Summary

Iraq’s social security system is aimed solely at providing an absolute minimum level of support to the poorest in the country in the case of health needs, work injuries and retirement benefits. As of 2026, Iraq is implementing a major new social security law aimed at expanding coverage, and to broaden coverage to include maternity and paternity, unemployment and health benefits.

Details

Contributions

Social security contributions are 12% for employers and 5% for employees. An additional 8% employer contribution (bringing the total to 20%) is due in respect of non-Iraqi employees. In the oil and gas sector, the employer rate rises to 25%. The income on which social security is payable is capped at five times the monthly minimum wage.

The pension and social security law which came into force in 2024 requires employers to pay a registration fee of IQD two million (approximately $1,550) per foreign national to the Pension and Social Security Department through the Social Security system. The fee is a one-time payment per foreign national following their entry into Iraq.

Treaties

Iraq has no bilateral social security treaties. A such, contributions may be due in Iraq and an expatriate’s home country (eg the US) if the home country operates an extra-territorial social security system.

Exemptions

Ireland operates a 52 week exemption from PRSI contributions for individuals assigned into the country from outside the EU or other social security agreement countries. Conversely, Irish employees leaving Ireland to go on assignment to a non-agreement country have a continuing liability to PRSI for the first 52 weeks of their assignment.

Administration

PRSI and USC payments are both administered through payroll and a single employee payment is made to the Collector General for both elements, covering both employer and employee contributions. These payments are due within 14 days of the end of the tax month.

Benefits

There are no recognizable benefits for expatriates.

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