Trinidad and Tobago is a dual-island country in the Caribbean with Creole traditions and food. Trinidad's capital is the Port of Spain, and the island is home to various bird species. Tobago...
Read MoreTrinidad and Tobago is a dual-island country in the Caribbean with Creole traditions and food. Trinidad's capital is the Port of Spain, and the island is home to various bird species. Tobago is the smaller island and it's known for the Tobago Main Ridge Forest Reserve and beaches.
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Trinidad and Tobago is a dual-island country in the Caribbean with Creole traditions and food. Trinidad’s capital is the Port of Spain, and the island is home to various bird species. Tobago is the smaller island and it’s known for the Tobago Main Ridge Forest Reserve and beaches.
If you’re considering an expansion to Trinidad and Tobago, one of the first things you need to set up is your payroll. You must consider the various Trinidad and Tobago payroll options, choose the one that best fits your needs, and be sure to stay compliant. Globalization Partners can help through Trinidad and Tobago payroll outsourcing. Add your employees to our existing payroll to start working quickly without worrying about navigating regulations.
Employers and employees must pay the correct taxes in Trinidad and Tobago. Employers are required to contribute 8% to NIS and 6.23% to the Pension Fund. Employees also contribute to NIS and the Pension Fund at 4% and 3.11%, respectively. Income taxes run under a Pay As You Earn (PAYE) system, and employees are not taxed on their first TT$ 90,000 (as of January 2023). Excess salary is taxed at 25% if the chargeable amount is below $1 million annually. Any income above that is taxed at 30%.
You have four different Trinidad and Tobago payroll options to choose from when expanding:
If you choose not to outsource your payroll, you will need a registered subsidiary in the country. The subsidiary structure gives you the authority to run payroll, hire employees, provide compensation and benefits, and more. However, most companies need months or even a year to establish a subsidiary and learn all the applicable laws. Contracting Globalization Partners instead will help you expand quickly since you can use our existing subsidiary to work in Trinidad and Tobago.
Knowing the right entitlement and termination terms in Trinidad and Tobago is important before hiring employees. You must give all employees one month’s notice of termination, and employees need to give you two weeks’ notice in a written resignation letter. Employees who have worked for your company between one to five years should get two weeks of pay for every year employed. Each year beyond five years of work requires three weeks of severance pay.
Choosing Trinidad and Tobago payroll outsourcing with Globalization Partners is the fastest and easiest way to work in the country. Contact us today for more information.
THIS CONTENT IS FOR INFORMATIONAL PURPOSES ONLY AND DOES NOT CONSTITUTE LEGAL OR TAX ADVICE. You should always consult with and rely on your own legal and/or tax advisor(s). G-P does not provide legal or tax advice. The information is general and not tailored to a specific company or workforce and does not reflect G-P’s product delivery in any given jurisdiction. G-P makes no representations or warranties concerning the accuracy, completeness, or timeliness of this information and shall have no liability arising out of or in connection with it, including any loss caused by use of, or reliance on, the information.
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