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Payroll Setup and Compliance in the UAE
September 4, 2024

Theta7 provides seamless access to Zoho Payroll, enabling businesses to streamline their payroll processes with ease. Before proceeding with the subscription to Zoho Payroll, it is essential to ensure that all establishment details are correctly set up, particularly for compliance with the UAE’s Wage Protection System (WPS).

Establishment Number Requirement

An establishment number is a mandatory requirement for businesses operating in the UAE, especially for compliance with WPS. It’s crucial to verify whether the establishment number is in place, as payroll systems like Zoho Payroll require this information for proper setup. Businesses can confirm their status through the MOHRE verification link

Steps to Obtain and Register an Establishment Number

  • Verify the Issuance of an Establishment Card:

Businesses should first check whether their Free Zone authority has issued an Establishment Card via the Federal Authority for Identity and Citizenship, Customs and Ports Security. This is particularly relevant for companies with existing visas, as it is common for an Establishment Card to already be in place. If an Establishment Card has not been issued, it can be obtained through the Federal Authority’s service portal. It is notable that this process should ideally be supported by the company formation agent.

  • Register the Establishment Card with MOHRE:

Once the Establishment Card has been obtained, the next step is to register it with the Ministry of Human Resources and Emiratisation (MOHRE). This registration can be completed by following the instructions available here.

Integrating with Zoho Payroll

After successfully registering the Establishment Card, businesses will receive an establishment number. This number must be entered into Zoho Payroll, alongside the company’s UAE bank account details, to ensure compliance with the WPS. Proper integration with Zoho Payroll not only helps in meeting regulatory requirements but also simplifies payroll management, making it easier for companies to manage their payroll processes efficiently.

By following these steps, businesses can ensure they are fully compliant with UAE regulations and can leverage Zoho Payroll to its full potential.

If you have any questions about setting up Zoho Payroll or require further assistance, please don’t hesitate to reach out to us.

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Information provided on the site is merely guidance that may change in line with UAE law and regulations. Users must not consider this to be financial advice or their sole resource when making any financial decision. Theta7 is a trading name for THETA 7 Accounting & Bookkeeping L.L.C, an authorised & licensed accounting firm under the Ministry of Economy and the Federal Tax Authority of the United Arab Emirates.
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