RESOURCES
Salary charges
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Social Security Contributions
Social security contributions are payments that entitle employees to benefits (retirement, health care, family benefits). They are paid to the INPS, the CMSS, and the CANAM. For employees covered by a collective bargaining agreement: 6.66% paid by the employee and 17.90% to 20.90% paid by the employer. Two schemes are jointly funded (pension, basic health insurance), and two are fully employer-funded (family benefits, workplace accidents, with a variable workplace accident rate).
Specific Compensation
Specific allowances do not pay for work: they reimburse, support, or compensate. Seven categories exist—expatriate travel, personal events, family allowances, medical expenses, statutory severance, internship allowances, and Special Allowance 82. “Statutory” is decisive: anything above the legal scale no longer qualifies. The list is open‑ended, so an item can fit even if not explicitly mentioned.
Statutory Bonuses and Allowances
A bonus rewards exceptional effort, while a stipend compensates for hardship. A recurring bonus may become a mandatory practice and can then be eliminated only through a comprehensive procedure (“If this procedure is not followed, the practice continues to have effect”).
Tax Expenses
Tax burdens include taxes and fees: taxes fund the government without any direct benefit in return, while fees fund a specific service. They can be employee-paid (borne by the employee) or employer-paid (borne by the employer). The payroll tax is the ITS, withheld at the source and then remitted to the tax authorities.
Tax and Social Security Contributions
Taxes and social security contributions are mandatory deductions from wages. The employer must withhold them and then remit them, as the employer acts as a collector. Taxes go to the tax authorities, while social security contributions go directly to the INPS and the CANAM.
The Benefits
A benefit is the provision of a good or service to meet an employee’s need, either in kind or in cash upon presentation of a receipt, defined by the fact that the employee does not choose the amount; this criterion distinguishes it from income. Only the benefits listed in Order No. 99-0894/MF-SG are 50% tax-exempt; the remainder remains taxable, and the company must be able to verify the nature, supporting documentation, eligibility, and value of the benefit.
The Breakdown of Gross Pay
Gross pay is the sum of five salary components—base pay, mandatory bonuses, optional bonuses, benefits, and overtime—each included only after classification as salary. Two elements are required by law, three depend on employer policy. Gross pay forms the tax base: net pay comes after deductions, and employer cost is added on top.
The Expatriation Allowance
The relocation allowance compensates an employee for working far from their home environment. It is payable only if three conditions are met: the employee must be an executive, an expatriate, and have resided in Mali for less than ten years. It is intended to support a temporary transition, not a permanent move. For tax purposes, it is deductible up to 15% of the employee’s total compensation; any amount exceeding this limit is not deductible.
The Position Allowance and Liability Allowance
The position allowance is taxable; the liability indemnity is exempt up to 60,000 CFA francs, provided that it compensates for actual liability, is listed by its exact name on the pay stub, and does not exceed the cap; the designation must reflect an actual situation; otherwise, the exemption is forfeited.
The Risk Premium
The risk premium compensates for exposure, never for performance. It was established by Order No. 99-0892/MF-SG: it is not dependent on the employer. It is universal—“all staff, without distinction”—and proportional: 10% of base pay for each employee.
The Seniority Bonus
The seniority bonus is required by law: it is payable after 3 years (“it is mandated by law”). The pay scale is as follows: 3% after 3 years, 5% after 5 years, then an additional 1% per year up to a maximum of 15% after 15 years. It rewards length of service, never performance.
The Work Bonus / Special Conditions
The work allowance compensates simultaneous exposure to fieldwork and physical hardship. Based on Order 99‑0892/MF‑SG, hardship includes height/depth, dust/mud, tools or similar factors. The amount is a flat 20% of the category’s base salary. It is exempt from ITS but subject to social security—tax exemption never means social security exemption.
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