Overview

Capital
Kuwait City
Currency
Kuwaiti Dinar (KWD)
Date Format
dd/mm/yyyy

Taxes

Employer

Employer Payroll Tax

11.0%
Pension
0.5%
Unemployment
11.5%
Employee

Employee Payroll Taxes

10.0%
Pension
0.5%
Unemployment
10.5%
Employee

Employee Income Tax

There is no personal income tax in Kuwait.
Employer Taxes
3 HIGHEST
3 LOWEST
Brazil
China
Slovakia
Kuwait
South Africa
Georgia
Macedonia
82.39%
41.12%
37.2%
11.5%
2%
2%
0%
Employee taxes
3 HIGHEST
3 LOWEST
Romania
Macedonia
Netherlands
Kuwait
Georgia
Belarus
Ukraine
45%
28%
27.65%
10.5%
2%
1%
0%

Minimum Wage

General

75 KWD per month in the private and oil sectors.  

Minimum wage (per month)
$4000
$2663
$2491
$245.29
$47
$36.80
$2.33
Geneva
Luxembourg
Australia
Kuwait
Malawi
Angola
Venezuela
3 HIGHEST
3 LOWEST

Payroll

Payroll Cycle

Monthly 

13th Salary

No 13th salary.

Working Hours

General

Kuwaiti law defines the maximum workweek at 48 hours/6 days a week at 8 hours per day. Most companies work 5-day weeks, with Friday and Saturdays off. Those working 6 days get Friday off.  

During the month of Ramadan, the working hours are reduced to 6 per day.  

Employees are entitled to a one-hour break after working five straight hours. The hour is not part of the day’s work.  

Overtime

Overtime should not be more than 2 hours per day, 3 days per week, or 90 days a year. It pays 1.25x regular salary.  

Working on a Friday earns 1.5x regular salary and a compensatory day off.  

Working on a national holiday earns 2x regular salary.  

Leave

Paid Time Off

The minimum paid leave is 30 days, beginning after 9 months of service.   

An employee working for the same employer for two consecutive weeks is entitled to 21 days leave with pay to perform Al-Hajj, as long as the employee has never performed it before.  

Vacation days
Public holidays
3 HIGHEST
3 LOWEST
Brazil
Peru
Albania
Kuwait
Michigan
China
Federal
30
13
43
30
12
42
28
14
42
30
8
38
2
11
13
5
7
12
10
10
Public Holidays

8 public holidays consisting of 13 days off.

Sick Days

After the employee provides a written medical report from a doctor:  

15 days at full pay 

10 days at ¾ pay 

10 days at 1/2 pay 

10 days at 1/4 pay 

30 days without pay. 

Maternity Leave

70 days paid, and up to 4 additional months unpaid.

PAID MATERNITY LEAVE (DAYS)
410
365
365
70
45
30
0
Bulgaria
Serbia
Albania
Kuwait
United Arab Emirates
Tunisia
Federal
3 HIGHEST
3 LOWEST
Paternity Leave

There is no paternity leave. 

Parental Leave

There is no parental leave.

Other Leave

Bereavement Leave:

Three days paid leave in the event of the death of first or second-degree relatives.  

A Muslim woman whose husband dies is entitled to a fully paid leave for four months and ten days. A non-Muslim woman is entitled to 21 days of paid leave.

Termination

Termination Process

Termination requires 3months’ notice from either side for employees with a monthly salary or one month for all others.  

A contract can be terminated without notice or compensation in the event that the employee caused significant monetary loss, committed fraud, or disclosed secrets that led to losses. 

Notice Period

3-months’ notice from either side for employees with a monthly salary or one month for all others.

Severance Pay

Employees paid on a monthly basis receive 15 days remuneration for each year of employment at the company up to 5 years and a month for each after that, up to a limit of 1.5 years of salary.  

Employees paid by the hour, day, or week receive 10 days’ salary for each year of employment at the company up to 5 years, and 15 days for each year after that, up to 1 year of salary 

Probation Period

A probation period can be no longer than 100 days. 

VAT

General

No VAT

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