Discover why global payroll is complicated and how an Employer of Record (EOR) can simplify hiring and payroll in Ghana. From PAYE taxes and SSNIT contributions to currency conversion and local labor compliance, global payroll challenges can overwhelm businesses. An EOR ensures legal compliance, drafts locally compliant contracts, manages payroll in Ghanaian Cedis, and helps you enter the market without setting up a local entity. Whether you’re hiring remote workers or expanding globally, using an EOR streamlines payroll, reduces legal risks, and accelerates growth. Stay compliant, reduce costs, and scale your workforce in Ghana with ease.
What Is Global Payroll?
Global payroll is the process of managing employee compensation, benefits, tax filings, and compliance across international borders. For companies expanding into new markets like Ghana, global payroll can quickly become a logistical and legal headache if not managed properly.
Why Global Payroll Is Complicated
Managing payroll globally isn’t just about paying employees. It involves:
1. Complex Local Regulations
Each country has unique labor laws, tax structures, and social security systems. In Ghana, for example:
- Monthly PAYE tax must be deducted and submitted to the GRA.
- Employers must contribute to the SSNIT scheme.
- Termination, leave, and holiday policies must align with Ghana’s Labour Act.
2. Multiple Currencies and Banking Systems
Paying workers in different currencies, like converting USD to GHS (Ghanaian Cedis), involves bank fees, FX fluctuations, and timing issues that may affect employee satisfaction and accounting accuracy.
3. Statutory Reporting and Filing
Missing a tax submission deadline in Ghana can result in penalties. Managing such schedules across time zones and countries increases the chance of errors.
4. Time Zones, Language, and Cultural Barriers
Running a payroll team across 4–5 time zones requires careful coordination. Miscommunication can delay payments and result in non-compliance.
🇬🇭 Understanding Ghana’s Payroll Laws
Before hiring in Ghana, it’s vital to understand:
- Income tax is progressive (0%–30% based on income bands).
- SSNIT contributions total 18.5%, with 13% paid by the employer.
- Ghana mandates 15 working days of annual leave, excluding public holidays.
Learn more from the Ghana Revenue Authority.
How an Employer of Record (EOR) Simplifies Global Payroll
An Employer of Record (EOR) is a third-party partner that hires and pays employees on your behalf, while ensuring full legal compliance in Ghana and other countries.
1. Handles Local Tax Compliance
The EOR registers with the Ghana Revenue Authority (GRA), ensures accurate PAYE calculations, and files on time.
2. Drafts Compliant Contracts
An EOR creates contracts aligned with Ghana’s Labour Act, covering probation periods, leave policies, termination clauses, etc.
3. Manages Payroll in Local Currency
No need to worry about exchange rates or delayed transfers. Employees get paid in Cedis; your company pays in your preferred currency.
4. Enables Fast Market Entry
Skip the 2–3-month process of registering a local entity. An EOR lets you hire and pay employees in Ghana almost immediately.
When Should You Use an EOR in Ghana?
Consider an EOR if:
- You want to test the Ghanaian market without setting up a local company.
- You’ve hired remote staff and want a legal structure for payroll.
- You’re concerned about tax, labor, and immigration compliance.
Final Thoughts: Simplify Global Payroll Today
Global payroll doesn’t have to be stressful or risky. With the help of an experienced Employer of Record, businesses can grow confidently in Ghana and other emerging markets while staying compliant.
Ready to Expand into Ghana?
Let our experienced team at Kharis Global Group handle your payroll and compliance so you can focus on growing your business.
Book a free consultation today or contact us at info@kharisglobalgroup.com
Learn more: www.kharisglobalgroup.com
Start hiring in Ghana—faster, smarter, and 100% compliant.