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How to calculate GOSI contributions in Bahrain
Pragma editorial team · · 2 min read
GOSI or SIO?
Social insurance in Bahrain is administered by the Social Insurance Organisation (SIO). Many employers still call it GOSI, after the former General Organisation for Social Insurance. The obligations are the same whichever name you use.
Bahraini employees
For Bahraini nationals, contributions fund pension and unemployment insurance. Published guidance for 2025 gives an employee share of 8% (7% pension plus 1% unemployment insurance) and an employer share of 17%, with the employer share scheduled to rise in annual steps.
Contributions are calculated on the insurable salary reported to the SIO, which is not always the same as gross pay.
Non-GCC expatriate employees
Non-GCC expatriates are covered for work injury. Published guidance gives an employee share of 1% and an employer share of 3%.
Since 1 March 2024, employers also pay a monthly end of service contribution for expatriate staff to the SIO: 4.2% of the monthly wage for each of the first three years of service, and 8.4% thereafter.
A worked outline
For each employee, take the insurable salary, apply the rates for their category, and keep the employer and employee shares separate. Total the employer contributions for the month, add the expatriate end of service contributions, and pay the SIO invoice by the due date.
- Confirm each employee's category and insurable salary
- Apply the current employee and employer rates
- Add expatriate end of service contributions
- Reconcile your total to the SIO invoice
How Pragma helps
Pragma applies these rules on every payroll run and posts the liability to your accounts, so the monthly figure is ready before the invoice arrives.