How is social insurance calculated in Egypt 2026?

In Egypt 2026, social insurance is calculated at 11% from the employee and 18.75% from the employer on the insurable wage, which is capped at EGP 16,700 per month (minimum EGP 2,700). Housing, transport, and meals allowances are excluded from the insurable base if their total does not exceed 30% of the gross salary.

What is the income tax rate in Egypt 2026?

Egypt uses progressive income tax brackets effective February 2026 (Law 7/2024): 0% up to EGP 40,000, 10% from 40,001–55,000, 15% from 55,001–70,000, 20% from 70,001–200,000, 22.5% from 200,001–400,000, 25% from 400,001–1,200,000, and 27.5% above EGP 1,200,000 annually.

What is the personal tax exemption in Egypt?

The annual personal tax exemption in Egypt is EGP 20,000 for all employees. Persons with disabilities receive an exemption of EGP 30,000 per year, as per Law 7/2024 effective February 2026.

What is the Emergency Relief Fund in Egypt payroll?

The Emergency Relief Fund is an employer-only cost of 1% of the basic salary, with the base capped between EGP 440 and EGP 2,720 per month, resulting in a maximum of EGP 27.20 per employee per month. It is NOT deducted from the employee salary.

كيف يتم حساب التأمين الاجتماعي في مصر 2026؟

يُحسب التأمين الاجتماعي في مصر 2026 بنسبة 11% من الموظف و18.75% من صاحب العمل على وعاء التأمين، الذي يُحدد بحد أقصى 16,700 جنيه وحد أدنى 2,700 جنيه شهرياً. بدلات السكن والمواصلات والوجبات تُستبعد من الوعاء إذا كان مجموعها لا يتجاوز 30% من الراتب الإجمالي.

Updated February 2026 · Law 7/2024

Egyptian Income Tax 2026

Complete guide to income tax brackets, personal exemptions, and deductions under Egyptian law — effective February 2026.

Tax Brackets (Annual Net Taxable Income)

Annual Income Range (EGP)	Tax Rate	Tax on Bracket	Cumulative Max Tax
EGP 0 – 40,000	0%	EGP 0	EGP 0
EGP 40,001 – 55,000	10%	EGP 1,500	EGP 1,500
EGP 55,001 – 70,000	15%	EGP 2,250	EGP 3,750
EGP 70,001 – 200,000	20%	EGP 26,000	EGP 29,750
EGP 200,001 – 400,000	22.5%	EGP 45,000	EGP 74,750
EGP 400,001 – 1,200,000	25%	EGP 200,000	EGP 274,750
Above EGP 1,200,000	27.5%	Unlimited	—

Personal Exemptions

Standard Exemption

EGP 20,000 / year

Applies to all employees regardless of salary level

Disability Exemption

EGP 30,000 / year

Applies to employees registered as persons with disability

Tax-Deductible Items

Social Insurance Contributions

Employee social insurance (11% of insurable wage, capped at EGP 16,700/month) is fully deductible from taxable income annually.

Medical Insurance Premium (Law 30/2023)

Deductible up to the lesser of: (1) actual premium paid, (2) 15% of net taxable income, or (3) EGP 10,000 per year.

In-Kind Benefits (المزايا العينية)

Company-provided benefits (car, mobile, etc.)In-kind benefits are NOT part of gross salary and are NOT deducted from the employee. However, their deemed monthly value is added to the employee's annual taxable income. The employer bears the cost — it is counted as employer cost only.

Medical insurance paid by the employer is treated separately: the employee may deduct the premium from taxable income subject to the cap above (Law 30/2023).

Legal References

›Income Tax Law No. 91 of 2005 (as amended)
›Law No. 7 of 2024 — new tax brackets, effective 1 February 2026
›Law No. 30 of 2023 — medical insurance deduction raised to EGP 10,000/year
›Executive Regulations of Law 91/2005
›Egyptian Tax Authority (ETA) — etax.mof.gov.eg

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