You must have a GOSI contract to qualify for Saudi Arabia social insurance benefits. Additionally, you should know that both workers and employers must be aware of the obligation to contribute to this insurance. This way, workers and companies can maintain compliance with the labor regulations of the country.
In this article, we will show you in detail the GOSI contract check and how it helps workers. In the same way, you will be able to know what the contribution percentage of employees and employers is.
What is GOSI calculation in Saudi Arabia?
First of all, you should know what is GOSI, or General Organization of Social Security, is. It is an organization of the Saudi government that is responsible for applying the Social Security law. Likewise, its main objective is to collect contributions from employers of each company or business. This way, the employee has social and legal security coverage in the country.
In addition, this organization is also responsible for the legal payment of benefits, both to policyholders and their families. Regarding the calculation of GOSI, it is the calculation made on the base salary that an employee earns monthly plus housing allowances. Similarly, this calculation is for companies in both the private and public sectors.
Methods used to calculate GOSI
There are two types of GOSI contract calculations in the country, depending on what kind of worker you are. Next, you will see this type in detail below:
- The GOSI Calculation for Saudi Citizens
- The GOSI calculation for expatriates
GOSI calculations for Saudi citizens
Workers and employers in Saudi Arabia must make corresponding contributions in monthly cycles. The payment consists of a percentage of the salary received by the employee and also a percentage provided by the company. In this case, it consists of 22% of the salary and the housing subsidy. Likewise, this 22% distribution will be as follows:
- Charged to the employee for pension 9%
- Collected from the employer on account of the annuity or pension for 9%
- On account of the unemployment contribution of 1%
- By the employer, collected for the 1% unemployment contribution account
- Charge by the employer for occupational risks 2%
GOSI Calculation for Expats
In this case, the person responsible for collecting the GOSI Saudi contribution will be the employer, for 2% of the income. In addition, it will be based on salary and housing allowance, whose contribution range will be between SAR 400 and SAR 45,000.
How to register GOSI Saudi Arabia
To track contribution deposits, as an employer, you must register on the GOSI website. In the same way, you can obtain the printed certificate if required. Below, you will see the detailed steps to register the GOSI contract simply:
- Enter the platform of this organization in the GOSI online registration
- Now, select the type of beneficiary from the three options that will appear (collaborator, establishment, or hospital)
- Select REGISTER
- Enter your details such as Iqama number, password, phone number, and email address
- Click CONTINUE to receive a verification code on the phone number entered in the previous step.
- Finally, validate your data by entering the code you will receive and complete your registration in the system.
Saudi GOSI contribution certificate
Any taxpayer who has completed the GOSI register can obtain a certificate proving their contributions. Thus, the said certificate contains the salary received by the worker, as well as the duration of the contributions. To obtain it, you can enter the GOSI electronic services portal and follow the steps indicated below:
- Log in to the GOSI website with your username and password.
- Then, enter your account details.
- Click on CERTIFICATE ISSUANCE.
- Next, you must select the type of certificate (TERMS AND SALARIES OF THE SOCIAL SECURITY OF TAXPAYERS).
- Lastly, you can download the GOSI certificate.
GOSI certificate printing
It is also possible to print your GOSI certificate easily on the same website as this government agency. Also, you can print the certificate in the following way:
- Enter the GOSI website
- Then, you must select INDIVIDUAL
- Log in using your account through the Nafath app
- Click on CERTIFICATE AND LETTERS
- Next, select RELEASE CERTIFICATE so that the system will do it
- At this point, you can download the certificate }
Likewise, you will have the possibility of sending the said certificate to your employer through your email.
Download from GOSI contract
You can obtain a copy of your employment contract through the GOSI website, as it must be on the website for review by the authorities. Below, you can see how to download your contract through the web:
- Enter the GOSI portal
- Select INDIVIDUAL
- At this point, log in with your personal account
- Select CONTRIBUTION HISTORY
- Then click on SALARY HISTORY
- Next, you must select CONTRIBUTION SUMMARY
- Next, you will need to search for CONTRACT INFORMATION
- To finish click on PDF to download your contract.
Benefits of GOSI Contract in Saudi Arabia
As we have mentioned previously, the objective of the GOSI contract is to offer taxpayers and family members the benefit of social security. In this sense, the said insurance supports workers and family members in the following cases:
- Work-related injuries
- Medical expenses
However, to obtain these benefits the worker must have made contributions to GOSI Saudi Arabia for a certain period. This time is commonly 1 year and the benefits will depend on the salary, and duration of the contribution, among others. Therefore, both Saudis and expatriates will receive the benefits that we will detail below:
The Saudi social insurance law establishes that citizens who have had an occupational risk will receive comprehensive treatment. These services include diagnosis, medications, treatments, supplies, and medical prostheses and will be for as long as the individual needs them. Thus, the cases that are eligible for these benefits are:
- Accidents suffered by the employee at work or of which they were a consequence.
- Accidents suffered on the way from your residence to your place of work and vice versa, or on the way from your place of work to the place where you pray, where you eat, or vice versa.
- Any accident suffered by the taxpayer when traveling to perform tasks delegated by the employer.
- Taxpayer illnesses caused by the work carried out in the company.
- When the taxpayer suffers from any of the diseases listed in those considered professional.
The GOSI contract also guarantees that a worker who is temporarily disabled due to a work-related accident receives an allowance. In addition, this subsidy can be up to 100% of the daily salary of workers for each day of disability. However, the said subsidy will be 75% of the salary if the treatment expenses of the employee are covered by GOSI.
However, the subsidy only applies to people who have suffered an accident and have been admitted to the hospital or on sick leave.
Death or Permanent Disability
Survivors of a deceased taxpayer may receive a pension in some of the following cases:
- Due to the death of a pensioner who has a retirement or non-professional disability.
- If the person began making contributions before turning 50 but meeting one of two conditions. Thus, you must have made contributions for at least 3 consecutive months or 6 non-consecutive months after your registration with GOSI.
- Those who began their contributions at age 50 or older must meet one of two conditions different from the previous ones. Here, the contribution must have been for at least 12 continuous or 18 non-consecutive months since its registration.
On the other hand, to calculate the corresponding subsidy, they carry out the same procedure as for the non-professional disability pension. The taxpayer may die after having left the employment covered by the scheme with a contribution period of 60 months. In this case, the family of the deceased can request that they complete the 120 months necessary to receive a retirement pension.
Saudi Employee’s Partial Disability
There are certain conditions under the GOSI contract related to the partial disability of Saudi employees. In this case, if the disability is less than 50%, the person is entitled to receive lump sum compensation. To carry out the calculation, the percentage of disability is multiplied by the value of the total disability. However, there are some limitations:
- Contributors under 40 years of age receive compensation equivalent to 60 times the value of the monthly benefit. That is the percentage of disability multiplied by the total disability times 60.
- Taxpayers aged 40 or over receive compensation that decreases the monthly benefits corresponding to years over 40. In this case, the compensation cannot be lower than 36 times the global value.
However, you must take into account that the total amount of compensation must not exceed SAR 165000.
GOSI’s Role in Saudi Arabia’s Social Security
As we have mentioned, the GOSI Saudi is the government agency that manages social security in the country. Thus, contributions allow the employee to receive benefits if they cannot support themselves or their family members in the same capacity. Therefore, workers are obliged to pay contributions, as well as employers.
Therefore, workers or employers who do not contribute according to the GOSI contract will receive fines or sanctions. Deductions are generally deducted from the wages of employees and paid by the employer.
Companies of foreign origin
In the case of foreign companies, they must be clear about what the GOSI contract consists of so as not to have difficulties. You must have a high level of understanding and gain the necessary experience to comply with local laws. Additionally, you should be aware of possible changes that occur with the contribution percentage and payment periods.
With adequate advice, a company of foreign origin can count on companies that are experts in this type of labor legal regulations. In this way, you will be able to reduce and even eliminate calculation errors and avoid non-compliance with legal deadlines.
How to Check GOSI Status in KSA?
Through the website of the General Social Security Organization, you will be able to see all the information about your contributions. Thus, we will show you below how to check GOSI status:
- Enter the GOSI website
- Once there, select INDIVIDUAL
- Login with your account
- You will then be able to see the following data:
- Collaborator number
- Iqama Number
- Current Salary
- Housing benefit
- Iqama Profession
- Company name
- Incorporation date
- Field office, among others
You can see all this information in the CONTRIBUTION HISTORY and My electronic GOSI profile tabs. Likewise, in HISTORY AND CURRENT SALARY you will be able to see your salary information for the entire time you were with the company.
Modify your contact details in GOSI
GOSI Saudi Arabia contact information by simply entering the portal of this government entity. In this way, you can modify your Wasel address, post office box address, telephone number, and email, among other information. Also, you can modify your salary in your Saudi Arabia social security account as follows:
- Start by logging in with your GOSI account
- Enter the year according to the calendar of the establishment
- Next, you must select your nationality
- Enter the salary you currently receive
- Click UPDATE SALARY to finished the process
The GOSI contract allowss you to obtain social security benefits in the country. Therefore, you must know the contributions that employees and employers must make, as they are mandatory for both parties. In this case, it will allow you to receive legal benefits for those who can no longer support themselves or their family members with the same abilities.
Because of the importance of this aspect of the Saudi labor system, you should know the information relevant to your contributions. To stay informed regarding this topic or others of importance to your work life, contact us with confidence.