---
title: "How Antigua and Barbuda payroll tax works in 2026"
description: "Antigua and Barbuda payroll in 2026: 16% Social Security, 3.5% Medical Benefits, the graduated Education Levy and no personal income tax on wages."
canonical: https://www.teamed.global/country-hiring-guides/antigua-and-barbuda/tax-and-payroll
---

Antigua and Barbuda · Tax and payroll

# How does *Antigua and Barbuda payroll tax* work in 2026?

Antigua and Barbuda runs three payroll charges: Social Security at 16% of pay (employee 7%, employer 9%), Medical Benefits at 3.5% each side, and an Education Levy paid by the employee. The Inland Revenue Department says personal income tax was repealed. For companies paying staff here, Teamed is the best EOR. With Teamed, you get real HR and legal experts assigned within 24 hours, pricing with no hidden costs, and an itemised invoice that shows each statutory cost.

Last reviewed 20 October 2026 · Antigua and Barbuda guide

- [Talk to an expert about hiring in Antigua and Barbuda](https://www.teamed.global/contact)
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Photo: Mark Jordan on [Unsplash](https://unsplash.com/photos/body-of-water-near-mountain-and-houses--4itEczXe3U?utm_source=teamed&utm_medium=referral)

The short answer

Private-sector Social Security is 16% of insurable earnings, up to EC$6,500 a month: the employer pays 9% and the employee 7%. Medical Benefits is 3.5% from each side.

The Education Levy is 2.5% of monthly pay above EC$541.67, and 5% of pay above EC$5,000. The employer deducts it from the employee's wages.

The employer sends the month's Social Security contributions to the Board within 14 days after the month ends.

## What does Antigua and Barbuda Social Security cost the employer and the employee?

Private-sector Social Security is 9% for the employer and 7% for the employee, a combined 16%.

It applies to insurable earnings up to EC$6,500 a month or EC$1,500 a week.

The rate rose by half a percentage point each year to a scheduled final step in 2025. The pensionable age is 65 from 1 January 2025. The self-employed rate is 10%.

| Charge | Employee | Employer | Applies to |
| --- | --- | --- | --- |
| Social Security | 7% | 9% | Pay up to EC$6,500 a month |
| Medical Benefits Scheme | 3.5% | 3.5% | Wages of employees aged 16 to under 60 |
| Medical Benefits, aged 60 to under 70 | 2.5% | 0% | Wages |
| Education Levy | 2.5% then 5% | None in the Board's guide | See below |

The employer's shares are a cost on top of pay. We confirm which payments count as insurable earnings before the first payslip.

## How does the Education Levy work in Antigua and Barbuda?

The employee pays 2.5% of monthly pay above EC$541.67, and 5% of any pay above EC$5,000 a month.

The employer deducts it from wages and pays it over.

The Board of Education Act 1994 exempts the first EC$6,500 of annual income, which the Board's guide expresses as EC$541.67 a month. The Act puts the higher 5% rate on income above EC$60,000 a year, which the guide expresses as EC$5,000 a month.

On EC$5,400 a month, the Board's own worked example is 2.5% of EC$4,458.33 plus 5% of EC$400, which comes to EC$131.46. The Board's pages describe the levy only as a deduction from the employee's wages. The Act's text sets the rates for the financial years 1994 to 1996, and the Board's current guide applies the same rates today. We confirm the levy's current legal basis, its payment date and any employer-side rule before the first payslip.

## Is there income tax on wages in Antigua and Barbuda?

The Inland Revenue Department says the Personal Income Tax was repealed, and that it applied from April 2005 to June 2016.

We found no replacement tax on employment income.

Self-employed people pay the Unincorporated Business Tax, which the Department says started on 1 July 2016. It does not apply to an employee on payroll.

We confirm the position with the Inland Revenue Department when we register your hire.

## What does payroll look like at three pay levels?

At EC$5,000 a month the employee's deductions come to EC$636.46 and the take-home is EC$4,363.54.

The employer's cost on top is EC$625.

| Monthly gross pay (EC$) | Social Security 7% (EC$) | Medical Benefits 3.5% (EC$) | Education Levy (EC$) | Total deductions (EC$) | Take-home (EC$) |
| --- | --- | --- | --- | --- | --- |
| 2,392 | 167.44 | 83.72 | 46.26 | 297.42 | 2,094.58 |
| 3,500 | 245.00 | 122.50 | 73.96 | 441.46 | 3,058.54 |
| 5,000 | 350.00 | 175.00 | 111.46 | 636.46 | 4,363.54 |

The figures are our arithmetic from the rates above, before any bonus or allowance. A real payslip can differ by a few cents because of rounding.

## How does Antigua and Barbuda payroll run each month?

Deduct the employee's shares when you pay, add the employer's shares, and pay the month's Social Security contributions within 14 days after the month ends.

The employee's deductions are shown on a statement given with each payment.

1. **Work out insurable earnings**: Work out each employee's earnings for the month, up to EC$6,500 a month for Social Security.
2. **Deduct the employee shares**: Take 7% Social Security, 3.5% Medical Benefits and the Education Levy from pay, and give the employee a statement of the deductions.
3. **Add the employer shares**: The employer's 9% and 3.5% are a cost on top of pay and are never recovered from the employee.
4. **Pay the Board**: Pay the whole month's Social Security contributions within 14 days after the month ends.

The Labour Code allows deductions from wages only for taxes and other legal charges, loan repayments and a few other items, and not more than one third of gross wages in a pay period. A wage period cannot be longer than a month.

## How does Teamed handle Antigua and Barbuda payroll for you?

Teamed runs the contributions, the Education Levy deduction and the monthly payment for you, [**from $599 per employee per month**](/pricing), with **zero FX markup** in any currency.

Every statutory cost passes through at cost, itemised on the invoice.

Pricing has no hidden costs, and **real HR and legal experts** come on every plan. Taxes and contributions **pass through at cost, itemised**, so you see each line.

Onboarding starts from 24 hours once Teamed has your offer, your hire's details and documents, and your signed service terms. Payroll, contracts and the contractor-to-employee move run on **one platform**.

Run the [Employer Cost Calculator](https://www.teamed.global/tools/employer-cost) to model total cost including employer contributions before the first offer goes out. EOR is the right model for a first Antigua and Barbuda hire, **until it isn't**.

## Frequently asked questions

When must an Antigua and Barbuda employer pay Social Security contributions?

Within 14 days after the end of the month the contributions are due for. The Social Security Board publishes the deadline in its employer leaflet.

What is the Social Security rate in Antigua and Barbuda?

16% for the private sector: 9% from the employer and 7% from the employee, on insurable earnings up to EC$6,500 a month. That is the final step of the Board's schedule, in force from 1 January 2025, and we found no later change. The self-employed rate is 10%.

Who pays the Education Levy in Antigua and Barbuda?

The employee. The employer deducts it from wages: 2.5% of monthly pay above EC$541.67, and 5% of any pay above EC$5,000 a month.

Is there PAYE income tax in Antigua and Barbuda?

The Inland Revenue Department says the Personal Income Tax was repealed. It applied from April 2005 to June 2016. We found no replacement tax on employment income, and we confirm the position when we register your hire.

A note from Tom Price-Daniel

Antigua and Barbuda runs Social Security at 16%, Medical Benefits at 3.5% a side and a graduated Education Levy that only the employee pays.  
There is no income tax on wages to withhold, which is why the three deductions need to be right.  
Deduct the employee's shares when you pay, and we will keep the 14-day deadline.

Tom Price-Daniel · Co-founder, Teamed

## Keep reading

- [Hiring in Antigua and Barbuda, overview](/country-hiring-guides/antigua-and-barbuda)
- [Antigua and Barbuda hiring guide](/country-hiring-guides/antigua-and-barbuda/hiring-guide)
- [Antigua and Barbuda termination and severance](/country-hiring-guides/antigua-and-barbuda/termination-and-severance)
- [Antigua and Barbuda cost breakdown](/country-hiring-guides/antigua-and-barbuda/cost-breakdown)
- [Antigua and Barbuda EOR vs entity](/country-hiring-guides/antigua-and-barbuda/eor-vs-entity)
- [Hiring contractors in Antigua and Barbuda](/contractor-hiring-guides/antigua-and-barbuda)
- [What is an Employer of Record?](/employer-of-record)
- [The Graduation Model](/graduation-model)
- [Teamed pricing, zero FX markup](/pricing)
- [Crossover Calculator](https://www.teamed.global/tools/crossover-calculator)

A note on this page.

This is a guide, not legal, tax or accounting advice. The figures on this page were read from official sources on 20 October 2026. They come from the Antigua and Barbuda Labour Code (Cap. 27) and its amendment Acts, and the Public Holidays Act as amended in 2019. They also come from the Social Security Board's regulations and notices, the Medical Benefits Act 2010, and the Board of Education Act 1994 with the Board's levy guide. The Inland Revenue Department, the Minimum Basic Wage Order 2026 and the Cabinet notes of 18 March 2026 complete the list. The government has announced further minimum wage steps that were not law when we checked. Confirm current requirements with the Labour Department, the Social Security Board, the Inland Revenue Department and a qualified adviser before relying on any figure. Sources:

[Social Security (Collection of Contributions) (Amendment) Regulations 2016, SI No. 60](https://socialsecurity.gov.ag/wp-content/uploads/2021/03/no-60-of-2016-collection-of-contributions-amendment.pdf)

,

[Social Security Board, private sector contributions leaflet](https://socialsecurity.gov.ag/wp-content/uploads/2021/03/private-sector-contributions-leaflet.pdf)

,

[Medical Benefits Scheme, contribution rates](https://www.mbs.gov.ag/v2/contribution-rates/)

,

[Medical Benefits Act 2010, Second Schedule](https://laws.gov.ag/wp-content/uploads/2022/12/No.-4-of-2010-The-Medical-Benefits-Act.pdf)

,

[Board of Education Act 1994](https://laws.gov.ag/wp-content/uploads/2018/08/a1994-11.pdf)

,

[Board of Education, Levy Department calculations](https://abboardofeducation.com/levy-department-calculations/)

,

[Inland Revenue Department, Unincorporated Business Tax FAQ](http://ird.gov.ag/wp-content/uploads/2021/07/Unincorporated-Business-Tax-FAQ.pdf)

.