The Residence Permit in Saudi Arabia is known as Iqama or Muqeem. Iqama is required to renew every year online. Iqama renewal requires certain payments (work permit fees, MOI Iqama fees, and health insurance payments). If an expatriate is having family members in his sponsorship, he must have paid the dependent levy to get renewed Iqama. Based on earlier official statements, the following are the Iqama Renewal fees for 2020.
House drivers (Saiq Khas), home-makers and other domestic workers are exempt from work permit fees (Maktab Amal Fees).
Small establishments with five or fewer employees are also exempt from work permit fees (if the owner of the firm registered himself as a worker).
Expatriates working in the industrial sector (Factory workers) will also be exempt from the work permit levy for a period of five years from last year.
The Saudi government has announced an exemption from the expat levy for those whose Iqama expires between March – 20 and June 30, 2020, by extending their Iqama by a period of three months without charge. This exemption is only applicable to expat labor and not for their dependence.
As we learned from the sources, this 3-month exemption is given upon renewal of 1-year Iqama. This means that when an expatriate laborer’s Iqama renews during this period by paying 12 months of Iqama fees, he will be given 15-month validity.
Also, this exemption will not be applicable to those Iqama has already expired before 20th March 2020.
The regular Iqama fees are as follows,
IQAMA FEES FOR 2020 (1441)
If your company or establishment’s 50 percent or more employees are Saudi nationals, Iqama Fees will be as follows:
FEE DESCRIPTION FEE IN SAR
If more than 50 percent of the workforce are expatriates then the Iqama fees will be,
Note:- The above figures are estimates and the actual may vary. The work permit fee calculation is on the basis of Iqama renewal from January 01 to December 31st.
Expat Dependent Levy
All expat residents in Saudi Arabia who are sponsoring dependents will have to pay a monthly fee of SR 300 (currently) per dependent and this fee is likely to increase to SR 400 upon July 2020.
Iqama Expiry Penalty
If your Iqama expires, there will be a penalty of SR 500 for the first time and SR 1000 for the second time on failing to renew the Iqama.
Iqama Renewal is the Employer’s Responsibility
The employer is responsible for renewing his workers Iqama. As per Article 40 (1) of the Saudi Labor Law, it is the responsibility of the employer to pay for the iqama renewal and iqama issuance fee. As per Article 144 of the Saudi Labor Law, it is the responsibility of the employer to provide health care and insurance to each employee.
SOURCE : KSAEXPATS