The moment you hire staff, several registrations kick in. Here’s the full set.
Key facts
Employing even one person triggers a set of obligations. Get these in place from the first payday.
PAYE, UIF & SDL (SARS)
Register as an employer with SARS. Each month you deduct PAYE from staff above the tax threshold, add UIF and (for bigger payrolls) SDL, and pay it over on an EMP201 within 7 days of month-end.
UIF contributions
Both employer and employee contribute 1% each of remuneration (2% total), capped at a monthly earnings ceiling of R17,712 — so a maximum employer contribution of about R177 per employee per month.
COIDA (Compensation Fund)
Separately register with the Department of Employment & Labour’s Compensation Fund. You submit an annual Return of Earnings, pay a variable assessment based on your industry risk and payroll, and get a Letter of Good Standing (needed for many tenders) that must be renewed yearly.
Records & payslips
Keep accurate payroll records and issue compliant payslips. Miss reconciliations (interim and annual EMP501) and SARS penalties follow.
Need help with this? Bekin Consulting can handle it for you — from registration to filing.
Related guides
- Registering a business at CIPC
- CIPC annual returns & beneficial ownership
- B-BBEE affidavit vs certificate
- Your annual compliance calendar
General information for South Africa, current to 2026 — not legal, tax or financial advice. Confirm current rules with SARS, CIPC or the DSD before acting.