Payroll and Benefits Guide Ghana
Last updated: Mar 03, 2026
Contribution
| Employer Payroll Contributions | |
|
13.00%
|
Social Security & National Insurance Trust (SSNIT) and National Pension (NPRA). The minimum insurable earnings is 490.05 GHS and the maximum is 61,000 GHS. The maximum contribution is 8,235 GHS.
|
| 13.00% |
Total Employment Cost |
| Employee Payroll Contributions | |
|
5.50%
|
Social Security & National Insurance Trust (SSNIT) and National Pension (NPRA). The minimum insurable earnings is 490.05 GHS and the maximum is 61,000 GHS. The maximum contribution is 8,235 GHS. |
| 5.50% |
Total Employee Cost |
| Employee Income Tax | Annual |
|
0.00%
|
On the first 5,880 GHS
|
|
5.00%
|
On the next 1,320 GHS
|
|
10.00%
|
On the next 1,560 GHS |
|
17.50%
|
On the next 38,000 GHS |
|
25.00%
|
On the next 192,000 GHS |
| 30.00% | On the next 366,240 GHS |
| 35.00% | On income exceeding 600,000 GHS |
| 25.00% | Non-resident individuals are taxed at a flat rate on Ghanaian-sourced income. |
Employer taxes
Employee taxes
Minimum Wage
General
The daily minimum wage (NDMW) in Ghana is 19.97 GHS.
MINIMUM WAGE (PER MONTH)
Payroll
Payroll Cycle
The payroll cycle in Ghana is monthly and payments must be made on the same day of each month and no later than the last working day of each month. However, some employers choose to pay their employees on a bi-weekly basis.
13th Salary
There are no provisions in the law regarding 13th salaries.
Working Hours
General
The standard workweek in Ghana consists of 40 hours a week and typically is broken down to 8 hours per day for a five-day workweek. The workweek can be increased to 48 hours per week in specific sectors.
Overtime
-
Maximum Ordinary Hours (Section 33): The standard work limit is 8 hours per day or 40 hours per week. Any work beyond these thresholds is considered overtime.
-
Average Working Hours: Where different hours are fixed for various days, the hours can be proportionately longer (not exceeding 9 hours/day), provided the average number of hours reckoned over a period of four weeks or less does not exceed 8 hours per day or 40 hours per week.
-
Compulsory Overtime (Section 35): An employee shall not be compelled to do overtime work except where:
-
The very nature of the undertaking requires overtime to be viable.
-
The enterprise is subject to emergencies that require overtime to prevent or avoid threat to life and property.
-
-
Exemptions: Senior managerial or executive roles are typically excluded from overtime pay provisions.
-
Unpaid Overtime (Section 38): A worker may be required to work beyond fixed hours without additional pay only in certain exceptional circumstances, such as an accident threatening human lives or the very existence of the undertaking.
Mandatory Overtime Pay Rates
The Labour Act mandates that the undertaking must have fixed rates of pay for overtime work (Section 35) but does not explicitly fix the rate for all categories of workers. However, a strong minimum rate is established by law and practice:
-
Standard Overtime Rate (Statutory Minimum): The common and legally accepted minimum rate for overtime hours worked is 1.5 times (Time and a half) the employee’s regular hourly rate.
| Day/Condition | Minimum Compensation Rate (Statutory/Common) | Total Pay Rate | Notes |
| Normal Overtime (Working Days) | 1.5 times the regular hourly rate. | 150% | Applies to hours exceeding 8/day or 40/week. |
| Public Holidays (Casual/Temporary Workers) | 2 times the regular daily wage (for the hours worked). | 200% | The Labour Act explicitly provides that temporary and casual workers who work on a Public Holiday are entitled to double the remuneration that would have been payable for the work. |
| Weekly Rest Day / Public Holiday (Permanent Workers) | Not explicitly fixed in the Labour Act; typically 2 times the hourly rate by CBA/Contract. | 200% | While not a universal statutory minimum in the Act, 200% is the widely applied and legally expected rate for work on weekends/public holidays for permanent staff, often secured through Collective Agreements. |
Paid Public Holidays (Section 72): Every worker is entitled to be paid their remuneration for public holidays, regardless of whether they work on that day.
Leave
Annual Leave (vacation)
After one year of employment for a full-time employee, the annual paid leave entitlement is 15 working days.
PTO carryover
In Ghana, statutory annual leave cannot be forfeited. Unused leave may be deferred/carried over by agreement between employer and employee, but it is not meant to accumulate indefinitely.
- For Zapeo, unused vacation leave days will be carried to the following year.
Public Holidays
Public holidays that fall on the weekend are moved to a weekday as a day off in lieu.
The religious holidays are determined by the lunar cycle and will be confirmed nearer the date of the holiday.
| Date | Day | Holiday | Notes |
|---|---|---|---|
| 1 January 2026 | Thursday | New Year’s Day | Standard holiday |
| 7 January 2026 | Wednesday | Constitution Day | Standard holiday |
| 6 March 2026 | Friday | Independence Day | Standard holiday |
| 20 March 2026 | Friday | Eid al-Fitr | Standard holiday |
| 3 April 2026 | Friday | Good Friday | Standard holiday |
| 6 April 2026 | Monday | Easter Monday | Standard holiday |
| 1 May 2026 | Friday | May Day (Workers’ Day) | Standard holiday |
| 27 May 2026 | Wednesday | Eid al-Adha | Standard holiday |
| 1 July 2026 | Wednesday | Republic Day | Standard holiday |
| 4 August 2026 | Tuesday | Founders’ Day | Standard holiday |
| 21 September 2026 | Monday | Kwame Nkrumah Memorial Day | Standard holiday |
| 4 December 2026 | Friday | Farmers’ Day | Standard holiday |
| 25 December 2026 | Friday | Christmas Day | Standard holiday |
| 26 December 2026 | Saturday | Boxing Day | Standard holiday |
| 28 December 2026 | Monday | Day off for Boxing Day | Standard holiday |
Sick Days
No provision within the law to provide paid sick leave. However, any sick leave must be certified by a doctor.
Maternity Leave
Pregnant employees are entitled to 12 weeks (increasing to 14 weeks in the case of multiple or complicated births) of paid maternity leave at 100% of the employee’s regular pay rate. Maternity leave is paid by the employer.
After returning from maternity leave, the woman is entitled to one hour’s leave during the workday to nurse the child until the child reaches the age of one.
Paternity Leave
There are no statutory laws regarding paternity leave.
Parental Leave
There are no statutory laws regarding parental leave.
PAID MATERNITY LEAVE (DAYS)
Termination
Termination Process
The termination process varies according to the employment agreement or collective bargaining agreement and is based on the type of contract and reason for termination. Either the employee or employer can terminate the employment contract at any time. Notice in writing is required.
If the termination is deemed unfair, the employee may make a claim with the labor court and, in some cases, have their employment reinstated.
If the employment is considered ‘at-will,’ either the employer or employee may terminate the employment at the end of the day without notice.
When there is no ‘at will’ clause in the employment contract, it is possible to pay the employee in lieu of notice.
| Salary payment interval / date | Final payment on termination | Bank account payment requirement |
|---|---|---|
| Wages must be paid at “regular intervals” and: • Not less often than once a week for hourly/day workers. • Not less often than once a fortnight for piece-work employees. • Not less often than once a month for monthly/annual salaried employees. |
On termination of a contract all wages lawfully due “shall be paid by the date of the next pay-day determined under subsection (1) as if the contract had not been terminated.” | Wages must be paid “directly to the employee to whom they are due” unless otherwise agreed. |
Notice Period
Notice period in Ghana is as follows:
- For a contract of 3 or more years, one month’s notice or one-month pay in lieu of notice
- For an employment contract of fewer than three years, two weeks’ notice or two weeks’ pay in lieu of notice
- In the case of a contract from week to week, seven days’ notice
- A contract determinable at will by either party may be terminated at the end of the day without any notice
Severance Pay
There is no severance pay in the case of individual dismissals (for non-economic reasons).
When the termination is due to redundancy, compensation is subject to negotiation between the employer and the employee.
Probation Period
Probation in Ghana is generally outlined in the employment agreement or collective bargaining agreement.
Immigration
Ghana is part of the Economic Community of West African States (ECOWAS) and other regional treaties that provides a specific framework for member states.
Most business visitors to Ghana require a Business Visa (B-1). Some foreign nationals are visa-exempt based on their citizenship. B-1 visas allow for single or multiple entries. B-1 visa applicants may request an initial stay of 30 to 60 days. Business visas may be extended once for 60 days for a total maximum stay of 120 days.
The three main types of work authorization in Ghana which can be granted for up to 12 months are:
- The In Quota Work Permit for companies with a pre-approved quota
- The Standard Work Permit for all other foreign national workers (no quota but longer processing time)
- The PC (Petroleum Commission) Work Permit for companies active in the oil and gas sector
All travelers coming into or transiting through Ghana are required to have been vaccinated against yellow fever at least 10 days from the proposed date of travel and where already vaccinated, provide evidence (certificate) indicating the duration of the vaccination status of not more than 10 years before entering Ghana.
VAT
General
The standard VAT rate is 15%.
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Payroll and Benefits Guide
in Ghana
What’s covered in this guide:
- Employer/employee contributions
- Minimum wage
- Working hours
- Visa requirements
And more...
Public Holidays Calendar
| Date | Day | Holiday | Notes |
|---|---|---|---|
| 1 January 2026 | Thursday | New Year’s Day | Standard holiday |
| 7 January 2026 | Wednesday | Constitution Day | Standard holiday |
| 6 March 2026 | Friday | Independence Day | Standard holiday |
| 20 March 2026 | Friday | Eid al-Fitr | Standard holiday |
| 3 April 2026 | Friday | Good Friday | Standard holiday |
| 6 April 2026 | Monday | Easter Monday | Standard holiday |
| 1 May 2026 | Friday | May Day (Workers’ Day) | Standard holiday |
| 27 May 2026 | Wednesday | Eid al-Adha | Standard holiday |
| 1 July 2026 | Wednesday | Republic Day | Standard holiday |
| 4 August 2026 | Tuesday | Founders’ Day | Standard holiday |
| 21 September 2026 | Monday | Kwame Nkrumah Memorial Day | Standard holiday |
| 4 December 2026 | Friday | Farmers’ Day | Standard holiday |
| 25 December 2026 | Friday | Christmas Day | Standard holiday |
| 26 December 2026 | Saturday | Boxing Day | Standard holiday |
| 28 December 2026 | Monday | Day off for Boxing Day | Standard holiday |
Is a Ghaniain employer allowed to pay monthly salary in Dollar/Euro instead of GHS?
According to the Labour Act in Ghana, “the salary, wages and allowances of the worker shall be made payable in legal tender.” Currenly, the GHS is the only legal tender in Ghana.
Hi Alex, can a company have a salary index in foreign currency whilst the employees are paid the Ghs equivalent?
Yes, a company can have a foreign salary index.
How does an individual working for US based company and lives in Ghana gets paid? How does the company pay the individual and also comply according to the taxation system in Ghana? Is it possible the company can pay the individual directly, for the individual/worker pay his taxes?Thank you, hope to get feedback soon
Hi there, thank you for your question. You have 2 options. 1. If an individual has their own company like an LLC, one can work as a contractor for said company, however, regarding taxation, this would be the responsibility of the contractor to pay. 2. Under an Employer of Record, one would be treated more like a regular employee, and payments and all contributions would be the responsibility of the EoR and would be compliant with local labor law.
Please how much does a concierge earn weekly or monthly in Accra-Ghana?
Hi Foster, this is out of the scope of what we offer on the CountryPedia.
Is a Ghanaian employer mandated to pay 13th month salary?
Hi Dan, no, there are no statutory laws regarding 13th salaries.
What does the law says about paying a consultant a monthly salary?
Should statutory deductions be made?
Hi, thank you for your question. If you are working with a consultant, you do not have to make deductions, this is something that the consultant does for themselves as they are responsible for making sure that this is paid.
Thanks for this. Are consultants working more that 120 days considered employees? Are they required to pay PAYE on their fees and should that be deducted as source?
Hi Akousa, consultants are not defined by the length of the work, rather by role and responsibilities. Consultants are required to ensure that all social contributions and such are paid by themselves, not the company they are consulting for.
Please how can I check my payslip. It seems I can’t check it twice in a month. What do I do?
If this refers to the Papaya platform then you should check in with your CSM, if this relates to your specific company’s HR system then you should reach out to your HR representative.
What are the options for the employees if the employees work more than the usual 40 hours a week?
Hi Emmanuel, thank you for your question. In Ghana,the maximum number of hours that can be worked in a day is 9 hours which includes overtime. There are no provisions in the law regarding overtime pay or any additional compensation. If you have agreed upon other terms with your employer through the employment contract, however, this must be honored.
Hi if you are running and agency and some staff will be on rolling contracts where they work based on their availability for fixed periods of time is it their responsibility to pay their tax or is the employer responsible. ? also what are their rights in respect to holidays as they are not permanent employees do they just take it as unpaid ?
Hi, thank you for your question. Employees who work at least 200 days in one year are entitled to leave, so it would depend on how much and often these employees work. Regarding taxes, it is the employer’s duty to pay the payroll contributions.
Are the employees entitled for an end-of service pay? Or Gratuity?
Hi Angelu, for individual dismissals, no severance pay or gratuity is required unless otherwise stated in your employment agreement. For termination due to redundancy, this is something that can be negotiated.
Outside of the statutory employee benefits, what benefits are culturally expected?
Hi Kristin, thank you for your question. The only one that might be expected is private health insurance.
Hi Emily, thanks for your response! Would you happen to know what the statutory benefits include, specifically employer contributions to social security and pension? Is it correct that there is no sick leave requirement?
Do you have to pay any annual unpaid leave in Ghana if a worker leaves the company without taking holidays does the company have to pay for the unpaid leave days ?
Hello, workers must be paid unused accrued leave upon termination.
A follow up question, what if there is evidence that the worker decided not to take his leave when asked to, then after some time he resigned and expect the employer to pay accrued leave.
They should check this with a local legal advisor as it will depend on the specifics of this case and in what capacity the company had asked him to use the leave.
Can salaries be paid in foreign currencies?
Salaries must be paid in local currency.
My boss has not paid us for three months, We keep asking why and all he says is we should wait. I heard he is planning to fly out of the country. How do we prevent that? Is there any organization above the labor office that we can report to for immediate help?
Hi, this is not something that we are able to advise you on. I recommend that you reach out to labor lawyer in order to assist you with the the steps you need to take to ensure that you are paid your wages.
I have a friend who lives in Ghana and works for a company there. They keep telling her they can’t pay her unless her pay is paid to another person as a trustee, because she is not Ghanian. I need help to get her money. She’s starving to death. Who can I contact for help
Hi Paul, I would suggest reaching out to a labor lawyer in order for her to get assistance in getting what is owed to her.
hello, please is Severance Pay in Ghana taxable?
Hi Nana, severance pay is non-taxable if the termination of the contract is a result of a management decision.
What are the various Special Leave (paid and unpaid) available in Ghana (e.g. bereavement, domestic emergencies, marriage etc)
Hi Asouka, you can find this information on this page under “Other Leave.”
Does the client need to withhold tax before paying a consultant? If yes, how much?
As a consultant, we cannot provide tax advice and recommend you seek professional tax guidance. Typically, consultants would need to declare their own taxes.
My employer refuse to disclose how much she’ll pay me during my probation period. Just after first month she sacked me without paying me anything. She employed me with agreed documents. Please what should I do to get my money from her?
Unfortunately, we’re not able to offer legal advice with regard to your issue. Please seek legal advice in this matter.
can salary index be in USD while employees are paid in cedi equivalent?
Yes, USD is usually the currency used. However, it means the Cedi equivalent will change each time there is a rate change.
The rate to be used in determining the Cedi equivalent will be the Bank of Ghana mid-rate.
Are the 15 days of annual leave accrued, or are they given to the employee at the beginning of their year in once allotment? Also, if an employee leaves the company (for any reason), are they paid out for 15 days if they’ve not yet taken it?
Annual leave is accrued. Upon termination, the worker is entitled to annual leave in proportion to the period of service in the calendar year or payment in lieu of notice of termination.
Hi,
does the taxation differ for employee or contractor (service agreement)?
There are many factors that can impact the rate of tax of an individual, not just their set-up status. The individual should seek advice from a local tax expert to understand their specific tax burden.
How is leave pay calculation made in Ghana?
In Ghana, the calculation of leave pay is based on an employee’s average daily wages, which is determined by dividing the total amount of money earned by the employee during a specified period by the number of days worked during that same period. The average daily wage is then used to calculate the amount of leave pay due for each day of leave taken.
It is important to note that the specific rules and regulations regarding leave pay in Ghana may vary depending on factors such as the employee’s job, salary, and length of service, as well as any applicable collective bargaining agreements or employment contracts. Additionally, the calculation of leave pay may be subject to certain legal requirements, such as minimum wage laws and other labour regulations, so it is advisable to seek advice from a local employment law expert if you have specific questions or concerns.
Hi
Do international staffs working in Ghana pay same tax rates as Ghanian citizens?
Wale
Non-residents pay taxes at a flat rate of 25%.
Please is severance pay calculated on Basic salary or net slary. Thks
In Ghana, severance pay is negotiated between the employer and worker (or Trade Union). There is no set formula as to how it is calculated.
can you pls confirm for me the standard working days in Ghana for a month. and if there is any legal document backing that
In Ghana, the standard working days per week are typically Monday to Friday, for a total of five days per week. The typical working hours are 8 hours per day, for a total of 40 hours per week. However, the exact working hours can vary depending on the company and the specific job. Some companies may also offer flexible working arrangements or the option to work additional hours on weekends.
Is payment in lieu of notice for 3 or more years always one month? What about the law that states that for every full year, the employee is deserving of one week notice and that more than 3 years would be determined by the number of years multiplied by the one week deserving notice with the maximum being 12 weeks lieu notice
In the case of a contract of three years or more, one month’s notice or one month’s pay in lieu of notice; according to LABOUR-ACT-2003.
Hello, please my employer does does not want to pay for sick leave, is this something I can dispute?
Unfortunately, this is not something we can advise on; We recommend reaching out to HR or whoever your manager reports to. If these channels are not an option you should reach out to a local lawyer to understand your rights.
How many days is applied to determine fixed term employee monthly wage
Fixed Term Contract salaries are calculated in the same way as Indefinite Term Contract salaries unless the worker is on a less than full-time working set up.
What is the formulae for monthly minimum wage?
The daily minimum wage in Ghana is 14.88 GHS; the monthly minimum wage formula is: daily minimum wage × 27 days.
Hi how to get the daily rate to calculate holiday pay for monthly salary in Ghana?
Hello, in Ghana, we calculate: (the salary) / (21.67 average working days) x actual days worked.
Thank you
My father has died and it’s one and half year and the company have not called to open his nomination form or to tell us his beneficiaries.
A lawyer in Ghana has written them three letters but no response from the company. So in that case what do we do please
Hello,
I am sorry for your loss. This is a very specific case which we cannot advise on, a lawyer should be able to advise further or additional local legal counsel should be sought.
Hi where can i have an employment contract created ?
Hello, unfortunately, Papaya Global cannot assist you regarding this matter.
Hi, what the daily minimum wage of Ghana as of today?Is there a labor law for the holiday calculation specifying the average monthly working days?Thank you in advance
Yes, 14.88 GHS is the current minimum daily wage. According to the Labour law, Workers are entitled to 15 working days vacation per year with ‘full pay’; “full pay” means the worker’s normal remuneration, without overtime payment, including the cash equivalent of any remuneration in kind.
Hi actually search online for labor law stating the average working days, but I failed to see any.Any advice please?I already i get the ave working days, i just need some proof so for the employees to trust and believe.Thank you
Standard working time is Monday to Friday, 8 hours per day, and any additional hours is computed as overtime. The working schedule is a 21 days cycle in a month not less than 200 working days per year. Part 40, Sections 20 to 32 of the Labour Act outlines leave requirements.
Thank you so much
Hi, does Ghana pay for Compassionate leave?Thank you
Hello,
Yes, compassionate leave is paid.
Is there any law for appraisal bonus every year for workers
There is no specific law but different industries might be subject to annual reviews and increases e.g. Public Sector, other unionized industries and workforce falling under Collective Agreements.
how is end of service benefits (EOSB) calculated in Ghana..the formula ? I heard in Ghana the first year isnt calculated or isnt mandatory.
Workers are only entitled to a severance/end of service pay in Ghana if redundancy is established as the reason for termination and severance would then be given as a redundancy pay – the amount of this payment is something that is negotiated. Note that the following worker types would not be entitled to redundancy pay:
1) workers hired on an employment contract for a specified period of time or for specified task
2) workers terminated during their probation period or a qualifying period of employment of reasonable duration determined in advance
3) casual workers.
Does working on weekends require the employer to pay any double the salary even though working weekends does not exceed the required 40 hours a week?
There is no provision in the law regarding weekend/public holiday compensation for permanent workers.
Is the employer required to pay any allowance if you work during the night?
There is no provision in the law regarding compensation for working during the night.
Hi,
Just want to confirm the average working days 21.67, so this year since its leap year average working days applied at Ghana is 21.83.Is there any labor laws regarding this?because a friend insisting holidays should not be included.so it will 249/12=20.75
There are 249 working days in 2024. I am not aware of any specific labour law showing this number, rather the law states the legal working hours and rest times per week.
Hi,
Just want your guidance on how to calculate for termination pay to avoid being sue.Thank you
Hi,
I just want to ask please, if in Ghana loans in lending company is permitted to deduct in the company payroll?In other country it is actually not allowed.
Hi, is a resigned employee entitled for severance pay?How to compute for this please if he have worked for 3 year in the company?
Can we pay employees in Ghana using US dollars
It is possible but agreement to this should be assessed on a case by case basis to ensure suitability and compliance.
Is overtime compulsory?
Or can an employer impose an overtime on an employee?
And do employers have legal rights to punish an employee if over time is not honored
The requirement to work overtime depends on what was agreed in the employment agreement. However, an employer cannot simply force someone to work beyond their standard hours if there is no contractual agreement or prior arrangement for overtime. When overtime is worked, it should usually be paid at overtime rates.
Hello, I’m looking into hiring independent contractors in several countries in West Africa and Southeast Asia for a 6-month project. Does Papaya Global handle independent contractors in these regions? The information that I gathered so far only refers to full-time employees. Please advise. Thank you!
I believe Papaya Global might have services in place for contracts. Please reach out to the Sales/ICP/CSM team to advise what the services are that Papaya can offer.
Been working for 2 years , am I allowed a severance pay , When I decide to resign?
Severance pay is generally not mandatory when an employee resigns voluntarily
hi
If an employee decides to resign and instead of notice, choose to pay the monthly salary back to the employer in lieu of notice, will the payment be of basic salary or net salary with all the allowances?
It could depend on what is defined as ‘salary’ in the employment contract or on what the best practice is. Usually it will likely be the gross salary that would be applied. Local legal advise should be sought to determine the requirements under this worker’s specific employment set up and terms.