Practical guides for HR
Clear summaries of what you need in Saudi Arabia, with the articles of the law and worked examples.
The Saudi Labor Law
The key Labor Law articles: working hours, overtime, leaves, notice and end-of-service.
Read the guideGOSI contributions
Who is covered, the contributory wage, and contribution rates for Saudis and non-Saudis.
Read the guideFree Excel payroll template
A ready template that calculates GOSI under both systems, absence deductions and net pay. Direct download, no sign-up.
Open the templateWorked examples
An overtime hour
An employee's basic wage is SAR 6,000 and full wage SAR 8,000. The hourly wage is 8,000 ÷ 30 ÷ 8 = SAR 33.33. Add 50% of the basic hourly wage (6,000 ÷ 30 ÷ 8 × 50% = SAR 12.50), so one overtime hour is SAR 45.83 (Article 107).
End-of-service benefit
An employee with a last wage of SAR 10,000 and 7 years of service, terminated by the employer: half a month for each of the first five years (25,000) and a full month for each year after (20,000), so SAR 45,000 (Article 84). Had they resigned after 7 years, they would receive two-thirds: SAR 30,000 (Article 85).
Note
This guide is general information based on the regulations and their amendments as of the last update. It is not legal advice; always refer to the official texts and authorities before acting.
Last updated: October 2026
Ready to Modernize Your HR?