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Benin Payroll

Benin is a small West African country largely focused on subsistence farming. With borders by Niger, Burkina Faso, Nigeria, Togo, and the Atlantic Ocean, it’s a great access point to other countries. If you’re considering an expansion to Benin, you may be wondering how you’ll set up your payroll, hire employees, and more.

Globalization Partners can answer these questions and more through our suite of global expansion services. When you choose Benin payroll outsourcing with us, you’ll get to use our compliant payroll. As the Employer of Record, we’ll also shoulder all the risk, so you can focus on building a global business.

Benin Taxation Rules and Regulations

Following Benin’s taxation rules and regulations is extremely important to staying compliant. Employees in Benin need to contribute 3.6% of their salary to social security, while employers contribute 15.4%. Employers have additional tax obligations as well, including:

  • 6.4% contribution for pension
  • 9% contribution for family allowance
  • 1-4% contribution for industrial injury assistance

Failing to comply with any tax regulations could result in fines or delays to beginning operations.

Your Benin Payroll Options

Instead of having only one Benin payroll option, your company can choose from several, including:

  • Remote: One option is to use your parent company’s payroll to also pay your employees remotely. Although this solution can help streamline the payroll process, you’ll have to follow different regulations with every country.
  • Internal: An internal payroll can work well for larger companies committed to working in Benin for years to come. However, with this option, you’ll need to employ a large staff and make sure you work with an expert in payroll compliance.
  • Benin payroll processing company: Choosing to work with a Benin payroll processing company will help you outsource your payroll with a local company, but you’ll still be in charge of making sure your company stays compliant.
  • Benin payroll outsourcing with a global PEO: Benin payroll outsourcing through Globalization Partners will ensure you stay compliant and don’t have to worry about payroll. When you work with us, your sole focus can be on growing your company.

Requirements to Set up Your Benin Payroll

You cannot set up your Benin payroll until you have a registered, incorporated entity in the country from which you run your business. It can take months to incorporate, however, and during that time you’ll lose employees you wanted to hire and business relationships you wanted to form. Instead, you can use our established Benin PEO and payroll to work faster.

Necessary Entitlement and Termination Terms

One of the most challenging aspects of a global expansion is figuring out a country’s unique entitlement and termination terms. Adding these requirements to an employment contract can help you stay compliant. You can hire employees using a probationary period of up to three months and terminate a worker for a variety of reasons. Employees should get severance pay based on how long they worked for your company.

Contact Globalization Partners

Globalization Partners will help you make your expansion successful through Benin payroll outsourcing and our other global expansion services. Contact us today to learn more.