Botswana Employer of Record & Payroll

Botswana EOR

Africa Deployments Botswana offers our clients Employer of Record (EOR) services covering all of the regions within.  We offer full-time employment or fixed terms contracts based on your requirements in Botswana  for locals or expatriates.  ADS will take care of the work permit under our umbrella and will issue local work contracts to your contractors.  We will also advise our client’s on best Human Resource (HR) practices when setting up the employee’s locally in Botswana.

ADS takes care of the local tax & PAYE remittances to the Revenue Services on a monthly basis ensuring that they are fully compliant with the law.  We will also ensure that their salaries are paid on time monthly and issue them with their pay slips. In addition to our services, we can offer you the employee in Botswana, Medical, Disability, Life, and Workmen’s Compensation Insurances. Botswana, officially the Republic of Botswana, is a country along the Gulf of Guinea and the Atlantic Ocean, in the subregion of West Africa.

WHAT INCOME IS TAXABLE IN BOTSWANA:

Any individual who works and lives in Botswana for more the 183 days a year will be subject to local taxes in Botswana.  They maintain a permanent home in Botswana.  The tax years from effectively from 1 August to 30 September the following year.  They may not be present for more than 122 days in the tax year and the two preceding tax years after that.

Any income earned in the form of cash, wages, salary, overtime, leave pay or payment in lieu of leave, commissions, gratuity, bonus, or any amount that has benefited the employee.  All income will be taxed in accordance with the law and the final payroll issued monthly.

WHAT TYPE OF LEAVE IS ALLOWED IN BOTSWANA:

  • Annual leave – 15 days paid leave annually

  •  8 Public Holidays per annum as per Botswana Leave Law.

  • Sick leave – 20 days per year

  • Maternity leave– leave be at least 12 weeks (6 weeks to be taken before the birth and 6 after)

Can you give Fringe Benefits IN BOTSWANA:

Yes you can but keep in mind that Fringe Benefits will be subject to employee PAYE tax.  Only benefits that cannot be converted to cash will not be subject to tax.  If the employer covers some of the employees’ expenses i.e. mobile phone then it must be subject to PAYE tax and either the employer will cover this portion for the employee or the employee will bear the PAYE tax.

IS THERE GRATUITY PAYMENTS FOR TERMINATION IN BOTSWANA:

An Employer and Employee can agree on severance pay.  However it should be noted that the Bill seeks to legislate a fixed severance pay as of 1 month’s gross salary for each year of service.  Dismissal will not be entitled to severance.  Severance must be agreed by both parties and paid within 21 days of acceptance.

WHAT DOUBLE TAX TREATIES ARE IN PLACE:

Get in touch with one of our consultants should you have any further questions regarding our Employer of Record solutions or only require a payroll solution in Botswana.

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