Run salaries for Bahrain’s Wage Protection System, calculate SIO contributions and expatriate end-of-service, issue payslips and post the journal — every month, in one run.
Salary, SIO and end-of-service handled in one run.
Basic salary, allowances, overtime, unpaid leave and deductions calculated per employee.
Each pay run prepared for payment through the Wage Protection System via your bank or payment provider.
Employee and employer shares calculated per employee, with rate tables you can update when the SIO changes them.
Monthly end-of-service contributions to the SIO for non-Bahraini staff — 4.2% of wage for the first 3 years, 8.4% after.
Digital payslips for every employee, available in the employee self-service portal.
Salary expense, SIO liabilities and end-of-service post to the general ledger automatically.
Salaries, overtime and deductions from approved attendance and leave.
SIO and end-of-service contributions worked out per employee.
Salaries paid through the Wage Protection System.
Payroll journal posted; SIO paid by the 15th of the next month.
| Topic | 2026 rule |
|---|---|
| Wage Protection System | Enhanced WPS mandatory for all private-sector employers from February 2026, run by the Labour Market Regulatory Authority (LMRA) |
| Wages Responsible Person | Employers appoint a person responsible for wage payments under the system |
| SIO contributions | Paid monthly, by the 15th of the following month |
| Insurable wage cap | BHD 4,000 a month |
| Expatriate end-of-service | Paid to the SIO since March 2024 (Resolution No. 109 of 2023): 4.2% of wage for the first 3 years, 8.4% after |
| Bahraini employees | Covered by the SIO pension scheme, with employer contributions rising each year to 2028 |
Last reviewed October 2026. Tax and payroll content is general information — confirm your position with the National Bureau for Revenue (NBR), the LMRA, the SIO or a licensed Bahrain adviser.
It is the LMRA system that monitors whether private-sector employers pay wages on time and in full through approved banks and payment providers. It became mandatory for all private-sector employers from February 2026, and employers that fail to comply can face restrictions on LMRA services such as work permits.
Yes. ETaxFlow calculates the employee and employer SIO contributions for each employee, Bahraini and non-Bahraini, on wages up to the BHD 4,000 cap, and gives you a monthly summary for payment by the 15th of the following month.
Since March 2024, employers pay a monthly end-of-service contribution to the SIO for non-Bahraini employees — 4.2% of wage for the first three years of service and 8.4% after that. End-of-service accrued before that date remains the employer’s responsibility, and ETaxFlow keeps that balance on record.
Yes. Each payroll run posts salary expense, deductions, SIO liabilities and end-of-service to your general ledger, so payroll and accounts always agree.