Paying associates or dependents fees online via banks is very easy. All you have to do is write the expiry date of your Iqama and the amount to be paid is automatically calculated. However, many foreign workers are wondering how do banks calculate the amount of the associates or dependents fees.
Our company also have employees who have dependents. In compliance with the Saudi Arabian government, we need to pay these associates or dependents fees before their Iqamas can be renewed or before the exit/reentry visa can be issued to them and/or their dependents. Paying online through our bank, we did pay these associates fees. Since our employees have different expiration dates of their Iqamas, at first we cannot figure out how the fees are calculated especially that in July 2017, the fee is only SR 100 per dependent and will be increaseb by SR 100 in July the following year until July 2020 when the fee becomes SR 400 per dependent or associate.
I tried my very best to get the figures our Company paid for these associates or dependents fees. I made trial and error, counting Hijri and Gregorian calendar dates, replacing denominator one after the other but I was not successful until NOW.
Please note that the calculation of the associates or dependents fees will START on 01 July 2017, meaning the calculation starts on 01 July 2017 and NOT on the DATE you actually paid it online.
To calculate the amount of the associates or dependents fees to be paid, let us have examples:
Example 1 : Employee A has 2 dependents and his Iqama expires on 14.10.1439H
Procedure:
1. Convert the Hijri date 14.10.1439 to Gregorian date for easy calculation. You can CLICK here to convert Hijri to Gregorian calendar or vice versa. The conversion of 14.10.1439 is 28.06.2018 in the Gregorian calendar.
2. Count the days from 01.07.2017 until 28.06.2018. You can CLICK here to count these days. Just put the two dates in the spaces and it will automatically give you the number many days. In our example, from 01.07.2017 to 28.06.2018 equals 363 days.
3. Substitute these number of days in the following equation:
Notes:
a. The payment from 01.07.2017 until 30.06.2018 is SR 100 per month or SR 1,200 per year.
b. The payment from 01.07.2018 until 30.06.2019 is SR 200 per month or SR 2,400 per year.
c. The payment from 01.07.2019 until 30.06.2020 is SR 300 per month or SR 3,600 per year.
d. The payment from 01.07.2020 until 30.06.2021 is SR 400 per month or SR 4,800 per year.
Since the dates of our Example 1 is from 01.07.2017 until 30.06.2018 is within Note a, the amount to be used is SR 1,200 per year.
Formula:
1,200/360 days x 363 days = SR 1,210 per dependent.
Since he has 2 dependents, the total amount to be paid is SR 1,210 x 2 = SR 2,420.00
Example 2 : Employee B 2 dependents Expiration of Iqama = 29.09.1440 H
Procedure
1. Conversion : 29.09.1440 = 03.06.2019
2. Number of days from 01.07.2017 to 03.06.2019 = 703 days
Please note that since the last date of 03.06.2019 falls within Note b, we need to use the amount of SR 1,200 from 01.07.2017 to 30.06.2018 and SR 2,400 from 01.07.2018 to 03.06.2019
01.07.2017 - 30.06.2018 = 365 days
01.07.2018 - 03.06.2019 = 338 days
Formula:
(1,200/360 x 365 days) + (2,400/360 x 338 days) = 1,216.67 + 2,253.33 = SR 3,470 per dependent.
Since he has 2 dependents the total amount to be paid is SR 3,470 x 2 = SR 6,940.00
Example 3: Employee C - 3 dependents - Iqama expiration: 27.04.1440 H
Procedure:
1. Conversion of Hijri date to Gregorian: 27.04.1440 = 03.01.2019
2. Number of days from 01.07.2017 to 03.01.2019 = 552
Formula:
01.07.2017 - 30.06.2018 = 365 days
01.07.2018 - 03.01.2019 = 187 days
(1,200/360 x 365 days) + (2,400/360 x 187 days) = 1217 + 1247 = SR 2,464 per dependents
For 3 dependents, the total amount to be paid is SR 2,464 x 3 = SR 7,392.00
Please note that there is a minus or plus SR 1.00 difference in the calculation or the amount you will pay due to rounding off.
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