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Overview
United States dollar (USD)
CURRENCY
Pago Pago
CAPITAL
monthly
PAYROLL FRECUENCY
7
PUBLIC HOLIDAYS
0 to 12.4
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 American Samoa
Employer
Company Payroll Contributions
0% - 6.2%
OADSI
0% - 6.2%
State Health Insurance
0% - 12.4%
Total Employment Cost
Employee
Worker Payroll Contributions
0%- 1.45%
OADSI Worker Income Taxes
0%- 1.45%
State Health Insurance
0% - 2.9%
Total Employee Cost
Employee Income Tax in American Samoa
Worker Income Taxes
27%
Average Tax Rate
Minimum Wage in American Samoa
General
With payroll outsourcing services, you can pay employees a minimum hourly wage in American Samoa. Likewise, the salary depends on the work tasks and is paid as follows:
- Dairy, bottling, and brewing industries are paid $5.49 per hour.
- The construction sector has a payment of USD 5.90 per hour.
- In the financial/insurance sector, they are paid USD 6.29 per hour.
- The processing and canning sector has a payment of USD 5.56 per hour.
- Garment Manufacturing Sector is paid at USD 4.98 per hour.
- The hotel sector has a payment of USD 5.30 per hour.
- In the oil sector workers receive a payment of USD 6.15 per hour.
- The printing sector has a payment of USD 5.80 per hour.
- Educational institutions and private hospitals have a salary of USD 5.63 per hour.
- The information and advertising sector is paid USD 5.93 per hour.
- Retail trade, wholesale trade, and storage sector have a payment of USD 5.40 per hour.
- Government employees are paid USD 5.21 per hour.
- The ship maintenance sector has a payment of USD 5.81 per hour.
- The transportation sector, shipping, shipping agency, lighting, and Class A clearance are paid USD 6.39 per hour.
- Miscellaneous activities are paid at USD 5.0 per hour.
- The transport sector and class B shipping, and fish unloading have a payment of USD 6.22 per hour.
- The transportation sector, sending class C, and other activities have a payment of USD 6.18 per hour.
- Employees in the tourism sector and travel agents are paid USD 5.78 per hour.
$797 Minimum Wage per month
Payroll Contributions in American Samoa
Payroll Cycle
The payment period is monthly and can be arranged with an Employer of Record in American Samoa.
13th Salary
No law encourages payment of the 13th month's salary. Otherwise, with an EOR you can award year-end bonuses that are equal to a 13th-month salary.
Employee Benefit in American Samoa
Visa and work permit in American Samoa
In American Samoa, US citizens can enter the country without the need for a visa. However, they must have a valid passport to enter and exit freely. In addition, citizens of the following countries receive a 30-day permit to stay upon arrival:
- Australia.
- Canada.
- United Kingdom.
- Austria.
- Belgium.
- Denmark.
- Finland.
- France.
- Germany.
- Ireland.
- Italy.
- Luxembourg.
- Netherlands.
- Portugal.
- Slovenia.
- Spain.
- Sweden.
Otherwise, visiting citizens intending to stay for business or vacation will need to apply for an entry visa. On the other hand, foreigners visiting the country will need a passport valid for 6 months.
They will also need a return or connecting ticket, and proof that they have sufficient funds for the length of their stay. On the other hand, people who come from non-exempt countries have to apply for an entry visa for American Samoa. Additionally, with an Employer of record in American Samoa you can hire foreign employees.
VAT in American Samoa
American Samoa has a VAT rate of 20%.
Working Hours in American Samoa
General
In general, employees in American Samoa have a 40-hour work week.
Overtime
In American Samoa, the federal provisions imposed on overtime are governed by the Fair Labor Standards Act (FLSA). Likewise, workers governed by employment laws can receive a payment of 1.50 times the minimum wage per hour. Likewise, the rate is applied for an extra working time greater than 40 working hours per week.
On the other hand, the laws do not require a limit on overtime in a workweek performed by employees over the age of 16. In addition, the regulations do not require companies to pay overtime on Saturdays, Sundays, and holidays. Also, it does not require payment for working overtime on days off unless they have a labor contract that stipulates it.
Similarly, workers outside of labor laws cannot claim a right to overtime pay but you can manage other payments with payroll outsourcing.
Working Week
Monday - Friday
Employee Termination in American Samoa
Termination Process
Generally, employees with a proven service career and with an indefinite contract term can be dismissed for just cause. Likewise, you will be demoted from the job position for different reasons, although in both steps you must have completed the probationary period.
In addition, the employer must notify the human resources director in writing of the reasons for the termination of the employee. Also, the department head or authorized operating official will need to provide the principal with supporting evidence. In the same way, when the human resources director certifies the reasons for dismissal, he will notify the employee in writing.
Therefore, the director will explain to the worker the causes of the dismissal or defrauding of the position. Similarly, the company must bring the action within 30 days after the date of notification. However, after notification, they may ask you for a hearing before the personnel advisory board. In this case, the employee must request within 10 days of the notice period.
In contrast, when the employee does not request the hearing, the removal decision will be final after 30 days of notice.
On the other hand, workers who work with temporary contracts can be dismissed at any time without notice period. In addition, you will not go through the procedures mentioned above imposed on permanent employees. Additionally, with an Employer of Record in American Samoa, you will be able to manage all of these purposes.
Notice Period
The notice periods of 1 week apply to employees who have worked for more than 3 months and less than 1 year.
Severance Pay
HR and payroll outsourcing will facilitate the delivery of compensation and other resources to the workers of a company. Generally, in this territory, workers can receive one week of compensation for one year of service.
Probation Period
Trials for employees with an unlimited career will receive a 1-year trial period. Likewise, you can manage these periods by hiring a PEO.
Employee Leaves in American Samoa
Paid Time Offs
Generally, workers who have around 3 years of service can receive 4 hours of annual vacation for every biweekly pay. On the other hand, employees with more than 3 years and less than 15 years of work receive 6 hours of vacation per fortnight.
However, this does not apply for the last pay period of the year for which they earn 10 hours of annual vacation. In addition, an Employer of Record in American Samoa will efficiently manage each employee's vacation hours. Likewise, the salary corresponds to rest days.
Public Holidays
There are 7 national holidays throughout the year.
Vacation Holidays
There are 4 vacation holidays throughout the year.
Sick Days
PEO services make it easy to provide sick leave to employees who require it. Thus, in this territory, employees are entitled to a 4-hour sick leave for biweekly pay periods. In addition, the calculation of time to grant leave starts from the employee's first pay period.
Additionally, employers grant sick leave in a general way and there is no qualifying period that regulates it.
Paternity Leave
In American Samoa, companies are not required to grant this permit.
Paternal Leave
No law requires companies to provide parental leave.
Other Leave
No other licenses are granted to workers in addition to maternity leave.
Maternity Leave in American Samoa
Pregnant employees can receive 12 weeks of maternity leave. Likewise, the leave is divided into 6 weeks before the birth and 6 weeks after the birth. In this way, you can manage maternity benefits with a Professional Employment Organization.
There are 98 leave throughout the year.