Social Insurance Calculation

Let's look at the factors that contribute to the Social Insurance calculation for Omani and GCC citizens.

Social insurance is paid by both the employer and employee, but you can change this behavior in the calculation card created.

Contributory Salary Calculation for Private and Government Sector Employees

Contributory salary is the amount on which employees of any GCC nationality pay Social Insurance contributions.

Private Sector	Government Sector
You can override the contributory salary at a person level.	You can override the contributory salary at a person level.
If you didn't define an override, the country specific balance Employee Private Sector Contributory Salary Base is used for the calculation.	If you didn't define an override, the country specific balance Employee Government Sector Contributory Salary Base is used for the calculation
You can define a formula to calculate the contributory salary at the legal employer level if there aren't any balances fed.	You can define a formula to calculate the contributory salary at the legal employer level if there aren't any balances fed.
If none of the above are defined, the contributory salary uses the value of earnings elements that are subject to social insurance. Note: These elements are identified through secondary classification and feed the balance Subject to Social Insurance.	If none of the above are defined, the contributory salary uses the value of earnings elements that are subject to social insurance. Note: These elements are identified through secondary classification and feed the balance Subject to Social Insurance.
The contributory salary is set once a year in the first month of payroll processing, or in the first month of the year.	The contributory salary is calculated for each month of payroll processing.
If you need to adjust the contributory salary, you can use the Social Insurance Contributory Salary Adjustment component of the Employee Social Insurance Details calculation card.	Not applicable for government sector employees.
The contributory salary might have a monthly minimum and maximum value. If the monthly social insurance income is lower than the minimum value, contributions are calculated on the minimum value. If the monthly social insurance income exceeds the monthly maximum value, contributions are due just on the part up to the ceiling. If SI contributory salary is less than the minimum salary, the employer pays contributions on the actual contributory salary and the employee pays contributions on the minimum salary. The employee will also pay the employer's share of contributions for the difference between their actual salary and the minimum salary	Not applicable for Omani citizens or government sector employees. No minimum or maximum salary limits apply.
No contribution is deducted if the employee is terminated before the last day of the month (for all GCC citizens except Oman). Full contribution is deducted if the employee is terminated on the last day of the month.	For an Omani citizen, the contributory salary is used to calculate the employee and employer contributions as there are no maximum and minimum salary range.