Payroll Outsourcing in Turkey

• Local expertise in payroll processes
• Experts knowledgeable in local regulations
• Guaranteed data security

Seamlessly Expand To Turkey With Edge

Establishing your business in Turkey as part of your international expansion strategy can be a great move. Conveniently located at the crossroads of Europe and Asia, Turkey makes for a great spot to get direct access to both markets. In addition, the country’s growing economy and business-friendly environment offer plenty of opportunities for growth and profitability.

Even better, Turkey is home to a skilled workforce with lower average wages compared to many Western countries. This makes the region more attractive to small businesses aiming for cost savings.

Despite all these opportunities, there is one challenge that might make it hard for you to expand to Turkey–payroll management. The applicable tax laws, labor regulations, and payroll compliance requirements in Turkey keep changing. Without local expertise, it can be a challenge to remain compliant. Payroll errors or non-compliance can lead to penalties, fines, and other expensive issues, which will not only strangle your expansion but also hurt your business reputation.

In addition, managing payroll in-house is time-consuming and requires expertise. You will have to hire and train professionals or invest in payroll software, which adds to your operational costs. This might take your focus and resources away from quality assurance and core business functions.

So, even if in-house payroll seems cost-effective initially, it comes with potential risks and complexities, which can complicate processing payroll in Turkey. To ensure operational efficiency without the burden of payroll operations, consider outsourcing your payroll to payroll outsource services in Turkey. As a trusted service provider, we can handle everything from complex HR services to payroll processing to support your business efficiently.

Flexible Payroll Outsourcing That Fits Your Business Needs

When it comes to payroll processing, we at Edge have numerous years of experience helping businesses succeed. Our comprehensive suite of payroll outsourcing services covers all aspects of payroll functions, from employee salary calculations to tax filing and ensuring regulatory compliance.

Experts In Payroll Regulations

Our payroll professionals always immerse themselves in Turkey’s changing local regulations, tax laws, and other compliance requirements. This means we will be the first to know when there is even the slightest change in payroll legislation. This way, we keep your payroll process accurate and compliant with Turkey’s regulations.

Tailored Outsourced Payroll Functions

We understand that every business is unique. For this reason, though we have a standard payroll outsourcing model, we remain open to customizations. Whether you’re a small startup or a multinational organization, we can customize our outsourced payroll services to fit your business needs, industry, and objectives.

Proven Track Record In Payroll Excellence

Our outsourced payroll solution is designed to streamline your operations, reduce administrative burdens, and thereby help you save more money and time. By outsourcing payroll to us, you can rest assured focus on growing your business and driving innovation. We’ll keep your workforce happy and productive by ensuring they are paid accurately on time.

Outsource Payroll To Edge

With Edge, as your payroll outsourcing provider in Turkey, you can be worry-free about payroll accuracy, compliance, and efficiency. We’ll manage all the complexities of the payroll function while you achieve your business goals. Contact us today, and let’s discuss your outsourced payroll needs.

Guide To Payroll Turkiye

دورة استحقاق الرواتب

In Turkey, most companies run payroll on a monthly basis. This means that all employees receive their salary at the end of each month for the work completed during that month.

Employers or their payroll outsourcing providers will calculate individual employee salaries based on the number of hours they worked or the agreed-upon monthly rate. Extra payments for overtime bonuses or deductions should also be taken into consideration at this time.

Payments are transferred to employees’ bank accounts either by the employer or payroll outsourcing companies. The exact date of payment varies depending on each company’s payroll frequency but is typically around the 25th of each month. In addition, employers can choose to pay their employees bi-weekly or semi-monthly.

Minimum Wage

The national minimum wage is the lowest amount of money an employer is legally bound to pay their employees. It is decided by the government to ensure every worker receives fair pay for the work they do. There is a single minimum wage that applies to all employers in Turkey, and it is reviewed and adjusted frequently. Currently, it is set to be around TRY 4,253.40 per month.

Overtime

Overtime is the work that is logged in by an employee beyond their regular working hours. In Turkey, the standard working hours is 45 per week. The rules also state that daily working hours shouldn’t exceed 11 hours. Any work done beyond 45 hours a week is considered overtime and should be compensated for according to Turkish labor laws.

The overtime rate set by the authorities is 1.5 times the regular hourly wage for the first 2 hours of overtime work in a week. Any additional hours beyond the first 9 hours of overtime work in a week should be compensated at double the regular hourly wage. Friday is a weekday, so any work done on Friday is considered overtime.

Annual Leave

The number of annual leaves an employee in Turkey can take is decided based on the length of their service. Generally, employees who have worked for less than one year at their respective company are entitled to two weeks or 14 days of paid annual leave. After five years of service, this increases to 20 days, whereas after 15 years, an employee receives 26 days of annual leave.

During annual leave, employees receive their regular salary, and employers are not allowed to deduct any wages. Additionally, employees can use their annual leave days in whole or in part, but this should be discussed with their employer beforehand. Accrued annual leaves cannot be carried over to the next year unless it is mentioned so in the employment contract.

An outsourced payroll provider in Turkey can help you with drafting employment contracts adhering to local laws. If you’re new to the Turkish market and need help to process payroll, consider Edge’s outsourced payroll solution.

Parental Leave

Parental leave rules in Turkey allow both mothers and fathers to take time off work after the birth or adoption of a child. Mothers get 16 weeks of paid maternity leave, which they can start up to 8 weeks before their due date. During this time, they receive a percentage, often two-thirds of their salary, from the Social Security Institution (SSI).

Fathers, on the other hand, get 5 days of paid paternity leave following the birth of their child. Additionally, both parents have the option to take unpaid parental leave for up to 24 months until their child turns 3 years old.

Sick Leave

The sick leave rules in Turkey allow employees to take time off work to recover from injuries or illnesses without losing their salary. Typically, employees only become eligible to take sick leaves after probation.

During sick leave, employees usually receive a portion of their salary, known as sick pay. The sick pay rate is usually a percentage of the regular salary and is determined by the employer’s policies or collective bargaining agreements.

If an employee wishes to extend their sick leave for any reason, they will have to submit a medical certificate from a healthcare provider.

Termination & Severance

Generally, employers must provide a valid reason for terminating an employee, such as poor performance or misconduct. They should also stick to notice periods outlined in the employment contract or labor laws.

If the employee is terminated for no specific reason, they receive severance pay. The severance pay is typically calculated based on the employee’s length of service and wage. The longer an employee has worked for the company, the higher the severance pay they are eligible to receive upon termination.

Social Security Contributions

Both employers and employees contribute to various social security funds, which include benefits such as healthcare, pensions, and unemployment insurance. The employee contributions are withheld by the employer or their payroll outsourcing providers and then transferred to the social security and tax authorities.

The rate of social security contributions varies depending on factors like the type of employment, salary level, and the specific social security fund involved.