Expanding your business into new countries like South Africa can be exciting, but it also comes with its challenges. Navigating local laws, payroll complexities, and tax regulations can be overwhelming. That’s where Stipenda’s Employer of Record (EOR) services come in. With our expertise, you can easily hire and manage employees in South Africa without the headaches of setting up a local entity. Let’s explore how Stipenda can support your hiring needs.

What is an Employer of Record (EOR)?

An Employer of Record (EOR) is a partner that acts as the legal employer for your employees in a specific country. Stipenda takes on all responsibilities related to employment, such as payroll, benefits, taxes, and compliance with local labor laws. By partnering with us, you can hire employees in South Africa quickly and efficiently while avoiding the time-consuming process of establishing a local office.

Why Choose Stipenda in South Africa?

1. Quick and Compliant Hiring

In South Africa, the average onboarding time is just 2 days with Stipenda. We simplify the hiring process, allowing you to find and engage top talent without the need for a local entity. This means you can focus on what matters most—growing your business.

2. Streamlined Payroll Management

Managing payroll can be complicated, but with Stipenda, it becomes hassle-free. In South Africa, payroll is processed monthly, ensuring your employees are paid on time every month. We handle everything from tax calculations to deductions, so you can rest easy knowing your payroll is compliant and accurate.

3. Understanding Local Taxes and Costs

Navigating the tax landscape in South Africa can be tricky. Individual income tax rates range from 18% to 45% based on income levels. Stipenda ensures that all tax obligations are met, helping you avoid costly penalties. Additionally, we manage other employer costs, such as Unemployment Insurance Fund (UIF) contributions and the Skill Development Levy (SDL), which is estimated at 2.2% of the employee’s salary.

4. Comprehensive Employee Benefits

Attracting and retaining top talent requires a competitive benefits package. Stipenda makes it easy to provide localized benefits, including:

• Skill Development Levy (SDL)
• Unemployment Insurance
• Workers’ Compensation Insurance
• Optional global health insurance
• Local health insurance

Our user-friendly online dashboard allows you to manage all benefits in one place.

5. Leave Policies and Statutory Time Off

Employees in South Africa are entitled to various leave benefits, including annual leave, sick leave, and family responsibility leave. Stipenda helps you comply with local laws regarding leave entitlements and ensures that all requests are handled correctly and efficiently.

6. Smooth Termination Process

If you need to terminate an employee, Stipenda manages the process smoothly and in compliance with local laws. We ensure that all legal requirements, including notice periods and any potential severance payments, are adhered to, minimizing the risk of legal disputes.

7. Local Expertise

With Stipenda, you benefit from our deep understanding of South Africa’s business environment. We stay updated on local regulations, helping you navigate cultural nuances and labor laws effectively.

Get Started with Stipenda

Expanding your team in South Africa is simple and hassle-free with Stipenda’s Employer of Record services. We take care of hiring, payroll, compliance, and benefits, allowing you to focus on driving your business forward.

Ready to learn more? Contact us today:

• For inquiries in Europe: +44 (0) 330 380 0161
• For inquiries in the US: +1 800 910 7847
• Sales Enquiries: sales@stipenda.com