The Short Answer
Payroll in Cameroon is run monthly in Central African CFA francs (FCFA/XAF). Each month the employer calculates gross pay, withholds the employee's CNPS pension contribution, IRPP income tax and the communal additional tax (CAC). It then pays net salaries, and declares and pays tax and social security by the 15th of the following month. A foreign company without a local entity can run Cameroonian payroll through an Employer of Record.
Before the First Payroll
Employer registration – With the tax authority (DGI) and with CNPS. A foreign company without a local entity cannot do this itself.
Employee registration – Each employee is registered with CNPS within 8 days of their start date.
Written contract – Specifying job, salary, work location and the applicable collective agreement.
Salary check – Against the national minimum wage (SMIG) and the sector minimum in the collective agreement; see the Cameroon minimum wage guide.
From Gross to Net
Gross salary – Base salary plus taxable allowances and any overtime.
Employee CNPS – 2.8% old-age pension contribution, on salary up to FCFA 750,000 per month.
IRPP – Progressive income tax from 10% to 35% on annual taxable income, withheld monthly.
CAC – Communal additional tax, 10% of the IRPP amount.
Net salary – Paid to the employee, usually by bank transfer.
The employer pays its own CNPS contributions on top: 7% family allowances, 4.2% pension and 1.75% to 5% workplace accidents. See the cost of employing someone in Cameroon for a worked example.
Monthly and Annual Deadlines
| Obligation | Deadline | Frequency |
|---|---|---|
| IRPP and CAC declaration and payment | 15th of following month | Monthly |
| CNPS declaration and payment | 15th of following month | Monthly |
| Annual tax return | February 28 | Annually |
| Annual CNPS return | March 31 | Annually |
CNPS arrears attract surcharges of 10% per month of delay. Our CNPS guide and Cameroon tax guide for employers cover each obligation in detail.
Payslips and Records
Payslip every month – Showing gross pay, each deduction and net pay
Payroll register – Kept up to date and available to labour inspectors
Retention – Keep payslips and payroll records for at least 5 years
Common Mistakes Foreign Employers Make
Agreeing net salaries – The employer then absorbs every change in tax and contributions. Agree gross salaries.
Treating full-time staff as contractors – See contractor vs employee in Cameroon.
Ignoring the collective agreement – Sector minimums and allowances often exceed the national rules.
Late registration – Leads to backdated contributions plus surcharges.
Paying expatriates offshore only – Work performed in Cameroon is generally taxable in Cameroon; plan expatriate payroll with local advice.
Frequently Asked Questions
Can I run Cameroon payroll from my head office?
Only if you have a registered Cameroonian employer entity. Without one, you need an Employer of Record. With one, you can run payroll in-house or outsource it.
How are expatriates paid?
Expatriates working in Cameroon are generally on Cameroonian payroll for the work performed there, sometimes with a split payroll arrangement. See work permits and expatriation in Cameroon.
What happens at the end of employment?
The final settlement includes outstanding salary, accrued leave and, where applicable, notice and severance pay. See how to handle employee termination legally in Cameroon.
Need compliant payroll in Cameroon without a local entity? CDS HR runs payroll for international companies as an Employer of Record, and for local entities through payroll outsourcing. Book a free 30-minute consultation.