Payroll in Turkey Services

Effortlessly broaden and set up your payroll operations in Turkey through San Global’ outsourcing solutions for payroll services in Turkey.

Establishing and Managing Payroll Operations in Turkey Turkey’s strategic location at the crossroads of Europe and Asia, its vast population, and diverse economy all contribute to its appeal as a destination for business expansion.

If you’re considering entering Turkey’s dynamic market, a critical step is establishing a Turkish payroll system and recruiting local talent. This undertaking can be both time-consuming and complex, potentially leading to delays in your expansion plans and unexpected financial burdens.

At San Global’s, our specialization lies in delivering payroll outsourcing solutions for Turkey to foreign businesses looking to establish a presence in the region. We take care of everything, from setting up and running your Turkish payroll to handling all related administrative tasks. This streamlines the entire process, allowing you to concentrate on the crucial task of ensuring a successful expansion, even if you don’t have a pre-existing entity in Turkey.

What makes San Global's payroll solution the ideal choice?

If you have an entity

If you have already set up a legal entity within Turkey, our payroll team can take all the complex payroll administration off your hands, helping you employ locally in accordance with local employment laws, managing HR, contracts, and handle any associated administration.

This option is perfect for larger businesses that could benefit from outsourced Turkey payroll and consultancy services.

If you don’t have an entity

If you don’t have a registered entity in Turkey, you can use our full payroll outsourcing service. Our Turkish subsidiary will act as employer of record for your employees, and our team will handle the HR, administration, and complex legal compliance work.

Choose this service for a low-risk, flexible, and scalable solution for your Turkish payroll setup and management, with all the benefits of hiring locally and none of the usual complications.

How to Establish Payroll in Turkey

Setting up a payroll system for local employment in Turkey can be a daunting task. To begin, your organization typically needs an in-country entity to serve as the official employer for your workforce. Following this, you must navigate the intricate web of business and employment regulations and administrative procedures, which can consume significant time and effort.

Alternatively, you can opt for San Global’ payroll outsourcing services in Turkey. We offer the use of our Turkish subsidiary to act as the official employer for your Turkish staff, sparing you from the complexities of the process and allowing you to benefit from our outsourcing solutions, even if you don’t have a registered entity in Turkey. Furthermore, we can handle the payroll setup and oversee your HR, compliance, and all associated administrative tasks, freeing you to concentrate on the successful expansion of your business in Turkey.

Taxation and Deductions in Turkey

In Turkey, both employers and employees have the obligation to contribute a portion of their salaries to the social security system. The employee’s share of this contribution is typically withheld by the employer and remitted to the social security authorities. The contribution percentages are as follows:

Long-term insurance: Employers contribute 11%, and employees contribute 9%.
Short-term insurance: Ranging from 1% to 6.5%.
Unemployment insurance: Employers contribute 2%, while employees contribute 1%.

Turkey’s income tax system is progressive, meaning that the percentage of income taxed increases with higher earnings. The tax rates range from 15% to 40%.

As for corporate tax in Turkey, it stood at 22% in the year 2020.

Payroll Tax for Employers

Employee Payroll Tax

Employee Income Tax