Business
Panama — Business: Social Security
Panama social security (CSS) is 9.75% for employees and 13.25% for employers from April 2025, rising in steps to 15.25% by 2029, plus education insurance tax.
VerifiedProfessional tax guide — not a government sourcePwC Worldwide Tax Summaries — Panama, Individual, Other taxesLast reviewed: 2026-10-23
Key facts
- Employees pay 9.75% from 1 April 2025 with no maximum taxable amount.
- Employers pay 13.25% from 1 April 2025, 14.25% from 1 March 2027 and 15.25% from 1 March 2029.
- Education insurance tax is 1.25% for employees and 1.50% for employers.
- Neither contribution has a maximum taxable amount.
Steps
- Obtaining Information — Research official government websites and consult with local experts to gain a better understanding of the social security requirements for foreign businesses in Panama.