Your subscription includes monthly payroll for up to 2 employees. Your accountant handles everything, from working out salaries to filing with the government.
What is covered
Monthly salaries - Your accountant calculates what each employee earns, what gets deducted and what they take home
Payslips - Every employee gets a proper payslip each month
Social insurance - The contributions that both you and your employees must pay to the Social Insurance Fund are calculated and submitted
Tax on salaries - If an employee earns above the tax-free amount, the right amount of income tax is deducted from their pay and reported to the Tax Department
Registering new employees - When you hire someone, your accountant registers them with the government and submits their contract
Year-end employer return - At the end of each year, a return is filed showing how much each employee was paid and how much tax was deducted
How payroll works each month
Your accountant works out the gross pay, social insurance and any tax to deduct for each employee.
A payslip is created for each person.
You review and approve the payroll.
You transfer the net salaries to your employees from your bank account.
Your accountant submits the social insurance and tax payments to the government.
Tip: Need payroll for more than 2 employees? Talk to your accountant. Extra employees can be added to your plan.
Hiring a new employee
When you take someone on, tell your accountant. They will register the employee on the government employment portal and submit the employment contract. You do not need to deal with any government websites yourself.
Social insurance explained
In Cyprus, both the employer and the employee pay into the Social Insurance Fund. It covers things like pensions, sickness benefit and maternity leave. Your accountant works out both amounts, takes the employee's share from their salary, adds your share on top, and pays the total to the government.
Tax on salaries explained
Employees who earn above a certain amount per year must pay income tax. Your accountant works out how much to deduct from each payslip and sends the total to the Tax Department every month. This way, your employees' tax is paid gradually throughout the year, not in one lump sum.