What deductions apply to Saudi salaries?

For Saudi nationals: GOSI (social insurance) at 9.75% of gross salary capped at SAR 45,000/month, plus Saned (unemployment insurance) at 1% capped at SAR 15,000/month. For non-Saudi expats: 2% GOSI for occupational hazards only. There is no personal income tax in Saudi Arabia for salaried employees.

How is net salary calculated in Saudi Arabia?

Net salary = Gross salary - GOSI contribution - Saned contribution. Example: SAR 15,000 gross for a Saudi national = 15,000 - (15,000 × 9.75% = 1,462.50) - (15,000 × 1% = 150) = SAR 13,387.50 net. Non-Saudis do not pay GOSI or Saned on their salary.

What is the GOSI cap of SAR 45,000?

The GOSI contribution is calculated on a maximum of SAR 45,000 per month. If your salary is SAR 60,000, your GOSI is based on SAR 45,000 (45,000 × 9.75% = 4,387.50), not the full 60,000. The excess amount is not subject to social insurance deductions. This cap was established under Saudi labor law.

What are the benefits of GOSI contributions?

GOSI provides: retirement pension at age 60 (male) or 55 (female), disability benefits for total or partial incapacity, death benefits paid to dependents, occupational hazard compensation, and maternity leave allowance (10 weeks). Registration is mandatory for all Saudi employees from their first working day.

Is Saned mandatory for all employees?

Saned (unemployment insurance) at 1% employee + 1% employer is mandatory for Saudi nationals only. Non-Saudi expats do not contribute to Saned. It provides compensation of up to 60% of your registered salary for up to 12 months if you involuntarily lose your job, provided you meet eligibility criteria.

How do housing and transportation allowances affect deductions?

Housing allowance is included in the GOSI calculation base (capped at SAR 3,000 for insurance purposes). Transportation allowance is NOT included in GOSI calculations. So if your basic salary is SAR 10,000 + housing SAR 4,000 + transport SAR 800, your GOSI base is 10,000 + 3,000 (capped) = SAR 13,000, giving GOSI of 13,000 × 9.75% = SAR 1,267.50.

Is there income tax on salaries in Saudi Arabia?

No. There is zero personal income tax on salaries for both Saudi nationals and expats in Saudi Arabia. Non-Saudis who own a business pay 20% corporate tax on business income only. Salaries are completely tax-free. This makes Saudi Arabia one of the most attractive destinations for tax-free income.

🇸🇦 Saudi Salary Calculator

Calculate your net salary after GOSI and Saned deductions — Saudi Arabia

Basic Salary (SAR)

Housing Allowance (SAR)

Transportation Allowance (SAR)

Nationality

All calculations are estimates. GOSI rate: 9.75% (capped at SAR 45,000/month). Saned rate: 1% (capped at SAR 15,000/month). No personal income tax in Saudi Arabia.

📖 Usage Guide

The Saudi Salary Calculator helps you quickly calculate your net take-home pay in Saudi Arabia. Simply enter your gross salary, housing allowance, and transportation allowance to see exactly how much reaches your bank account after all statutory deductions — GOSI social insurance and Saned unemployment insurance. The calculator supports both Saudi nationals and non-Saudi expatriates with different deduction rules.

Saudi Arabia has one of the most attractive salary structures in the Gulf region with zero personal income tax. The main deductions are: GOSI (9.75% for Saudi nationals, capped at SAR 45,000/month) providing pension and insurance coverage, and Saned (1% capped at SAR 15,000/month) providing unemployment insurance. For non-Saudi workers, only a 2% occupational hazard contribution applies through the employer.

How to use: Enter your basic salary, add any housing allowance (up to SAR 3,000 is included in GOSI calculations), and your transportation allowance (not subject to deductions). Select your nationality (Saudi or Non-Saudi) and click Calculate. The tool instantly shows: gross pay, GOSI deduction, Saned deduction, and your final net salary in Saudi Riyals.

Example calculation: A Saudi national earning SAR 18,000 basic + SAR 4,000 housing + SAR 1,000 transportation = SAR 23,000 gross. GOSI base = 18,000 + 3,000 (capped housing) = 21,000 × 9.75% = SAR 2,047.50. Saned = 18,000 × 1% = SAR 180 (using basic salary). Net = 23,000 - 2,047.50 - 180 = SAR 20,772.50.

Why use Adwatak's Saudi Salary Calculator? It runs entirely in your browser — no data uploaded, no registration needed. Completely free with real-time calculations. Use it when negotiating a job offer, planning your monthly budget, or estimating the impact of a salary raise. Available in 5 languages: English, Arabic, Turkish, Indonesian, and French.

❓ Frequently Asked Questions

Answers to the most common questions

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🇸🇦 Saudi Salary Calculator

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❓ Frequently Asked Questions

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