South Africa Payroll Guide

Q: How does payroll work in South Africa?

All Employers in South Africa are required to contribute to the Skills Development Levy (SDL) and Unemployment Insurance Fund (UIF). Both schemes require a 1% contribution from the employer. The SDL was founded to fund education and training for the workforce in South Africa.

Q: What are the general employment rules?

Every employee is entitled to 21 days of consecutive leave in each cycle. These 3 weeks are fully paid and are equivalent to 15 working days based on a 5-day working week or 18 working days based on a 6-day working week. Employees are also entitled to 12 public holidays throughout the year, fully-paid.

Q: What about dismissing an employee?

There are minimum notice periods based on the employee’s length of service. For up to six months of employment, only 1 week is required. For six months to one year’s service, 2 weeks are required. For more than one year’s service, a minimum of 4 weeks are required. In addition to the notice period, a minimum of one week’s pay per one year of service will be required as remuneration for a standard dismissal. In some instances no severance pay is required.

Hire employees in South Africa

Currency

South African Rand (ZAR)

Population

59,622,350

Capital

Pretoria

Official language(s)

English and 10 others

Date format

dd/mm/yyyy

Fiscal year

1 April - 31 March

Why use PeoplePay?

Guaranteed Compliance

Robust, compliant payroll and hiring supported by a dedicated Account Manager.

Local Expertise

Avoid international payroll and hiring pitfalls including language barriers, regulations and employment laws.

Lower Costs

Reduced administration, no need for an in-country team, and consolidated, outsourced payroll.

South Africa Payroll

Get peace of mind with a streamlined, fully-managed payroll solution for 1+ employees.

South Africa HR

Helping you hire compliantly, steering you through the local HR laws and regulations.

South Africa Payments

Consolidated, one-wire transfers to cover your entire global workforce – at competitive rates.

South Africa Payroll & HR Solutions

PeoplePay Global are here to assist with all your Payroll and HR requirements in South Africa

In-Country Employment Contracts

Creation of locally-compliant South African employment agreements, ensuring you and your employees are protected in-country. Our experts in South Africa will create your bespoke agreement.

Payroll Processing

With global knowledge and local proficiency, we provide a fully-managed payroll solution that handles all the complex tasks, leaving you to focus on your business.

Tax and Labor Law

South Africa’s complex legislation can be daunting. Our in-country specialists are an extended member of your team, steering you safely through tax and labor law.

Regulatory Compliance

Our in-country professionals provide a wealth of experience and expertise in Payroll & HR compliance, ensuring your venture complies with ever-changing legislation.

Start-Up Implementation

We’ll ensure you’re operational promptly in accordance with local law, advising on the best route for your business, whether it’s via a legal entity or foreign registration.

Declarations and Audits

Our local specialists will manage and submit annual declarations on your behalf, guaranteeing accurate and prompt reporting to the authorities and also providing support for audits.

To discuss your individual needs get in touch today

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Frequently Asked Questions