Employer Tax Contributions

Tax Type	Rate	Base
Payroll Tax (Employer Portion)	0% to 10.25% (graduated)	Total remuneration paid, up to BMD 1,000,000 per person annually
Social Insurance (Employer Portion)	BMD 35.92 per week	Per employee working more than 4 hours weekly
Health Insurance	Minimum 50% of monthly premium	Required for all employees
Private Pension	Up to 5%	Bermudian employees or spouses of Bermudians working over 720 hours

Filing & Compliance

• Payroll Tax is due quarterly: April 15, July 15, October 15, and January 15.
• Social Insurance contributions are due monthly.
• Employers must keep adequate books and records.

Income Tax Brackets

Bermuda does not impose personal income tax on individuals. Instead, a Payroll Tax is levied on employers, with a portion potentially recovered from employees.

Income Range (BMD)	Tax Rate (Employee Portion)
$0 – $48,000	0.50%
$48,001 – $235,000	9.25%
$235,001 – $900,000	9.50%
$900,001 – $1,000,000	10.00%
Above $1,000,000	Not subject to tax

Employee Contributions

Deduction Type	Rate	Cap
Social Insurance	BMD 35.92 per week	N/A
Mandatory Occupational Pension	5% of pensionable earnings	BMD 200,000 per year
Payroll Tax (Employee's portion)	0.50% - 10.00% (marginal)	BMD 1,000,000 per year

Personal Allowances

• Bermuda does not have employee tax deductions or allowances in the traditional sense, as there is no personal income tax.
• Employees over 65 are exempt from their half of social insurance contributions.
• Full-time students under 26 employed during holidays, weekends, and summer are entirely exempt from social insurance contributions.