GOSI (General Organization for Social Insurance) is the Saudi government body managing mandatory social insurance. Employers and employees contribute monthly from each Saudi national’s salary. Funds cover retirement pensions, work-related injuries, and unemployment insurance (SANED).

System A (hired before July 3, 2024): employees 9.75%, employers 11.75%. System B (hired from July 3, 2024): same starting rates, escalating each July until reaching 11.75% EE / 13.75% ER in July 2028. Expatriates: only a 2% occupational hazard fee paid by the employer — no employee deduction.

No. Expatriates are exempt from GOSI pension and SANED contributions. The employer pays a 2% occupational hazard premium on the expat’s insurable salary. No amount is deducted from the employee’s pay.

A dual-rate system was introduced from July 3, 2024. Employees registered before that date remain on fixed System A rates. New hires fall under System B, which starts at the same rates but increases the annuity contribution by 0.5% per side each July, reaching full rates in July 2028.

Insurable salary is basic salary plus housing allowance only. Maximum: SAR 45,000/month. Minimum: SAR 1,500/month. Any amount above the cap is excluded from the GOSI calculation.

Annuity rises +0.5% per side each July: 9% (2024) → 9.5% (2025) → 10% (2026) → 10.5% (2027) → 11% (2028). Including occupational hazard (2% ER) and SANED (0.75% each), total rates go from ER 11.75% / EE 9.75% in 2024 to ER 13.75% / EE 11.75% in 2028.

Yes. All private-sector employers in Saudi Arabia must register with GOSI and make monthly contributions for every Saudi national on payroll. Non-compliance results in penalties, fines, and restrictions on government services. Expat employees must also be registered for occupational hazard coverage.