Why hire in Brunei through an EOR
No income tax at all — a genuinely rare structure
Brunei charges no personal income tax on employment income whatsoever. Instead, employers and employees each contribute 8.5% of salary to a consolidated retirement scheme, following a 2023 reform that merged two older pension schemes into one. There's also a foreign-worker quota system to navigate — employers are allocated a specific number of permits for non-citizen hires.
No entity required
Employ staff in Brunei without registering a company or running your own Employees' Trust Fund filings.
Genuinely no income tax
Brunei charges no personal income tax on employment income — one of very few countries where this is true.
Quota system navigated
Foreign hires require an allocated quota — we check this is available before you commit to a role.
Independent advice
We confirm the current SPK contribution structure before quoting — this consolidated two older schemes as recently as 2023.
Deal directly, if you'd rather
A distinctive, tax-free structure — worth understanding properly
Brunei's combination of zero income tax and a foreign-hire quota system makes it a genuinely distinctive market. If you'd rather discuss your specific situation before committing, get in touch and we'll walk you through exactly what a Brunei hire involves, including quota availability.
Ask about a Brunei hire →Employer costs at a glance
Brunei's headline numbers
Employer costs explained
Why Brunei's real cost is simpler than it first appears
No income tax, genuinely
Brunei does not impose personal income tax on salaries, bonuses, or other employee compensation — there's no payroll tax in the traditional sense at all. This is a real structural feature of Brunei's tax system, not a temporary incentive, and it applies broadly to employment income.
A consolidated retirement scheme — 8.5% each side
Brunei previously ran two separate schemes — the Employees' Trust Fund (TAP) at 5%, and the Supplementary Contributory Pension (SCP) at 3.5% — each matched by the employee. A 2023 reform consolidated these into a single scheme (SPK) at a combined 8.5% for both employer and employee, with no salary ceiling on contributions. Bruneian citizens and permanent residents are covered; foreign workers' obligations depend on their specific permit terms.
The foreign-worker quota
Employers wishing to hire foreign nationals are allocated specific quotas permitting a set number of non-citizen employees. It's worth confirming an appropriate quota is genuinely available and suits the specific role and nationality of the person you want to hire, before committing to the position.
Employment basics
What's standard for a Brunei employment contract
Income tax
0% — none
No personal income tax applies to employment income in Brunei.
Retirement contribution (SPK)
8.5% employer, 8.5% employee
Consolidated in 2023 from the older separate TAP and SCP schemes, no salary ceiling.
Currency
Brunei dollar, 1:1 with SGD
Fixed parity with the Singapore dollar simplifies exchange-rate planning.
Foreign hires
Quota-allocated
Employers are given a specific permitted number of non-citizen hires.
Before you budget a Brunei hire
Get our free spreadsheet of employer social charges across 150 countries and see how Brunei compares.
Common questions
Hiring in Brunei, answered
Is it really true there's no income tax in Brunei?
Yes — Brunei imposes no personal income tax on employment income. It's a genuine structural feature of the country's tax system, not a temporary scheme or an incentive that expires.
Do foreign employees pay into the retirement scheme too?
The SPK scheme primarily covers Bruneian citizens and permanent residents — whether it applies to a specific foreign hire depends on their permit terms, which we check for you before you commit.
Do I need a Brunei entity to hire someone there?
No — through an Employer of Record arrangement, we become the legal employer, handling SPK contributions and the foreign-worker quota process, while you keep full control of the person's day-to-day work.
Ready to talk about a Brunei hire?
Tell us the role and we'll give you the real cost — the zero income tax factored in — and the fastest compliant route.
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