HR & Payroll

Ultimate Payroll Guide for Businesses in Brunei (2025 Edition) Managing payroll in Brunei isn’t just about disbursing salaries—it’s about staying legally compliant, safeguarding employee rights, and ensuring seamless operations. Whether you’re a startup, SME, or an established enterprise, this guide will walk you through everything you need to know about payroll management in Brunei, with a focus on the latest TAP and SCP contribution requirements. 📌 Why Payroll Management Matters in Brunei In Brunei, payroll is tightly regulated under the Employment Order 2009. A proper payroll system ensures: Timely and accurate salary disbursement TAP & SCP compliance Transparent deductions and benefits Legal adherence and audit readiness A well-structured payroll process not only saves time but also builds trust with your employees. 📋 Core Components of Payroll in Brunei 1. Employment Contracts All employees must be given written contracts stating job roles, wages, working hours, and leave entitlements. This ensures both clarity and legal compliance. 2. Salary Structure Your payroll must cover: Basic Salary Overtime Compensation Bonuses & Allowances Approved Deductions (e.g., absences, loans) 3. Payroll Frequency Salaries are usually paid monthly and must be disbursed within 7 days after month-end. Employers are advised to issue itemized payslips to all employees. 🧾 TAP and SCP Contributions – What Employers Need to Know Under Brunei law, employers must contribute to two retirement schemes: TAP (Tabung Amanah Pekerja) SCP (Supplementary Contributory Pension) These ensure financial security for employees post-retirement. 🔐 Employer Contribution Rates Salary Range (BND) Employer Contribution Rate (TAP + SCP) $500.00 and below Fixed at $57.50 $500.01 – $1,500.00 10.5% of wages (minimum $57.50) $1,500.01 – $2,800.00 9.5% $2,800.01 and above 8.5% 💡 There is no maximum cap anymore—contributions are calculated on the full salary. 👨‍💼 Employee Contribution Fixed at 8.5% of their basic wage Automatically deducted and submitted by the employer 📅 Contribution Deadline Employers must submit contributions by the 15th of the following month to avoid penalties. 💻 Use the e-Amanah portal to: Register as an employer Register new employees Update employee details Submit and track monthly contributions 💼 Defining “Wages” for Contribution Included in contributions: Basic salary Commissions (if no fixed salary) Allowances considered part of fixed pay Excluded from contributions: Overtime pay Bonuses Special or acting allowances Travelling and housing allowances Gratuity, retrenchment benefits, and service charges   🛠 Tools & Services to Simplify Payroll Managing payroll manually increases the risk of errors. Many businesses in Brunei now use professional payroll services or software for: Monthly salary automation TAP/SCP calculations Payslip generation Compliance reporting 💼 Want full payroll support in Brunei? Contact us for: Payroll Outsourcing Employee Contract Management Tax & Contribution Reports HR Documentation & Compliance For more information:  Contact us at : +673 8243820 | +673 8306820 6738243820 2701277 Email: info@merciumbn.com Visit Our Website: www.merciumbn.com Follow us on IG:   mercium_bn Visit us: No. 7, First Floor, Bng Hj Abd Rahman Spg 7, Kg Menglait, Jln Gadong, Brunei Darussalam  Written by: Faisal KvCorporate Compliance Specialist | Mercium Sdn Bhd, Brunei Darussalam Let’s Work Together to Build Your Success CONTACT US Facebook-f Instagram Youtube Linkedin