Payroll and Benefits Guide Equatorial Guinea
Last updated: Mar 03, 2026
Contribution
| Employer Payroll Contributions | |
| 21.5% | National Institute of Social Security (INSESO) |
|
1.0%
|
Work Protection Fund (WPF) |
| 22.5% |
Total Employer Cost |
| Employee Payroll Contributions | |
| 4.5% | National Institute of Social Security (INSESO) |
|
0.5%
|
Work Protection Fund (WPF) |
| 5% |
Total Employee Cost |
Income Tax
Equatorial Guinea employs a progressive personal income tax system for residents, structured as follows:
-
0% on annual income up to XAF 1,000,000
-
10% for income between XAF 1,000,001–3,000,000
-
15% for income between XAF 3,000,001–5,000,000
-
20% for income between XAF 5,000,001–10,000,000
-
25% for income between XAF 10,000,001–15,000,000
-
30% for income between XAF 15,000,001–20,000,000
-
35% on income above XAF 20,000,000
Employer taxes
Working Hours
Equatorial Guinea typically observes a 48-hour work week, distributed across six days.
Overtime
- Maximum Ordinary Hours: The standard work limit is 8 hours per day and 48 hours per week for day workers (6:00 AM to 6:00 PM). Night workers (6:00 PM to 6:00 AM) are limited to 6 hours per day and 36 hours per week.
- Daily Overtime Cap: Overtime work is generally limited to a maximum of 2 hours per day. Total working time (ordinary + overtime) is typically limited to 10 hours per day.
- Annual Overtime Cap: Overtime is generally limited to a maximum of 200 hours per year.
- Consent: Overtime work is generally voluntary, unless there are exceptional circumstances. Pregnant women are prohibited from performing overtime work.
- Exemptions: Senior managerial and executive positions and employees whose function, by its nature, is not subject to fixed working hours are exempt from the standard working hours and overtime provisions.
Mandatory Overtime Pay Rates
Overtime compensation is mandatory and is calculated as a minimum premium percentage of the employee’s regular hourly wage, based on the time and day the work is performed.
| Day/Condition | Time Period | Minimum Premium Rate (Statutory) | Total Pay Rate | Notes |
| Daytime Overtime | 6:00 AM to 6:00 PM | +25% of the regular hourly wage. | 125% | This applies to all overtime worked during the legal day shift. |
| Nighttime Overtime | 6:00 PM to 6:00 AM | +50% of the regular hourly wage. | 150% | This premium applies when overtime is performed during the designated night period. |
| Weekly Rest Day (Sunday) | All hours worked. | +50% of the regular hourly wage. | 150% | This minimum premium applies to work on the designated weekly rest day. |
| Public Holidays | All hours worked. | +125% of the regular hourly wage. | 225% | Compensation for work on a statutory public holiday is typically paid at 2.25 times the regular rate. |
Compensation Method (Time Off in Lieu):
Overtime hours may be compensated with equivalent paid time off in lieu (tiempo libre) instead of monetary compensation, provided this is agreed upon by both the employer and the employee. The rest time granted cannot be less than the number of overtime hours worked.
Payroll
Salaries in Equatorial Guinea are generally paid monthly.
13th Salary
Equatorial Guinea does not have a legal requirement for a 13th-month salary
Leave
Annual Leave (vacation)
An employee who has worked a full year is entitled to 30 working days of paid leave.
PTO carryover
In Equatorial Guinea, employees are legally entitled to paid annual vacation (typically 30 calendar days after a year of service) under the national Labour Law. The available legal summaries and employment guides do not clearly establish a statutory rule that unused annual leave automatically carries over into the next leave year. However, the law does require that unused leave be paid out if the employment ends, and rights to annual leave are considered fundamental and protected. Because the statute is silent on automatic carryover, you should not adopt a blanket “use-it-or-lose-it” forfeiture policy; unused statutory leave generally must be taken or compensated rather than simply deleted.
Public Holidays
| Date | Day | Holiday | Notes |
|---|---|---|---|
| 1 January 2026 | Thursday | New Year’s Day | Standard holiday |
| 8 March 2026 | Sunday | International Women’s Day | |
| 9 March 2026 | Monday | International Women’s Day Holiday | Standard holiday |
| 3 April 2026 | Friday | Good Friday | Standard holiday |
| 1 May 2026 | Friday | Labour Day | Standard holiday |
| 25 May 2026 | Monday | Africa Day | Standard holiday |
| 4 June 2026 | Thursday | Corpus Christi | Standard holiday |
| 5 June 2026 | Friday | President’s Day | Standard holiday |
| 3 August 2026 | Monday | Freedom Day (Armed Forces Day) | Standard holiday |
| 15 August 2026 | Saturday | Constitution Day | Standard holiday |
| 17 August 2026 | Monday | Constitution Day Holiday | Standard holiday |
| 12 October 2026 | Monday | Independence Day | Standard holiday |
| 8 December 2026 | Tuesday | Immaculate Conception Day | Standard holiday |
| 25 December 2026 | Friday | Christmas Day | Standard holiday |
Sick Days
Employees are entitled to paid sick leave. After six months of employment, the employer pays full salary for the first five days, after which social security may cover extended absences with medical certification.
Maternity Leave
Maternity leave in Equatorial Guinea is guaranteed by law and provides at least 14 weeks of paid leave to expecting mothers. The leave typically begins six weeks before and continues eight weeks after childbirth.
Paternity Leave
Maternity leave in Equatorial Guinea is guaranteed by law and provides at least 14 weeks of paid leave to expecting mothers. The leave typically begins six weeks before and continues eight weeks after childbirth.
Employer taxes
Termination
Termination may occur for just cause—such as serious misconduct, economic redundancy, or incapacity—or through mutual agreement. Employers must provide written notice, state the reason, and adhere to legal or contractual notice periods. Employees dismissed without cause are entitled to severance as defined in labor law. Probationary contracts may be ended with minimal notice, but regular contracts require notification to labor authorities in cases of large-scale terminations or unionized workers.
| Salary payment interval / date | Final payment on termination | Bank account payment requirement |
|---|---|---|
| Monthly pay is typical for employees; wages are usually paid once a month as per local practice. | When employment is terminated, the employer must observe the applicable notice period (e.g., 15 days for 5 years) and pay any due severance or indemnity. | Not available |
Notice Period
The length of the notice period depends on the employee’s tenure:
• Less than 1 year: 15 days
• 1 to 5 years: 1 month
• Over 5 years: 2 months
These are minimums and can be extended by contract or agreement.
Probation
The probation period is up to three months for regular roles and up to six months for managerial or technical positions. During this period, either party may terminate the contract with eight days’ notice.
Severance Pay
The compensation is calculated as 45 days’ salary per year of service, with prorated amounts payable for partial years.
Immigration
Foreign nationals must obtain a valid work permit before employment. Permits include:
– Permit A (6 months),
– Permit B (1 year),
– PBR (2 years),
– Permit C (3 years), and
– Permanent Permit.
Employers must submit contracts and supporting documents during application. Regional mobility applies within CEMAC, but others require full processing.
Minimum Wage
As of 2025, the minimum wage in Equatorial Guinea is 129,035 CFA francs (XAF) per month, equivalent to approximately $215 USD. Employers must also pay a 15-day bonus before Independence Day (October 12) and another before New Year’s (December 24).
MINIMUM WAGE (PER MONTH)
VAT
Equatorial Guinea applies a standard VAT rate of 15%. A reduced 6% rate applies to some goods and services, while exports are zero-rated (0%). Special VAT surcharges of 30% apply to designated luxury or restricted goods. Oil and gas companies are generally VAT-exempt
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Public Holidays Calendar
| Date | Day | Holiday | Notes |
|---|---|---|---|
| 1 January 2026 | Thursday | New Year’s Day | Standard holiday |
| 8 March 2026 | Sunday | International Women’s Day | |
| 9 March 2026 | Monday | International Women’s Day Holiday | Standard holiday |
| 3 April 2026 | Friday | Good Friday | Standard holiday |
| 1 May 2026 | Friday | Labour Day | Standard holiday |
| 25 May 2026 | Monday | Africa Day | Standard holiday |
| 4 June 2026 | Thursday | Corpus Christi | Standard holiday |
| 5 June 2026 | Friday | President’s Day | Standard holiday |
| 3 August 2026 | Monday | Freedom Day (Armed Forces Day) | Standard holiday |
| 15 August 2026 | Saturday | Constitution Day | Standard holiday |
| 17 August 2026 | Monday | Constitution Day Holiday | Standard holiday |
| 12 October 2026 | Monday | Independence Day | Standard holiday |
| 8 December 2026 | Tuesday | Immaculate Conception Day | Standard holiday |
| 25 December 2026 | Friday | Christmas Day | Standard holiday |
Questions & Answers