Payroll and Benefits Guide Samoa
Last updated: Mar 03, 2026
Contribution
| Employer Payroll Contributions | |
| 5% | Samoa National Provident Fund (SNPF). |
| 1% | Accident Compensation Corporation (ACC) levy |
| 6% | Total Employer Costs |
| Employee Payroll Contributions | |
| 5% | Samoa National Provident Fund (SNPF). |
| 1% | Accident Compensation Corporation (ACC) levy |
| 6% | Total Employee Costs |
Income Tax
Resident individuals: Progressive annual rates:
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0% on up to SAT 15,000
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20% on SAT 15,001 – 25,000
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27% on above SAT 25,000
Non-resident individuals: Same rates on Samoa-sourced income as residents.
PAYE Withholding: Employers deduct tax each pay period and remit to the Ministry of Customs and Revenue monthly.
Employer taxes
Working Hours
40 hours per week, usually spread across 8 hours per day, 5 days a week.
Overtime
| Aspect | Regulation Details | Notes |
| Maximum Ordinary Hours | 40 hours per week (typically 8 hours per day, over 5 days). | Overtime is triggered when an employee works beyond the 8 hours in any day or the 40 hours in any week (Section 48). |
| Maximum Overtime Cap | No statutory limit on annual or weekly overtime hours is explicitly defined, though the total work hours must be reasonable. | The law focuses on compensation for extra work, not strict caps, unless specific regulations apply. |
| Consent | Overtime work must generally be authorized or requested by the employer to qualify for compensation. | |
| Exemptions | Managerial personnel and employees with authority to hire/dismiss are generally exempt from the statutory overtime provisions. |
Mandatory Overtime Pay Rates
Overtime compensation is mandatory and is calculated as a minimum premium percentage of the employee’s ordinary rate of pay. The rate varies based on the day the work is performed.
| Day/Condition | Minimum Compensation Rate (Multiplier) | Total Pay Rate | Notes |
| Normal Workday Overtime | 1.5 times the ordinary hourly rate (Time and a half). | 150% | Applies to hours worked beyond 8/day or 40/week. |
| Weekly Rest Day Work | 2 times the ordinary hourly rate (Double Pay). | 200% | This high premium is the minimum for work on the designated weekly rest day (usually Sunday). |
| Public Holiday Work | 2 times the ordinary hourly rate (Double Pay). | 200% | This premium is the minimum for work on an official public holiday. |
Compensation and Calculation
| Aspect | Statutory Requirement | Notes |
| Calculation Base | The rate of pay used for calculation includes the basic salary and certain allowances, but excludes specific additional payments like bonuses, travelling, food, or house allowances. | The ordinary rate of pay is the base for all overtime calculations. |
| Compensation Method | Compensation must be paid as a monetary premium. | The Labour and Employment Relations Regulations 2016 reference a ratio of time-off-in-lieu of overtime (TOIL), indicating that TOIL may be used in some contexts, but the monetary payment is the minimum statutory entitlement. |
Payroll
This country follows a monthly payroll cycle.
13th Salary
Not mandatory by law; payable only if required by a collective agreement, company policy, contract, or established practice.
Leave
Annual Leave (vacation)
Employees are entitled to at least 14 working days annual leave after 12 months continuous service per Samoa Labour & Employment Relations Act.
PTO carryover
In Samoa, statutory annual leave does not have a clear automatic carryover right in the law. Leave is meant to be taken when due, but accrued statutory leave cannot be forfeited. If employment ends before leave is taken, unused leave must be paid out. A blanket “use-it-or-lose-it” policy is not supported.
Public Holidays
| Date | Day | Holiday | Notes |
|---|---|---|---|
| 1 January 2026 | Thursday | New Year’s Day | Standard holiday |
| 2 January 2026 | Friday | Day after New Year’s Day / New Year Holiday | Standard holiday |
| 3 April 2026 | Friday | Good Friday | Standard holiday |
| 4 April 2026 | Saturday | Day after Good Friday / Holy Saturday | Standard holiday |
| 6 April 2026 | Monday | Easter Monday | Standard holiday |
| 11 May 2026 | Monday | Mothers’ Day Public Holiday | Standard holiday |
| 1 June 2026 | Monday | Independence Day (National Day) | Standard holiday |
| 10 August 2026 | Monday | Fathers’ Day Public Holiday | Standard holiday |
| 12 October 2026 | Monday | Day after White Sunday (Lotu-a-Tamaiti) | Standard holiday |
| 25 December 2026 | Friday | Christmas Day | Standard holiday |
| 26 December 2026 | Saturday | Boxing Day | Standard holiday |
Sick Days
Employees are entitled to at least 10 working days annual leave after 6 months continuous service per Samoa Labour & Employment Relations Act.
Maternity
6 weeks paid leave and can be extended by up to 6 additional weeks unpaid if medically required. Applies to female employees with at least 12 months of continuous service.
Paternity
5 days of paid paternity leave for male employees upon the birth of a child, provided they have at least 6 months of continuous service.
Bereavement Leave
3 days of paid bereavement leave and applies to the death of an immediate family member (spouse, child, or parent). Employers may extend this for other relatives by policy, but not legally required.
Employer taxes
Termination
Termination Process
Termination in Samoa follows the Labour and Employment Relations Act 2013, which requires valid grounds and a fair procedure:
Valid Grounds:
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Economic: redundancy or restructuring due to business needs.
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Personal: incapacity, poor performance, or inability to perform duties.
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Misconduct: may be minor or serious; serious misconduct allows dismissal without notice or severance, but only after due process.
Procedure:
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Employer must give written notice stating the reasons for termination.
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Employee must be given an opportunity to respond before a final decision is made.
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Employer may provide pay in lieu of notice if immediate termination is required.
Unfair Dismissal:
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A dismissal without valid reason, without fair procedure, or for discriminatory grounds may be challenged.
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Remedies include reinstatement or compensation, as ordered by the Labour and Employment Relations Tribunal.
| Salary payment interval / date | Final payment on termination | Bank account/payment-method requirement |
|---|---|---|
| Pay period must not exceed one month, and wages must be paid “before the expiration of the 7th day after the last day of the wage period”. | When employment ends (completion or termination) all wages due “must be paid … in no case later than 7 days after the date of such completion or termination”. | Wages must be paid in Samoan currency. Payment in cash at the place of employment is the default; bank deposit or cheque is allowed only at the written request or consent of the employee. |
Notice Period:
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Employees with <12 months’ service: 1 week.
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Employees with ≥12 months’ service: 2 weeks.
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Probationary employees: as specified in their contract.
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Notice may be paid in lieu.
Severance Pay:
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No general severance for ordinary dismissal.
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In redundancy cases, compensation must be provided, depending on service length and agreements.
Probation Period:
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Duration set in the employment contract (commonly up to 3–6 months).
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May be renewed once if agreed between employer and employee.
Immigration
In Samoa, all foreign nationals are required to obtain an Employment Permit before beginning work. These permits are issued by the Ministry of Commerce, Industry and Labour (MCIL). The application process usually requires the submission of a signed employment contract, proof of qualifications, a medical certificate, and a statement from the employer explaining why the role cannot be filled by a local worker. Employment permits are generally valid for up to two years and may be renewed upon expiry. For temporary roles, short-term work permits can be granted for up to three months. Dependents of the primary permit holder may also apply for dependent permits, though they are not legally allowed to work unless they secure their own employment authorization.
Minimum Wage
The minimum wage in Samoa is SAT $3.00/hour
MINIMUM WAGE (PER MONTH)
VAT
Samoa imposes a 15% VAT (GST) on most goods and services, with some exemptions and zero-rated supplies. Businesses above the SAT $130,000 turnover threshold must register and comply.
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Public Holidays Calendar
| Date | Day | Holiday | Notes |
|---|---|---|---|
| 1 January 2026 | Thursday | New Year’s Day | Standard holiday |
| 2 January 2026 | Friday | Day after New Year’s Day / New Year Holiday | Standard holiday |
| 3 April 2026 | Friday | Good Friday | Standard holiday |
| 4 April 2026 | Saturday | Day after Good Friday / Holy Saturday | Standard holiday |
| 6 April 2026 | Monday | Easter Monday | Standard holiday |
| 11 May 2026 | Monday | Mothers’ Day Public Holiday | Standard holiday |
| 1 June 2026 | Monday | Independence Day (National Day) | Standard holiday |
| 10 August 2026 | Monday | Fathers’ Day Public Holiday | Standard holiday |
| 12 October 2026 | Monday | Day after White Sunday (Lotu-a-Tamaiti) | Standard holiday |
| 25 December 2026 | Friday | Christmas Day | Standard holiday |
| 26 December 2026 | Saturday | Boxing Day | Standard holiday |
Questions & Answers