---
name: so-payroll-social
description: "Source-cited draft: payroll & social contributions for Somalia (tax year 2025) — rates, thresholds and rules with primary-source citations. Unverified; pending local-accountant review."
license: "AGPL-3.0-or-later (code) / OpenAccountants Guide License v1.0 (content)"
metadata:
  source: openaccountants
  openaccountants_url: "https://www.openaccountants.com/skills/so-payroll-social"
  jurisdiction: "SO"
  tax_year: "2025"
  last_updated: "2026-07-13"
  review_status: "pending_review"
---

# Somalia Payroll & Social Contributions

## Payroll withholding and social contributions

Employers operate PAYE withholding on employees' monthly salaries and remit to the Inland Revenue Department. Somalia does not yet have a comprehensive, nationally codified social-security contribution scheme; published employer/employee contribution rates are limited and should be confirmed with a local accountant.

- **Payroll withholding (PAYE)** — Employers withhold progressive income tax from gross monthly salary (0% up to USD 200, rising to 18% above USD 1,500) %  _(Inland Revenue Department — PAYE withholding (https://sominvest.gov.so/procedures/tax-regime/))_
- **Remittance deadline** — PAYE and sales tax remitted monthly to the Inland Revenue Department ((approx — confirm))  _(Inland Revenue Department (https://www.revenuedirectorate.gov.so/direct-tax))_
- **Social security scheme** — No comprehensive national social-security / pension contribution scheme is yet uniformly enforced at the federal level ((approx — confirm))  _(Federal Ministry of Finance — Revenue Directorate (https://www.revenuedirectorate.gov.so/direct-tax))_
- **Employer social-security contribution** — No uniformly published statutory employer contribution rate — confirm locally ((approx — confirm))  _(Federal Ministry of Finance — Revenue Directorate (https://www.revenuedirectorate.gov.so/direct-tax))_
- **Employee social-security contribution** — No uniformly published statutory employee contribution rate — confirm locally ((approx — confirm))  _(Federal Ministry of Finance — Revenue Directorate (https://www.revenuedirectorate.gov.so/direct-tax))_
- **Wage base / cap** — PAYE applied to gross monthly employment income; no published cap on the income-tax base ((approx — confirm))  _(Inland Revenue Department — PAYE (https://sominvest.gov.so/procedures/tax-regime/))_
- **Employer registration** — Employers must register with the Inland Revenue Department and obtain a Tax Identification Number to operate payroll withholding  _(Inland Revenue Department — taxpayer registration (Form TR1) (https://www.revenuedirectorate.gov.so/direct-tax))_
- **Payroll currency** — Formal-sector salaries and PAYE bands are commonly expressed in USD  _(Somalia Investment Promotion Office — Tax Regime (https://sominvest.gov.so/procedures/tax-regime/))_

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> **General reference only.** This document does not constitute tax, legal, or
> financial advice. Verify figures against the cited primary sources or with a
> licensed professional before relying on them.

## Today's figures and who stands behind this skill

This file is an AI skill (tax rules your AI follows) from OpenAccountants, copied on 2026-07-13. Rates, thresholds and deadlines change. For the current version of this skill, its official sources and the named accountant (if any) who stands behind it, call `get_skill` with slug `so-payroll-social` on the OpenAccountants connector (https://www.openaccountants.com/connect), or read https://www.openaccountants.com/skills/so-payroll-social. If neither is available, confirm every figure against the official source pages cited above before relying on it.