Employment Cost Calculator for Timor-Leste
Calculate your complete hiring costs for Timor-Leste employees, including payroll taxes, social security contributions, employee benefits, and management fees. This salary calculator provides accurate employer cost estimates for informed hiring decisions.
Calculate Employment Costs
Timor-Leste
Employment Cost Breakdown
Select a country and enter a salary to see the employment cost breakdown
Employer Tax Contributions
| Tax Type | Rate | Base |
|---|---|---|
| Wage Income Tax (PAYE) - Resident | 0% up to $500 monthly; 10% over $500 monthly | Employee's gross salary |
| Wage Income Tax (PAYE) - Non-Resident | 10% (flat rate) | Total monthly salary |
| Social Security Contribution (Employer) | 6% | Employee's gross salary |
| Social Security Contribution (Employee) | 4% (withheld by employer) | Employee's gross salary |
Filing & Compliance
- Monthly PAYE and Social Security contributions are due by the 15th day of the following month.
- Employers must provide employees with an annual statement of income and withheld taxes.
- Annual Employer Wage Income Tax Withholding Form is due by March 31st following the end of the tax year.
Income Tax Brackets
| Income Range (USD Monthly) | Tax Rate |
|---|---|
| Up to $500 | 0% |
| More than $500 | 10% |
Non-residents are taxed at a flat rate of 10% on total monthly salary, with no tax-free threshold.
Employee Contributions
| Deduction Type | Rate | Cap |
|---|---|---|
| Social Security | 4% | Based on gross salary, including basic pay, allowances, and bonuses. |
Personal Allowances
- A tax-free threshold applies to the first portion of monthly income.
- No specific personal deductions are generally available for employment income.
- A personal tax credit of $10 per month against wages income tax payable may be allowed for residents.



