Establishing and running payroll in Morocco
The diverse North African nation of Morocco has an emerging economy with plenty of excellent opportunities for businesses looking to expand into the region.
If you are planning a Moroccan expansion, one of your first steps will probably be hiring a local workforce. To do this you will generally need a legal entity in the country and will need to establish an in-country payroll and employment infrastructure. This can be a long and difficult process in many cases, taking several months to complete and causing delays.
At Horizons, we specialize in helping organizations spanning all industries expand internationally, including into Morocco. We can handle your payroll setup and management, even if you don’t have a legal entity in Morocco.
If you have an entity
If your organization has already registered an official entity in Morocco, then you can outsource your payroll setup and management to us to get expert support and to fast-track your operations.
This level of outsourcing is perfect for larger organizations that are looking to expand into Morocco long term.
If you don’t have an entity
For organizations that have not already registered an entity in Morocco, we offer our standard payroll outsourcing service with the added use of our Morocco subsidiary. Our subsidiary will act as employer of record for your local workforce, meaning you won’t have to go through the long and cumbersome process of registering a legal entity in Morocco.
This service provides a low-risk, flexible, and scalable option for organizations interested in expanding into Morocco.
How we can help you expand in Morocco
Reliable Delivery
We guarantee that all payments will be on time, your data will be secure, and you can be up and running within just 48 hours.
Established Presence
Our in-country subsidiary will act as employer of record, offering you a presence in Morocco for legal local employment.
Flexible Solutions
Our team will manage all of the admin, payroll, HR, and taxes, so you can focus on building your business in Morocco.
Up-To-Date Compliance
With the ever-changing Moroccan employment laws, we’ll ensure you stay fully compliant at all times.
A Single Point of Contact
Our centralized service gives you a single point of contact, simplifying the entire in-country employment process.
Proven Global Expertise
Our in-house teams of payroll and HR experts have already helped dozens of organizations expand globally.
Morocco payroll guide
Taxation and withholdings requirements in Morocco
Both employers and employees in Morocco need to pay toward social security schemes which support employees in various ways. For employees, the contribution is up to 6.29% of salary, and for employers, it is up to 20.1%.
The income tax rate in Morocco is between 0% and 38% depending on income level.
The corporate tax rate in Morocco is generally between 10% and 31% depending on profits.
Entitlements and terminations in Morocco
Employees in Morocco are entitled to notice of termination, with between one and three months of notice depending on how long they have worked for their employer.
Upon termination, employees are usually entitled to a severance payment that varies based on their length of service.
How to establish a Moroccan payroll
In most cases, a foreign organization looking to establish a payroll in Morocco will need to register an official entity within the country. This can take longer than expected, and you will need you to closely adhere to the country’s complex employment regulations.
An alternative is to outsource your payroll setup and management to Horizons. Our experts can offer the use of our Moroccan subsidiary to act as employer of record for your employees in Morocco, so you can avoid the complex setup and management process, and can benefit from our solutions even if you don’t have a legal entity in Morocco. Additionally, we can set up and run your payroll, HR, compliance, and any other associated work, allowing you to work on successfully expanding your businesses in Morocco.
Request a Proposal
Your all-in-one solution for Morocco payroll outsourcing and global expansion
Horizons’ Morocco payroll services help your business to quickly and compliantly begin trading in Morocco, without the complex process of establishing a local entity and navigating local regulations. This can help your business to commence its Morocco operations in as little as 48 hours and has the potential to cut your expansion costs by more than 80%, whether or not you already have a registered entity in the country.
Horizons can also manage your company’s payroll, benefits, and expenses in Morocco. Additionally, we can oversee HR duties, as well as employment and tax compliance. And as the only global PEO with an in-house recruitment team, Horizons will source, hire, and onboard your local workforce.
