Insight · 30 October 2026

CSG for foreign workers in Mauritius: employer payroll checks

Assess CSG and PRGF separately when processing payroll for foreign workers. Nationality alone does not determine CSG liability. Tax residence, employer classification and specific exclusions also matter.

Indian Ocean Millenium Partners, also trading as JNP Recruiting Services, is a manpower consultancy. It advises employers on workforce budgets and HR preparation. Payroll decisions and filings remain the employer's responsibility.

Last reviewed October 2026. Rules change, so confirm the current requirements with the authorities before you apply.

Workers on a manufacturing floor in Mauritius, where payroll must assess liability for CSG and PRGF

Which CSG rates apply?

For ordinary private-sector employees covered by CSG, the Social Contribution and Social Benefits Act 2021 and MRA guidance set out these monthly rates:

Basic salary up to and including Rs 50,000. Employee: 1.5%. Employer: 3%.
Basic salary above Rs 50,000. Employee: 3%. Employer: 6%, applied to the whole basic salary, not just the excess.

Basic salary includes additional remuneration but excludes overtime and allowances. Calculate the statutory end-of-year bonus separately. Special rules apply to some categories, including domestic service.

Employer matrix: worker type, CSG and PRGF

Use this matrix for ordinary private-sector employment. 'Covered' means the CSG rates above apply. Check exclusions before assigning a payroll code.

Mauritian citizen employee. CSG: covered. PRGF: the employer contributes if the employee is eligible, subject to the exclusions below.
Resident non-citizen with no specific exclusion. CSG: covered. PRGF: excluded, including migrant workers.
Non-citizen who is not tax-resident. CSG: excluded under the Income Tax Act residence test referred to in the Act. PRGF: excluded.
Non-citizen employed by an export manufacturing enterprise. CSG: excluded during continuous residence of less than two years, unless both the employee and employer have paid social contributions; PRGF: excluded.
Employee of a qualifying foreign contractor. CSG: excluded for a Work Permit holder where at least 50% of the project is funded by a foreign State through a grant or concessional financing, as determined by the Minister. PRGF: excluded.

For the export-manufacturing exception, include absences of up to nine consecutive weeks, or any absence during which residence in Mauritius is maintained, in the continuous-residence period. Ask MRA before stopping deductions. An exporter label or Work Permit alone does not establish an exemption.

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Who pays PRGF?

For eligible workers, the employer pays PRGF at 4.5% of monthly remuneration. It is not deducted from employee pay. The calculation includes basic wages, productivity and attendance bonuses, and extra-work payments. Use the PRGF calculation base rather than the CSG base.

Section 90 of the Workers' Rights Act 2019 excludes migrant workers and non-citizens. MRA also lists exclusions for workers under 16, monthly basic pay above Rs 200,000 and qualifying private-pension arrangements. Check the arrangement's conditions. Citizenship alone does not establish PRGF liability.

When must you file returns and pay contributions?

Monthly CSG and PRGF returns and electronic payments are normally due by the end of the following month. Sections 6 and 7 of the Social Contribution and Social Benefits Act 2021 bring forward the CSG deadlines for May and November. They fall two days before the end of June and December respectively, excluding Saturdays and public holidays from the count. Check MRA's calendar.

Classify each employee. Keep nationality, tax-residence assessment, employment details and any exemption evidence together. Refer uncertain residence or project cases to MRA.
Check export-manufacturing cases. Record the continuous-residence calculation, absences and contribution history. Review eligibility when circumstances change.
Reconcile the calculation. Separate employee deductions from employer costs. Check salary bands, bonus treatment and the different contribution bases.
Complete the filing. Confirm the applicable deadline, obtain payroll approval and retain return acknowledgements and proof of payment. Check special filing arrangements separately.

NPPF status: what can payroll change?

Status as at 30 October 2026

Announced. Budget 2026-2027 proposed a new pension scheme to replace CSG and PRGF from 1 July 2027. This remains a proposal for employers planning payroll.
Enacted. No NPPF contribution rates are in force under the laws passed in August 2026. The Finance Act 2026 does not introduce replacement contribution rates.
Next steps. Wait for the legislation and MRA guidance before changing payroll. Confirm the requirements with the Ministry of Finance and MRA.

Keep the current payroll treatment until replacement provisions are in force and MRA publishes guidance. Do not enter proposed rates into live payroll. The announced date does not automatically end existing obligations.

Frequently asked questions

Are all foreign employees exempt from CSG?

No. Apply the residence test and specific statutory exclusions. Nationality alone does not determine the exemption.

Can PRGF be deducted from foreign workers?

Non-citizens and migrant workers are excluded from PRGF. For eligible workers, the employer pays the contribution.

Does the Budget change payroll now?

An announcement alone does not change deductions. Check the enacted provisions, their effective dates and MRA guidance.

Official sources

* About this information: the content on this page is based on official sources that were checked in October 2026 and was accurate at that time. Government rules, fees and processing times change, sometimes at short notice. Before relying on any point on this page, confirm it with the Ministry of Labour and Industrial Relations, the Economic Development Board or the Passport and Immigration Office. This page is general information, not legal advice.