sheikh?
Yes. Universal Health Insurance is live in South Sinai, which includes Sharm El Sheikh, Dahab and El Tor. Employers contribute 4% and employees 1%, on top of social insurance. There is also a solidarity contribution of 0.25% of revenue, now deductible for tax. When we run your payroll, the 4% and 1% are built in from the first month.
Do foreign employees pay social insurance in Egypt?
Yes. Social insurance applies to foreign staff, and their salaries run through the same payroll as everyone else's. How each foreign employee is registered depends on their situation, so we check it person by person. Before any of that comes the work permit under Labour Law 14/2025; foreigners exempt from it must be notified within 7 days of starting.
Related
Related services and sectors
AccountingAccounting and bookkeepingMonthly books, VAT and year-end statements, with your payroll posted into them.Accounting servicesResidencyWork permits for foreign staffLabour Law 14/2025 permits, Ministry of Tourism approvals and foreign-staff limits.Work permitsSectorHotels and resortsLicensing, 14% VAT, entertainment tax and payroll for hotels in Sharm El Sheikh.Hotel licensing and taxSectorDiving centresCDWS cards, Ministry of Tourism staff approval and the payroll of a dive team.Open a dive centreSectorRestaurants and cafésTourist or non-tourist licence, VAT and staff for restaurants and cafés in Sharm.Open a restaurantTaxCorporate and personal tax returnsAnnual returns and the deadlines that sit alongside Form 4 and the January settlement.Tax returns
Guides on payroll and salary tax
Tax & complianceEmployer Cost in Egypt 2026: Social Insurance, Health Insurance and Salary Tax for a Hotel EmployeeWhat a hotel employee in Sharm El Sheikh costs the employer in 2026: social insurance at 18.75% and 11% on an insurable…
Tax & complianceEgypt Income Tax Rate 2026: The Brackets and the EGP 20,000 Salary ExemptionEgypt taxes individuals at 0% to 27.5% in seven bands under Law 7/2024, after an EGP 20,000 exemption for employees. The 2026…Free consultation
Tell us about your case. The first consultation is free
Send us a few lines on WhatsApp or call. During office hours (09:00–23:00, every day) we reply the same day, in Arabic, English, Italian or Russian.
Send us your payroll question
No company name needed. Tell us where you operate and roughly what your payroll looks like today, and we tell you where you stand.