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Payroll and Benefits Guide British Virgin Islands (UK)

Last updated: May 03, 2023

Currency
United States Dollar (USD)
Employer Taxes
Unknown
Payroll Frequency
Monthly
Employee Costs
7.75%
Capital
Road Town
Date Format
dd/mm/yyyy
Fiscal Year
Unknown
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Contribution

Employer
Employer Payroll Contributions
4.50%
Social Security (maximum insurable earnings $47,000.00)
3.75%

Health Insurance (employer and employee pay contributions toward national health insurance at a rate of 7.5 per cent of the employee’s salary split equally between the employer and employee.)(maximum insurable earnings $47,000.00)

8.25%
Total Employment Cost
Employee
Employee Payroll Contributions
4.00%
Social Security (maximum insurable earnings $47,000.00)
3.75%
Health Insurance (employer and employee pay contributions toward national health insurance at a rate of 7.5 per cent of the employee’s salary split equally between the employer and employee.)

(maximum insurable earnings $47,000.00)

7.75%
Total Employee Cost
Employee Income Tax
Payroll Tax
10% – 14%
Depending on the size of the company and operations, payroll tax will be assessed at 10% (if employing less than seven people) or 14% of total annual remuneration paid to the employee or deemed employee; 8% may be deducted from the employee at source, whereas the remainder is paid by the employer or self-employed person. No deduction shall be made in respect of the first 10,000 USD of actual remuneration paid to an employee in any financial year (which currently corresponds with the calendar year).

Employer taxes

Highest
Lowest

Employee taxes

Highest
Lowest

Minimum Wage

General

The national minimum wage in the British Virgin Islands is currently 6 USD per hour, 460 USD per month.

MINIMUM WAGE (PER MONTH)

Highest
Lowest

Payroll

Payroll Cycle

The payroll cycle in the British Virgin Islands is generally monthly, and payments are to be made on the last working day of each month.

13th Salary

In the British Virgin Islands, 13th-month payments are mandatory, and an employee must pay an additional month’s salary at the end of the year.

Working Hours

General

The standard working week in the British Virgin Islands consists of 40 hours, 8 hours per day for five days.

Overtime

All work above the standard working hours a week is to be paid as overtime and regulated by employment contract/collective agreements etc. When an employee is requested to work overtime or work on holidays, there is a maximum of 4 hours per day.
Overtime hours more than 40 hours a week are paid at the rate of 150.00% of the employees’ regular pay rate.

Leave

Annual Leave (vacation)

In the British Virgin Islands, the paid annual leave entitlement depends on the years of service that the employee has served. The paid leave entitlement is typically between 12 and 20 days.

Public Holidays

Date Day Holiday Note
01 Jan 24 Monday New Year’s Day
04 Mar 24 Monday Hamilton Lavity Stoutt Holiday
29 Mar 24 Friday Good Friday
01 Apr 24 Monday Easter Monday
20 May 24 Monday Whit Monday
14 Jun 24 Friday Sovereign’s Birthday Tentative
01 Jul 24 Monday Virgin Islands Day Tentative
05 Aug 24 Monday Emancipation Monday
06 Aug 24 Tuesday Emancipation Tuesday
07 Aug 24 Wednesday Emancipation Wednesday
21 Oct 24 Monday Heroes’ and Foreparents Day
11 Nov 24 Monday The 1949 Great March and Restoration Day
25 Dec 24 Wednesday Christmas Day
26 Dec 24 Thursday Boxing Day

Sick Days

An employee can claim up to 12 days paid sick leave providing they have worked for the same employer for four months; the employee must provide a certificate of sickness on the first day of sickness. Eligible employees receive social security benefits while on leave.

Maternity Leave

Female employees are entitled to 13 weeks of paid maternity leave after 12 months of continuous employment. Employees can take at least six weeks of leave after the expected due date. The leave can be taken at least six weeks after birth and can be extended up to three months in the event of a pregnancy-related illness. Eligible employees receive maternity benefits/maternity allowance from the social security ordinance while on maternity leave.
In pregnancy-related complications, the employer can provide additional leave of no more than three months.

Paternity Leave

In The British Virgin Islands, fathers of new-born child/children are entitled to unpaid paternity leave of one month to be used before the child is six months old.

Parental Leave

There are no provisions in the law regarding parental leave.

Other Leave

In the British Virgin Islands there is no other statutory leave.

Vacation Days
Public Holidays
Highest
Lowest

PAID MATERNITY LEAVE (DAYS)

Highest
Lowest

Termination

Termination Process

The termination process varies according to the employment agreement and collective agreement in place and based on the type of contract and reason for termination.

Notice Period

In the British Virgin Islands, the notice period is 15 days, and all official notice must be provided in writing.

Severance Pay

In accordance with the British Virgin Islands Labor Code, Severance pay is paid at the rate of one week’s regular salary rate for each year the employee has worked for the company. The employee also receives vacation payment which is 30 days for every 11 consecutive months worked, together with an element from any applicable 13th-month payments.

Probation Period

In The British Virgin Islands, probationary periods of 4 months are common but can be extended up to 6 months for more senior employees.

VISA

VISA

British nationals do not need a visa to visit the BVI. However, to work in The British Virgin Islands, work permits are required for all non-BVI citizens and are typically allocated on a one or two-year basis.
To secure a work permit, eligibility for admission in The British Virgin Islands needs to be fulfilled, including providing the correct and complete required documentation and the requirement for the employer to have satisfied the authorities that they have been unable to source an appropriate candidate locally. The work permit and immigration approval process can take up to 10 weeks from the date of submission to the Labor Department.
If the position is a senior position in the financial services sector, additional approval from the BVI Financial Services Commission will be required before applying for a work permit.

VAT

General

There is no VAT in the British Virgin Islands.

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Version History

May 29, 2022
Payroll contributions and personal income tax rates have been updated.
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Questions & Answers

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Julia
Julia
1 year ago

Is a UK citizen required a work permit to work in the Virgin Islands?

Erez Greenberg
Erez Greenberg
1 year ago
Reply to  Julia

To engage in gainful employment in the Virgin Islands, all persons who do not hold a valid Certificate of Residence or who are not exempt from the requirement of a work permit must have a valid work permit.

Gregg
Gregg
10 months ago

My mother work for the port and about 6 months ago she got a major stroke, she couldn’t help herself, so her husband had to quit his job to take care of her, she was getting social security but that stopped the begging of march. Am just curious to know if she been a government employee what are the benefits she is entitled to. Also her recovery is real slow because it requires physical therapy and speech therapy and she can’t afford it. So please am asking if you could direct me in the right direction so she can get the help she deserves. She have been with the port authority for 12 years

Enny Shmurin
Admin
Enny Shmurin
10 months ago
Reply to  Gregg

Hello, sorry to hear. I can recommend you to reach out to https://bvi.gov.vg/departments/department-human-resources-0 or talk to a private lawyer. Hopefully, they will be able to help. Unfortunately, we do not work with the government sector so I won’t be able to assist you with this question.

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Payroll and Benefits Guide in British Virgin Islands (UK)

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Payroll and Benefits Guide
in British Virgin Islands (UK)

What’s covered in this guide:

  • Employer/employee contributions
  • Minimum wage
  • Working hours
  • Visa requirements

And more...

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All questions are answered by our in-house compliance department working in conjunction with our local in-country partner for this specific country

Public Holidays Calendar

British Virgin Islands (UK)
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ICS
Date Day Holiday Note
01 Jan 24 Monday New Year’s Day
04 Mar 24 Monday Hamilton Lavity Stoutt Holiday
29 Mar 24 Friday Good Friday
01 Apr 24 Monday Easter Monday
20 May 24 Monday Whit Monday
14 Jun 24 Friday Sovereign’s Birthday Tentative
01 Jul 24 Monday Virgin Islands Day Tentative
05 Aug 24 Monday Emancipation Monday
06 Aug 24 Tuesday Emancipation Tuesday
07 Aug 24 Wednesday Emancipation Wednesday
21 Oct 24 Monday Heroes’ and Foreparents Day
11 Nov 24 Monday The 1949 Great March and Restoration Day
25 Dec 24 Wednesday Christmas Day
26 Dec 24 Thursday Boxing Day