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Overview
Afghani (AFN)
CURRENCY
Kabul
CAPITAL
weekly
PAYROLL FRECUENCY
17
PUBLIC HOLIDAYS
0 to 2
EMPLOYER TAXES
13TH / 14TH SALARY
The 13th Salary in this region is usual and typically given at the end of the year.
Employee and employeer taxation in Afghanistan
Employer
Company Payroll Contributions
- 02%
Employer Contribution
0% - 0%
0% - 2%
Total Employment Cost
Employee
Worker Payroll Contributions
- 2%
Employee Contribution
0% - 2%
Total Employee Cost
Employee Income Tax in Afghanistan
Worker Income Tax:
5,000 to 12,500 AFN: 2%
12,500 to 100,000 AFN: 10% + 150 AFN
Over 100,000 AFN: 20% + 8,900 AFN
Minimum Wage in Afghanistan
General
In Afghanistan, there is no set minimum pay for permanent employees working in the private sector. Nonpermanent private sector workers must make at least 5,500 AFN each month. The monthly minimum wage for permanent government workers is 6,000 AFN. These salaries are according to on a 40-hour workday. Companies use payroll outsourcing to pay the minimum wage in Afghanistan.
$64 Minimum Wage per month
Payroll Contributions in Afghanistan
Payroll Cycle
The payroll cycle in the region is Weekly, Semi-Monthly, Monthly. Companies usually hire Employer of record services to suffice the payments of their employees in Afghanistan.
13th Salary
There is not a 13th salary in Afghanistan according to the Labor Law.
Employee Benefit in Afghanistan
Social security is available to many workers. These funds are frequently a combination of corporate contributions and payroll deductions from the employees. Some businesses decide to cover all of their employees' social security benefits. The post-retirement lives of the employees depend on these savings. In addition to paying employees while they are on the job, businesses may also offer social safeguards to employees.
A worker and their family may be eligible for supplementary social benefits under certain circumstances. In these situations, workers have rights to food allowances, transportation, help finding housing, medical services, help giving birth, a pension for persistent sickness or disability, and financial support equal to ten months' worth of wages for a deceased employee's burial service.
These social precautions are paid for with money from the company's budget. Pension contributions come out of a specific fund within the employer's business. 10 months of wages plus the worker's benefits ought to serve as the minimum amount of financial help for old age retirement.
Visa and work permit in Afghanistan
Afghanistan has a single, MoLSA-issued work visa. Employers must submit a request for an extension to the MOI on behalf of employees who want to renew their work visas.
To be eligible to submit an application for a work visa, a person must fulfill the following criteria:
- Workers must be over the age of 18.
- Workers must be younger than 65 and must not be eligible for retirement.
- Both a medical certificate from the Ministry of Public Health and one from the employee's home country are required.
- Before submitting a work visa application, employees need to secure a stay permission.
VAT in Afghanistan
Afghanistan charges an additional 10% VAT (VAT). With an Employer of Record in Afghanistan or a PEO, companies can deal with tax hassles and more.
Working Hours in Afghanistan
General
In Afghanistan, a typical work week consists of 40 hours split over five days.
Overtime
Workers who work overtime throughout the workweek, on the weekends, or on holidays are eligible for a portion of their base pay. For labor done at night, younger employees are subject to different rules.
Working Week
Sunday to Thursday.
Employee Termination in Afghanistan
Termination Process
Employment may be terminated due to contract expiration, absence from work for more than 6 months, force reduction, or recurrent infractions after disciplinary warnings.
The majority of other terminations are only permitted if it is impossible to transfer the worker to an equivalent position inside the company. Employees must be informed one month in advance of a termination by the employer.
Notice Period
If a fixed-term contract is terminated, the employer must give one month's notice; if an open-ended contract is terminated, the employer must give two months' notice. Any party may end the agreement during the probationary period with immediate effect.
Severance Pay
In a number of situations, employers are required to provide severance compensation for workers, with the amount according to the years of service.
Probation Period
An employment probationary period might be agreed upon by the two contracting parties. The contract may be terminated by either party with three months' notice to the other within this period.
Employee Leaves in Afghanistan
Paid Time Offs
Workers have the right 20 or 30 days of leave per year, according to their age, type of job, and length of service. The majority of workers receive 20 vacation days with pay annually.
Public Holidays
There are 17 national holidays throughout the year.
Vacation Holidays
There are 20 vacation holidays throughout the year.
Sick Days
Each year, staff members receive a total of 20 paid sick days. If an employee is sick for more than 5 days in a row, a doctor's letter or a certificate from a health agency may be necessary.
Paternity Leave
In Afghanistan, paternity leave is not a legal requirement.
Paternal Leave
The Afghanistan law makes no more provisions for parental leave other the ones already stated for maternity leave.
Other Leave
There is nothing in the law about other leave.
Maternity Leave in Afghanistan
There is a right to 90 days of with maternity leave with pay for female employees. The first 30 days are taken prior to conception, while the final 60 days are taken following delivery.
There are 90 leave throughout the year.