Easily manage employment in Thailand

Payroll services in Thailand

Thailand’s economy thrives through tourism, manufacturing, agriculture, and increasing tech investments. Employers must stay compliant with varied minimum wages, working hours, social security obligations, and income tax requirements. Clear understanding of these payroll foundations ensures smooth operations and legal confidence.

Payroll breakdown in Thailand

Minimum wage and working hours

• Minimum wage: As of 2025, Thailand’s minimum wage ranges daily between THB 337 and THB 400, depending on province and sector. Bangkok, Phuket, Chonburi, Rayong, Chachoengsao, and Koh Samui are at THB 400/day. Hotels and entertainment venues nationwide also follow the THB 400 rate. Other provinces fall between THB 337 and THB 380/day.
• Working hours: Standard maximum is 8 hours per day or 48 hours per week. Hazardous roles are capped at 7 hours per day or 42 hours per week.
• Payroll frequency: Salaries are generally paid monthly, typically on the last working day.

Overtime pay

• Overtime is allowed beyond legal working hours, with employee consent required (except emergencies).
• Employers must cap overtime at 36 hours per week.
• Specific overtime rates depend on contract terms or sector norms.

Taxation and social security contributions

• Personal income tax: 
  • Thailand uses a progressive income tax system with rates up to 35%.
  • Employers must withhold and remit income tax monthly, according to thresholds and taxable income (e.g., wages, bonuses). Payroll deductions like mortgage interest, charitable contributions, and provident fund contributions can apply.
• Social Security Fund (SSF) and other contributions:
  • Social Security contributions: Employers and employees each contribute 5% of the employee’s salary, capped at THB 750 per month (based on a maximum salary base of THB 15,000).
  • Contributions provide benefits such as sickness, maternity, unemployment, and pension.
  • Additional insurance: Employers also contribute to work injury insurance, with rates varying by industry.
  • Provident fund: Voluntary retirement savings, often matched by the employer; contribution rates typically range from 2–15%.

Payroll compliance and record-keeping

• Employers must register with the Revenue Department and the Social Security Office at the start of employment.
• Payslips must be issued with breakdowns of gross pay, deductions, and net pay.
• Employers are responsible for accurate monthly remittance of income tax and social security, with penalties for late or missing contributions.
• Payroll records must be retained for several years and maintained securely in compliance with data protection expectations.

Quick facts: Important considerations for employers

• Payroll cycle: Monthly, typically on the last working day.
• Currency: Thai Baht (THB).
• Minimum wage: THB 337–400/day depending on location and sector.
• Working hours: Up to 8h/day, 48h/week; hazardous roles limited to 7h/day, 42h/week.
• Overtime: Voluntary, capped at 36h/week, with documented rates.
• Taxation: Progressive rates up to 35%, with employer withholding responsibility.
• Social contributions: 5% for both employer and employee, capped at THB 750 per month; additional work injury insurance required.
• Benefits: Optional provident fund for retirement savings.
• Compliance: Trustworthy record-keeping, timely remittance, and secure payslips are essential.

Run payroll in Thailand with Remote

Managing payroll in Thailand involves navigating provincial wage differences, regulated working hours, multiple contribution obligations, and evolving tax regulations. Remote brings local expertise, automated workflows, and compliance tools, so you can pay your team accurately, on time, and with confidence.

Book a demo today to see how Remote can streamline your Thailand payroll and help your global team thrive.