Manage Payroll Tax in Panama

Taxes in Panama

Learn how employment taxes affect your payroll and your employees’ paychecks in Panama.

Employer

13.25%

Seguro Social (Social Security Contribution)

8.33%

Decimo Tercer Mes (13th Pay)

1.50%

Seguro Educativo (Educational Insurance)

0.98%

Riesgo Profesional (Accident insurance)

0.90%

Seguro Social del Décimo Tercer Mes (Social Security on 13th Month Compensation)

Employee

9.75%

Social security

0.98%

Riesgo Profesional (Accident insurance)

Personal Income Tax Rates

0 - 0%

$11,000

15%

$11,000 - $50,000

25%

$50,000 and above