UGANDA
Payroll Outsourcing
Pay Your Talents in Uganda Compliantly
Pay Your Talents in Uganda Compliantly
How Can We Help You?
Pay Your Team in Uganda. On Time. Everytime.
Pay your team in Uganda accurately and on time with expert payroll support that ensures full compliance with local labour and tax laws.
- Pay anyone in Uganda - no matter the currency.
- Manage employee benefits easily. Get the support you need to navigate employee contributions in Uganda.
Flexible Payroll Solutions in Uganda.
Payroll solutions that adapt to your needs whether you are established or growing in Uganda.
Uganda Payroll expertise at your fingertips
Over more than a decade, Africa HR Solutions has become a leading payroll service provider in Uganda and across Africa with a proven track record of success with over 400 clients across many industries.
A single point of contact
Avoid unnecessary headaches and mistakes – manage everything from a single point of contact. Your dedicated account manager is always available to assist with any queries you may have.
Self service portal for your talents in Uganda
Give your team the tools they need to easily manage their payslips, leave allowances, and other claims. Powered by SAGE, the employee self-service portal will make their lives easier.
100% Compliant payroll operations
Ensuring your operations are carried out compliantly is a must. From country-specific employee contribution to tax policies, we make sure your company is up to code with Uganda’s legislation at all times.
Uganda Country Overview
Geographic location: Uganda is located in eastern Africa, west of Kenya, south of South Sudan, east of the Democratic Republic of the Congo, and north of Rwanda and Tanzania.
Population: Uganda is the world’s second most populous landlocked country after Ethiopia.Â
Economy: This low-income country relies heavily on oil export and food products such as coffee, maize, tea, tobacco, sugar, and cocoa beans. Uganda is well known for being rich in natural resources like crude oil and natural gas.
Payroll in Uganda - What You Should Know
- Population: 45,853,778
- Gross Domestic Product (GDP): $40.53 B
- GDP Growth (April 2021): 3.5%
- Inflation, consumer prices: 2.2%
- Foreign Direct Investment (% of GDP): 2.8%
- Unemployment Rate: 2.9%
- Capital: Kampala
- Currency: Ugandan Shilling
- Languages: Swahili, English
Employer Contribution
- 10.00% of the employer’s emoluments must be contributed to social security.
Employee Contribution
- 5.00% of the employee’s emoluments must be contributed to social security.
Value-added tax (VAT)
The standard VAT rate is 18% in Uganda. Some supplies and services are zero-rated, and others are exempt.Â
Paid Time-OffÂ
Employees are generally entitled to 21 days of paid annual leave.Â
Sick LeaveÂ
According to the Employment Act 2006, an employee is entitled to paid sick leave on completion of one month of service with the employer.Â
Should the worker be incapable of work because of sickness or injury, they are entitled to paid sick leave paid full for the first month of illness.Â
Maternity LeaveÂ
In Uganda, women are entitled to a maximum of 60 days of maternity leave – 4 weeks must be taken in the postnatal period.Â
Paternity LeaveÂ
In Uganda, men are entitled to 4 days of paid paternity leave. They are still eligible in case of miscarriage of their wife.
Notice periods in Uganda are as follows:Â
- For employees with more than 6 months but less than 1 year of service: 2 weeksÂ
- For employees with more than 12 months but less than 5 years of service: 1 monthÂ
- For employees with more than 5 years but less than 10 years of service: 2 monthsÂ
- For employees with more than 10 years of service: 3 monthsÂ
Under the Ugandan Labour Code, employees are generally entitled to severance pay. However, compensation needs to be negotiated between the employer and the worker.Â
An employee is entitled to severance pay after completing 6 continuous months of work under the same employer.Â
- New Year’s Day (1st January)Â
- NRM Liberation Day (26th January)Â
- Archbishop Janani Luwum Memorial Day (16th February)Â
- International Women’s Day (8th March)Â
- Good Friday (10th April)Â
- Easter Monday (13th April)Â
- Labor Day (1st May)Â
- Eid al-FitrÂ
- Uganda Martyrs’ Day (3rd June)Â
- National Heroes’ Day (in Uganda) (9th June)Â
- Father’s Day (21st June)Â
- Eid al-AdhaÂ
- Independence Day of Uganda (9th October)Â
- Christmas Day (25th December)Â
- Boxing Day (26th December)Â
While the content presented on this webpage is accurate as of the time of publication, it is imperative to recognise that the content is provided solely for informational purposes and does not constitute legal and/or tax advice. To obtain the most current and precise guidance, it is essential to verify specific details related to employment or compliance with our experts or consult your own legal and/or tax advisor(s). Africa HR Solutions Ltd. explicitly does not offer legal or tax advice. The information provided is general in nature, not tailored to a specific company or workforce, and does not reflect the service delivery of Africa HR Solutions in any given jurisdiction. Africa HR Solutions makes no representations or warranties regarding the accuracy, completeness, or timeliness of this information and disclaims any liability arising out of or in connection with it, including any loss resulting from the use of or reliance on the information. Â
Seeking a Reliable Payroll Partner in Uganda?
Pay your talents are paid on time and without error! Our team at Africa HR Solutions also provides your company the guidance you need to ensure that your operations comply with Uganda’s labour Code and tax policies. Over the years, we have played a pivotal role in the expansion of over 400 clients across Africa by providing reliable HR and payroll and cross-border payment outsourcing solutions.
Trusted by Inspiring Changemakers.
Simplify and manage your team's payroll in Uganda
Your payroll in Uganda is simplified with PAYE, NSSF compliance, and secure monthly salary payments.
Frequently Asked Questions
What is payroll outsourcing?
Payroll outsourcing is when a specialist partner manages salary calculations, tax deductions, and statutory filings on your behalf. This ensures employees are paid correctly and on time while keeping your business compliant with local laws.
How does tax outsourcing work?
Tax outsourcing covers the preparation, filing, and payment of employee and employer-related taxes. It reduces the risk of errors, missed deadlines, or penalties by ensuring all contributions are handled according to local regulations.
Why should I outsource payroll and tax in Africa?
Africa’s employment laws and tax frameworks differ from country to country. Outsourcing ensures compliance, saves administrative time, and avoids costly mistakes while giving you access to local expertise in multiple jurisdictions.
Can you manage payroll for both local and expatriate employees?
Yes. We manage payroll for both local hires and expatriates, including handling multi-currency payments, cross-border compliance, and special tax considerations.
How do you ensure compliance with local laws?
Our experts stay updated with labour codes, tax rates, and social contribution requirements in each country. We file directly with authorities, ensuring your business remains compliant at all times.
