PIFSS (Public Institution for Social Security)

Meaning

The Public Institution for Social Security (المؤسسة العامة للتأمينات الاجتماعية) insures Kuwaiti nationals only; an expatriate pays nothing to it and costs the employer nothing there. Contributions come in layers: basic insurance on salary up to KWD 1,500, supplementary insurance on the part up to KWD 2,750, pension increase, financial reward and unemployment insurance, each with its own rate and ceiling.

On a salary below KWD 1,500 that is 10.5% from the employee and 11.5% from the employer. A month's contributions are due at the start of the next month; paying more than ten days late adds 1% a month, and not registering a worker within ten days of joining adds 10%.

Also called: Public Institution for Social Security · Kuwait social security · PIFSS contributions

Example

A Kuwaiti accountant at Al Safat Trading W.L.L. earns KWD 1,200.000 a month. The PIFSS takes KWD 126.000 from the employee's pay and KWD 138.000 from the employer, both paid at the start of the next month.