Payroll in Thailand — Simplified

Payroll in Thailand doesn’t need to feel like a maze. Between taxes, social security, and province-based wage updates, it’s easy to miss details — but don’t worry, we’ve simplified it all in one place.

Whether you’re a business owner, HR manager, or just curious about how payroll runs in Thailand, this 2025 cheat sheet will walk you through the essentials — clearly, simply, and with zero jargon.

🧾 Registration & Tax Setup

• Social Security Office (SSO): Register within 30 days of hiring your first employee.

• Workmen’s Compensation Fund (WCF): Required once you have at least one employee; premiums are paid annually and based on company risk level.

💰 Payroll Withholding Tax (PIT)

• Tax rate: 0%–35% progressive (first THB 150,000 exempt).

• Filing deadlines:

  • Paper: by the 7th of the following month.

  • E-filing: by the 15th (Thailand grants an extra 8 days for online filing).

Bonus note: Did you know? If the taxable income changes during the year, Thailand regulations require you to re-calculate their annualized personal tax.

👥 Social Security Contributions (SSO)

• Employer: 5% capped at THB 750

• Employee: 5% capped at THB 750

• Due: 15th of the following month

These rates apply on monthly salaries up to THB 15,000. (Temporary COVID reductions ended — the standard 5% is back for 2025.)

Bonus note: Here’s a quick tip: By law (Social Security Act B.E. 2533), there’s a minimum salary used to calculate SSO contributions in Thailand. If an employee earns less than THB 1,650 per month, both the employer and employee must still contribute 5% of THB 1,650—that’s 83 THB each.

🛡️ Workmen’s Compensation Fund (WCF)

• Rate: 0.2%–1.0% of total wages

• Salary cap: THB 240,000 per year

• Due: January each year (some offices extend to March)

💸 Minimum Wage 2025

Minimum daily wages now range from THB 337 to THB 400, depending on province.
Bangkok and nearby provinces have adopted the THB 400 rate. Always confirm your province’s official rate before setting payroll.

🕒 Working Hours & Leave

• Standard hours: 8 per day, 48 per week (7/42 for hazardous jobs)

• Overtime: Must be agreed upon in writing; additional pay required

• Public holidays: Minimum 13 days per year announced by the government

• Annual leave: At least 6 working days after one full year of service

📋 Payroll Rhythm — Your Monthly Checklist

✅ Register with SSO (within 30 days of first hire)
✅ Withhold and file PIT (PND1) every month
✅ Pay SSO 5% + 5% by the 15th of next month
✅ Pay WCF once per year
✅ Check your minimum wage by province
✅ Keep records of OT approvals & payslips

⚠️ Common Mistakes to Avoid

🚫 Late SSO payments
🚫 Forgetting e-filing grace periods
🚫 Underpaying provincial minimum wages
🚫 Missing annual WCF submissions

Bonus Tips for Employers in Thailand

1. E-Filing = Extra Time
   Always file online when possible — you get 8 extra days beyond paper deadlines for PIT submissions and several other tax forms. That’s valuable breathing room each month.

2. Track Wage Changes by Province
   Minimum wage updates aren’t nationwide. They’re province-specific and can change mid-year. Bookmark the Ministry of Labour’s announcement page and review every January and July.

3. Don’t Forget Foreign Staff Rules
   Expat employees under non-permanent contracts may have different tax and social security treatment. Double-check if they’re covered under Section 33 or only personal tax.

4. Payroll Automation Helps
   Thailand’s multiple filings (PND1, SSO, WCF) can be automated through platforms like HR Forte, which calculates contributions and generates compliant reports in one click.

5. Keep Digital Payslip Proof
   Even though physical payslips aren’t mandatory, digital payslips are — they serve as proof in audits or disputes. Store them securely for at least 5 years.

6. Workmen’s Comp Reclassification
   Your WCF rate (0.2–1%) depends on your industry and accident record. You can apply for reclassification if your company maintains a safe track record for multiple years.

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