Business
South Africa — Business: Social Security
South African employers deduct 1% UIF from employees and add 1% themselves, plus a 1% Skills Development Levy, all paid to SARS via the monthly EMP201 return.
VerifiedGovernment / official sourceSARS — Unemployment Insurance Fund and Skills Development LevyLast reviewed: 2026-10-23
Key facts
- UIF is 1% of remuneration from the employee and 1% from the employer each month, 2% in total, subject to a ministerial threshold gazetted separately.
- The Skills Development Levy is an employer-only levy of 1% of leviable amount, calculated after allowable deductions such as pension fund contributions.
- Employees tax, UIF and SDL are paid to SARS within seven days after the end of the month, through the EMP201 return.
- Late payments attract interest plus a 10% penalty.
Steps
- Register with the UIF — Contact the UIF directly to initiate the registration process; exact steps and documentation required are unclear.
- Determine contribution rates and amounts — It is unclear how contribution rates and amounts are determined, and what specific factors influence these costs.