Run payroll with the Egyptian rules

This page applies only to organisations whose country is Egypt. Kluvan works the same everywhere without it.

For an Egyptian organisation, payroll works out salary income tax (Law 91/2005 as amended by Law 7/2024), social insurance (Law 148/2019), the martyrs' fund and end-of-service compensation (Labour Law 14/2025). The tables come pre-filled with published figures and are yours to edit. Have your accountant check the figures before you pay anyone.

Before you start

• HR must be switched on, and you need the HR right Salaries and payroll.
• For the bank file, each person paid by bank needs an Egyptian IBAN on their file.

Steps

Check the rule tables

1. Open HR → Payroll → Payroll rule tables.
2. Under Income tax on salaries, check the bands, the Personal exemption (a year) (EGP 20,000) and the Exemption for a person with a disability or their carer (EGP 30,000). For a new law, select Add a tax table version and set In force from.
3. Under Insurance and pension, check the shares (employee 11 %, employer 18.75 %) and the Insurable wage floor (a month) and Insurable wage ceiling (a month) (EGP 2,700 and 16,700 for 2026). The Other lines hold the martyrs' fund (0.05 % of gross, on) and the emergency fund and universal health insurance (off).
4. Under End of service, check the notice (90 days) and the compensation (2 months a year of service on an open-ended contract, 1 month on a fixed-term contract ended early).
5. Choose the Tax method: Monthly or Cumulative. Select Save.
6. Under Worked example, pick a person and select Show to see every step of their insurance and tax for one month.

Run payroll

7. Open HR → Payroll, fill in New payroll run (From, To) and select Work it out.
8. Check each person's Insurance and tax; select how to see the steps. Then select Mark reviewed, Approve and Finalise.
9. On the finalised run, download Bank file for a bulk transfer (CSV, IBAN) and the Statutory register (Excel or CSV).

Good to know

• Have your accountant check the figures. The tables follow published figures as of October 2026 and are not legal advice.
• The 2027 insurance limits (EGP 3,200 – 19,300) are projected by the law's yearly 15 % rule until the official figures come out. Replace them under Projected limits.
• Switch on universal health insurance only if your governorate has started the new system, with your accountant.
• No bank has confirmed the file yet. Upload a test file with your bank first. People without a valid Egyptian IBAN (29 characters) or paid in cash are left out and listed.
• The register is a plain export of the figures, not an official form. Nothing is filed with the tax authority or social insurance.
• Deductions together never take more than 25 % of the wage, and a loan instalment no more than 10 %.
• When someone leaves, Final settlement (from their file) adds the compensation when the reason is Ended by the employer (no misconduct). There is no gratuity line in Egypt.
• The Attendance and overtime rules start with overtime at 1.35 by day and 1.7 by night, and double pay for a rest day or a public holiday worked. The night window (7 pm to 7 am) is a common reading of the law, not a confirmed one: check it with your adviser.