Public Institution for Social Security (PIFSS)

The Public Institution for Social Security (PIFSS) holds a critical role in Kuwait, overseeing the administration of social security benefits and pension schemes for employees. Employers using our app need to understand PIFSS to ensure compliance and provide employees from Kuwait with essential benefits.

PIFSS is committed to managing social security systems that protect employees’ financial well-being, especially during retirement and times of need. As an employer, here are key points to consider:

Mandatory Contributions

Both employers and employees are obligated to make monthly contributions to PIFSS. These contributions are calculated based on the employee’s salary through our app, ensuring accuracy.

Configuring PIFSS

Pre-requisite:

Ensure that you have created or imported employees who are Kuwaiti nationals.

• Click Settings on the top right corner and select Social Security under Setup and Configurations.
• Click Edit in the Public Institution for Social Security (PIFSS).

• Enter the Maximum Contributory Wage. This is the salary limit to which both employer and employee contribution rates apply.
• Enable the Calculate on Pro Rata Basis option if you want contributions to be calculated based on the actual working days of the employee. This ensures that contributions are proportional to the number of days worked in a given month.
• Choose the option to Postpone the updated PIFSS contributions due to Salary revisions to the next calendar year if you wish to delay deductions resulting from salary revisions until the following calendar year.
• Click Save.