Social Insurance Organization (SIO) in Bahrain

The Social Insurance Organization (SIO) plays a crucial role in Bahrain, oversees the administration of social insurance benefits and pension schemes for employees. Employers using our app need to familiarize themselves with SIO to ensure compliance and provide employees from Bahrain with essential benefits.

SIO is dedicated to managing social insurance systems that safeguard employees’ financial well-being, particularly during retirement and times of need. As an employer, here are key points to consider:

Mandatory Contributions

Both employers and employees are required to make monthly contributions to SIO. These contributions are calculated based on the employee’s salary through our app, ensuring accuracy and adherence to regulatory standards.

Configuring SIO

Pre-requisite: Ensure that you have created or imported employees who are Bahraini nationals.

• Click Settings on the top right corner and select Social Security under Setup and Configurations.
• Click Edit in the Social Insurance Organization (SIO) card.

• 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 SIO 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.

Employment Injury

The Employment Injury scheme in Bahrain is a social security program that provides financial protection to all employees in case of work-related injuries. Both employers and employees are required to contribute a percentage of the employee’s salary to this scheme.

The system ensures that employees receive necessary compensation and support in case of occupational accidents or injuries. Here’s what you need to note:

Mandatory Contributions

Contribution rates under the Employment Injury scheme are defined as follows:

Here’s how you can configure Employment Injury for your organisation.

Configuring Employment Injury

• Click Settings on the top right corner and select Social Security under Setup and Configurations.
• Click Edit in the Social Insurance Organization (SIO) card.

• Enable the Calculate on pro-rata basis option to ensure contributions are based on actual working days in the month.
• Enable the option to Postpone the updated Employment Injury contributions due to Salary revisions to the next calendar year if you’d like deductions arising from salary changes to take effect from the next calendar year.
• Click Save.