Payroll and Benefits Guide Egypt

Last updated: May 03, 2023

Egyptian Pound (EGP)
Employer Taxes
Payroll Frequency
Employee Costs
Date Format
Fiscal Year
1 July - 30 June



Employer Payroll Contributions


(21% for Members of the Board of Directors)

Social Security (Minimum taxable wages is 1,700 EGP and maximum is 10,900 EGP)


Emergency Relief (ER) Fund- 1.00% of the basic social insurance salary (2,210 EGP)


Total Employment Cost


Employee Payroll Contributions


Social Security (Minimum taxable wages is 1,700 EGP and maximum is 10,900 EGP)


Total Employee Cost


Employee Income Tax


Up to 15,000 EGP


15,001 EGP – 30,000 EGP


30,001 EGP – 45,000 EGP


45,001 EGP – 60,000 EGP


60,001 EGP – 200,000 EGP


200,001 EGP – 400,000 EGP


Over 400,000 EGP

Employer taxes


Employee taxes


Minimum Wage


The minimum wage in Egypt is currently set at 3,500 EGP for the public sector and for the private sector it is set at 2,700 EGP.




Payroll Cycle

In Egypt, the payroll frequency is monthly, and payment must be made by the 5th of the following month.

13th Salary

In Egypt, there is no legal requirement for 13th-month payments.

Working Hours


The standard working week in Egypt consists of 8 hours a day and 40 hours a week.


All working hours above 48 hours per week are subject to overtime pay at a rate of 135.00% of their regular salary rate of pay during daylight hours and 170.00% of their regular salary rate of pay for work at night.

Working Week



Paid Time Off

In Egypt, employees are entitled to 21 days of paid annual leave per year if employed for at least six consecutive months.

It increases to 30 days of paid annual leave for employees who have completed ten years of consecutive employment or employees over 50 years of age.

Vacation Days
Public Holidays

Public Holidays

There are 21 public holidays.

Each year the government may decide if public holidays falling on weekends will be moved to a weekday or will be lost.

Certain religious holidays are determined by the lunar cycle and will be confirmed nearer the date of the holiday.

Sick Days

An employee is entitled to up to 6 months of paid sick leave and must provide a professional medical certificate confirming the sickness.

For the first 90 days of sick leave, the employee is entitled to 75% of the regular salary rate. After that, this increases to 85% of the normal rate of pay for 90 days.

Maternity Leave

Female employees who have been employed for ten consecutive months are entitled to 90 days of paid maternity leave and 45 days following the birth of a baby.

Employees are entitled to take two periods of maternity leave during their total employment service.

Upon return to the workplace, the woman is entitled to two thirty-minute nursing breaks or a combined one-hour nursing break each day for up to two years after the date of birth.



Paternity Leave

There are no provisions in the law regarding paternity leave.

Parental Leave

Employers who have more than 50 employees in the company must provide mothers with 24 months of unpaid leave for each child.

If the company has at least 50 employees, female employees are entitled to take up to 2 years of unpaid leave to take care of their child. An employee can take this type of leave twice during the entire service of the employee.

Other Leave

Depending on the Collective Agreement/Employment Contract terms, an employee may be allowed additional leave types, on approval of the employer and employee, for the following:

  • Casual leave – Employees are entitled to up to six days off from work per year and are not required to state a reason for taking the leave. Employees are allowed to take a maximum of 2 days per leave. Casual leave counts as part of annual leave.


Termination Process

The termination process varies according to how the Employment Agreement and Collective Agreement are in place and is based on the type of contract and reason for termination.

An employer who wishes to terminate an employee must go before a committee with judicial powers at the Ministry of Manpower and Migration. The committee has 15 days to decide whether to grant the request. The employer may then dismiss the employee, who retains the right to challenge the dismissal in court.

Notice Period

In Egypt, the periods of notice are determined according to the employment agreement/contract and collective agreement in place and the length of service by the employee.  If the employee has completed less than ten years of service, the notice period is two months, increasing to three months for employees with more than ten years of service.

Severance Pay

There is no statutory severance pay unless the employee’s termination is unjustified, or the employer has voluntarily provided it.

Probation Period

In Egypt, the probation period is fixed by the employment contract and, by law, cannot exceed three months.



Foreigners are strictly prohibited from carrying on any work in Egypt without a valid work permit. A work permit for Egypt is granted by the Ministry of Manpower in Egypt and is usually for one year.

Before the authority issues a work permit for foreigners, a labor market test must prove that there are no local residents eligible for that position. When a work permit is finally granted, the applicant must train at least two local Egyptian nationals to work in the same position. Applying for a work permit in Egypt typically takes 1 to 3 months until the applicant can enter Egypt. It may take a further 2 to 4 months before the process is completed

Egypt offers several types of visas, including the following:

  • Work visa: Once a foreign national gets a work permit, their visa, such as a temporary/tourist visa, will be converted into a work visa.
  • Temporary/tourist visa: This option is a renewable single-entry 30-day tourist visa that individuals can get when arriving at Egyptian airports. It’s also the visa individuals obtain for a job.
  • Ordinary visa: An ordinary visa is valid for three to five years and allows an employee’s spouse to have a resident permit for the amount of time identified on their work permit.
  • Special visa: The special visa is for expats born in Egypt before May 26, 1952, or individuals who have lived in Egypt for more than 20 years from that date. It’s valid for ten years and can be renewed.



The standard rate of VAT in Egypt is 14.00%

Stay up to date on payroll & employment law changes

Version History

July 1, 2021
Minimum wage increases to 2,400 EGP per month
February 27, 2022
The minimum wage in Egypt is currently set at 2,700 EGP for the public sector and for the private sector it is set at 2,400 EGP.
Payroll contributions and personal income tax rates have been updated.

Questions & Answers

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Kaleem F.
Kaleem F.
1 year ago

Is backdating an employment agreement legal?

Erez Greenberg
Erez Greenberg
1 year ago
Reply to  Kaleem F.

In Egypt, it is legal. Backdating must be done within the calendar month, and the contract must be signed before any payment can be made to the employee.

Buwaneka Wimalarathna
Buwaneka Wimalarathna
10 months ago


Two questions.

  1. is there any benefit (additional allowance) to employees once they completed 5 years or 10 years of service?
  2. if so, should it granted to the employees during their resignations or terminations along with the full & final settlement.
Erez Greenberg
Erez Greenberg
9 months ago

Paid time off and notice periods change for employees with ten or more years of service. Paid time off increases to 30 days of paid annual leave and the notice period increases to 3 months.

Josephine E
Josephine E
9 months ago

Should pay in lieu of notice include allowances?

Erez Greenberg
Erez Greenberg
9 months ago
Reply to  Josephine E

Hi Josephine,
Yes, pay in lieu should cover all of the regular salary items.

Petros Pan
Petros Pan
4 months ago

Hi, ARe bonus payments taxable?

Martin W
Martin W
2 months ago

I’ve received contradictory information related to overtime in Egypt:
During day:

  • Some sources state a total pay of 135% (salary + 35% overtime pay)
  • Other sources stat a total pay of 235% (salary + 135% overtime pay)

During night:

  • either 170% total
  • or 270% total

Thank you in advance for clarifying!

Martin W
Martin W
2 months ago
Reply to  Enny Shmurin

Thank you for replying!
So with a concrete example, my hourly pay is EGP200. I worked 44 hours this week.

My normal time pay is: 40*200 = 8000 EGP
My overtime pay is: 4*200*135% = 1080 EGP

Is this correct?
Thank you very much

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Payroll and Benefits Guide
in Egypt

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

Egypt 2023
Day Date Holiday Notes
Saturday Jan-7 Coptic Christmas Day
Thursday Jan-26 Revolution Day
Sunday Apr-16 Coptic Easter
Monday Apr-17 Sham el Nessim
Thursday Apr-20 Eid Al Fitr
Friday Apr-21 Eid Al Fitr
Saturday Apr-22 Eid Al Fitr
Sunday Apr-23 End of Ramadan
Monday Apr-24 End of Ramadan
Tuesday Apr-25 Sinai Liberation Day
Monday May-1 Labour Day
Tuesday Jun-27 Eid Al-Adha
Wednesday Jun-28 Eid Al-Adha
Thursday Jun-29 Eid Al-Adha
Friday Jun-30 Eid Al-Adha & June 30th Revolution Day
Saturday Jul-1 Eid Al-Adha
Sunday Jul-2 Eid Al-Adha
Friday Jun-30 June 30 Revolution
Saturday Jul-1 Eid Al-Adha
Thursday Jul-20 El Hijra
Sunday Jul-23 The July 23 Revolution Day
Wednesday Sep-27 Al Mouled Al Nabawy
Friday Oct-6 Armed Forces Day