Tax ?

[Jowels]

Ajarn - I'm definitely having 5% deducted from my salary each month. From memory I paid 4% last year, but it increased to 5% with effect from 1/1/2004. Given the benefits SM mentioned it seems to be a good deal.

Yes the uni I work for is a government uni. My salary's a little more than you mentioned, but not significantly so. I suspect my tax liability won't be much more than the 1,200 baht you paid. Thx for that info.

Re one-year visas. Nobody I know has encountered problems. Aren't teachers exempt from the new minimum income criteria? Please correct me if I'm wrong.

SM - Thanks for another informative reply. It's good to know that I'll have a Thai baht pension when I retire Also, thx for the website link I'll check it out later. Good to hear you're still about on Ajarn - let's hope the board isn't hacked again.

[Ajarn]

Re one-year visas. Nobody I know has encountered problems. Aren't teachers exempt from the new minimum income criteria? Please correct me if I'm wrong

Yeah, I don't know for sure, either. The regs are pretty new, but there's always a bunch of university teachers in there at immigration around the beginning of the first term, so I'm just waiting for some confirmation from someone...

In the link, I only saw income tax (mostly 5%) rates, not SS rates...Any idea where the new SS rates for all 3 parties might be found?

[Sumitr Man]

Hi Ajarn.

Have you looked here yet: http://www.sso.go.th/eng/index_en.html ?

This is the index:

Social Security Fund

Main Menu

1. What is the Social Security ?

2. What is the Act that the Social Security Scheme has to follow ? 

3. Who is the insured person ?

4. Time of Registration ?

5. Who can submit the Registration Form ?

6. Documents for registration ?

7. How to register with the Social Security Fund ?

8. What is the contribution ?

9. How do you pay the contribution ?

10. What will you do when you can't pay contribution in time or underpayment ?

11. What will the insured person receive from SSO after registration ?

12. What benefits does the registered employee claim ?

13. Details of benefits ?

14. When will you recevice the benefits ?

15. What will you receive in case of sickness ?

16. Documents shown for receiving medical treatment

17. Can the insured persons seek medical care outside registered hospital ?

18. If the insured persons seek medical care outside registered hospitals, how can they receive medical services fee ?

19. How much does an insured person receive from maternity benefit ?

20. How much does an insured person receive from invalidity benefit ?

21. How much does an insured person receive from death benefit ?

22. How much does an insured person receive from child allowance ?

23. How much does an insured person receive from old-age benefits ?

24. Contact Address 

[Ajarn]

Thanks, Sumitr Man.

Yeah, it says 4%, but that's outdated, it seems. Jowels seems correct....No mention of employer and government contribution....And all the links for unemployment information are dead links.

But, this is quite interesting.....

Social Security Fund Benefits

1. Sickness benefits consist of medical treatment free of charge at the

registered hospital and cash benefits due to sick leave. (see details below)

2. Invalidity benefits consist of medical treatment and cash benefit.

3. Death benefits consist of funeral grant and survivors allowance.

4. Maternity benefits consist of cash benefit and lump sum for delivery.

5. For child allowance, monthly allowance is paid to the first two children

of the insured with under 6 years old.

6. Old-age benefits : lump sum or pension. The insured person will

receive old-age lump sum benefit or old-age pension benefit.

For the first four benefits SSO extended the duration of coverage for 6

months from the cessation of being an employee.

^^^^^^^^^^^

You will receive medical treatment free of charge in the registered

hospital or in the network of registered hospital and also receive cash

benefits at the rate of 50% of wages at the duration stated in medical

certificate up to 90 days on each occasion and not more than 180 days

in calendar year except for chronic condition when benefit may be paid

for 365 days.

Has anyone you know ever gotten sick leave this way, assuming their job didn't offer that, or they ran out of sick days?

And a big thanks to the Thai goverment for doing pretty darn good job at making all this information available in English on the internet

[phormio]

Hi Jowels:

Let's look at each of your issues in turn:

I'll wager no falang has succesfully claimed it though.

You're right. From my review of the new regulations, along side those of Thai immigration law/rules, it would appear to be neigh on impossible for a farang to claim unemployment benefit. That said, the regulation also includes certain quirks which would assist those of us who have Thai partners.

...

just to try to be crystal clear on this, farang's may find it impossible to claim

unemployment compensation(even if they get a PR?); but

what about the social security pension and healthcare benefits for

farang teachers(would think its the same for farang non-teachers also)?

Thanks.

[Ajarn]

Hi Jowels:

Let's look at each of your issues in turn:

I'll wager no falang has succesfully claimed it though.

You're right. From my review of the new regulations, along side those of Thai immigration law/rules, it would appear to be neigh on impossible for a farang to claim unemployment benefit. That said, the regulation also includes certain quirks which would assist those of us who have Thai partners.

...

just to try to be crystal clear on this, farang's may find it impossible to claim

unemployment compensation(even if they get a PR?); but

what about the social security pension and healthcare benefits for

farang teachers(would think its the same for farang non-teachers also)?

Thanks.

phormio, I've never used the pension (nice about the lump sum, too), but I have used the healthcare side a couple of times as I've mentioned....They seem to be able to do a lot, including major surgery but no dental. As for the benefits, I haven't seen anything written to distinguish any group...I even read that non-taxpayers can alo be eligible, but no details...

[paully]

I haven't paid university teacher taxes for a few years, but the last time I paid just over 1200 baht for the year @ a standard govt. 'Ajarn Piset' salary of 17,000 + 8,000 housing...Is your salary the same?

Do you teach in a government university? Since the new wage guidelines for one-year stamps has come into play, are farang university ajarns still getting the one-year stamp from immigration?

Yes, I and a colleague obtained a one-year extension without any problems (I work at a government uni). We didn't have any tax deducted or have to pay any tax, but Social Security payments are deducted from the monthly salary. It's also quite useful to remember that the Social Security payments will cover a couple of trips to the dentist for basic work, you can claim the money back afterwards.

Finally, they've now raised the basic uni salary by a "whopping" 600 baht a month from April this year

[Ajarn]

I haven't paid university teacher taxes for a few years, but the last time I paid just over 1200 baht for the year @ a standard govt. 'Ajarn Piset' salary of 17,000 + 8,000 housing...Is your salary the same?

Do you teach in a government university? Since the new wage guidelines for one-year stamps has come into play, are farang university ajarns still getting the one-year stamp from immigration?

Yes, I and a colleague obtained a one-year extension without any problems (I work at a government uni). We didn't have any tax deducted or have to pay any tax, but Social Security payments are deducted from the monthly salary. It's also quite useful to remember that the Social Security payments will cover a couple of trips to the dentist for basic work, you can claim the money back afterwards.

Finally, they've now raised the basic uni salary by a "whopping" 600 baht a month from April this year

Actually, I misquoted the salary...It was 17,500 +.....I hope that your extra 600 baht is still above that By the way, that salary was at that level since 1996...

You should be liable for at least some income tax.....And you have to file, anyway. But, if you got your extension, I'm assuming you're kosher, since immigration requires your tax receipt before processing your extension....

[griser]

My school is taking out taxes as well. but it does seem excessive. 1700 baht per month..

Does that sound right to you guys?

Greg

[Ajarn]

My school is taking out taxes as well. but it does seem excessive. 1700 baht per month..

Does that sound right to you guys?

Greg

Maybe not....Income and SS come up to about 10% it seems. Since your school pays quarterly, I think, they will naturally take out the max, just in case. You only pay once per year, so it's much simpler that way to pay the exact correct amount. each time...

[Mikey7]

On a bit of the same subject- Does the Thai Govt. report your earnings to your home country?

[Sumitr Man]

On a bit of the same subject- Does the Thai Govt. report your earnings to your home country?

Not unless the IRS in your home country initates an approach. The Thai Revenue Dept simply does have the resources to declare each expats income to your home nation.

[PeaceBlondie]

On a bit of the same subject- Does the Thai Govt. report your earnings to your home country?

Not unless the IRS in your home country initates an approach. The Thai Revenue Dept simply does have the resources to declare each expats income to your home nation.

I doubt that Thailand reports expat income to the IRS in the USA. It would have to be digital media, meet all kinds of requirements, etc. Unless it's required in the tax treaty, I don't think Thailand would bother to do it.

Besides, lots of expats don't report their income to Thailand in the first place.

It's no big secret that at the IRS, the issue of foreign earned income is considered a landmine by everybody except the experts in Philadelpia.

[Baaksida]

I hope every teacher knows that being legit means you also get free health care in Thailand- even a pension! And soon, unemployment insurance!...

Really? As a foreigner? How many years does one have to work to be eligible for the government pension?

[mbkudu]

On a bit of the same subject- Does the Thai Govt. report your earnings to your home country?

Not unless the IRS in your home country initates an approach. The Thai Revenue Dept simply does have the resources to declare each expats income to your home nation.

I doubt that Thailand reports expat income to the IRS in the USA. It would have to be digital media, meet all kinds of requirements, etc. Unless it's required in the tax treaty, I don't think Thailand would bother to do it.

Besides, lots of expats don't report their income to Thailand in the first place.

It's no big secret that at the IRS, the issue of foreign earned income is considered a landmine by everybody except the experts in Philadelpia.

Do any teachers in Thailand make more than US$ 60,000 a year? I don't think so, so don't worry about it.

[Ajarn]

I hope every teacher knows that being legit means you also get free health care in Thailand- even a pension! And soon, unemployment insurance!...

Really? As a foreigner? How many years does one have to work to be eligible for the government pension?

I'm a bit confused now after seeing what Sumitr posted about some teachers and private schools being exempt from SS?

But, as a teacher, I did use the medical side of SS, which I thought to be quite good. I'm not old enough for a pension, though...But, If you're eligible, there is the option of a cash buyout at retirement age...60?

There's also talk that a foreigner can't get unemployment insurance, but I've seen no documentation to suggest that's true.

Since a foreigner has the same legal rights as a Thai under the Labour Law (great laws, btw), it would make sense to me that all the other rights of SS for workers would be available, too, but I really don't know for sure.

make more than US$ 60,000 a year

It's 80,000 per year max income, according to my accountant in the States..

[Baaksida]

Since a foreigner has the same legal rights as a Thai under the Labour Law (great laws, btw), it would make sense to me that all the other rights of SS for workers would be available, too, but I really don't know for sure.

Thanks for the good info!

Just don't tell my girlfriend that we'll stay for a longer time in Thailand, rather than going to the lands of milk, honey and (white, cool) snow...

But, as a teacher, I did use the medical side of SS, which I thought to be quite good.

BTW, can one get a medical certificate (for visa extension purposes) on the 30 baht scheme, when showing ones work permit at the hospital??

[Ajarn]

By most reports, the medical cert seems to cost 30 baht at most clinics...

[Baaksida]

By most reports, the medical cert seems to cost 30 baht at most clinics...

At one private hospital I paid the first time 50 baht and only five months later 100 baht (while my Thai girlfiend paid 50 baht for the same certificate).

They didn't have any business with me since then...

[phormio]

On a bit of the same subject- Does the Thai Govt. report your earnings to your home country?

Not unless the IRS in your home country initates an approach. The Thai Revenue Dept simply does have the resources to declare each expats income to your home nation.

I doubt that Thailand reports expat income to the IRS in the USA. It would have to be digital media, meet all kinds of requirements, etc. Unless it's required in the tax treaty, I don't think Thailand would bother to do it.

Besides, lots of expats don't report their income to Thailand in the first place.

It's no big secret that at the IRS, the issue of foreign earned income is considered a landmine by everybody except the experts in Philadelpia.

Do any teachers in Thailand make more than US$ 60,000 a year? I don't think so, so don't worry about it.

No need to be nit picky 'bout this but I recently looked into this and

the US foreing earned income exclusion is appx $78000; on top of this you can exclude many living expenses provided by your employer.

Doesn't change your conclusion- don't think any teachers(but suspect that many of the expats sent by multinationals will earn more than this $78,000 threshhold) have to worry bout paying taxes on their earned income in Thailand.

[Sumitr Man]

Since a foreigner has the same legal rights as a Thai under the Labour Law (great laws, btw), it would make sense to me that all the other rights of SS for workers would be available, too, but I really don't know for sure.

Have to say, I agree with your comments regarding Thai Labour Law. Like you though, I'm confussed as to why teachers of private schools (legal private schools, rather than any school that calls itself such) cannot afford themselves of some (if not all) of its benefits.

I'm now starting to wonder whether there is a separate piece of legislation covering this issue, otherwise I feel that the current legislation may be unfair, thus subject to challenge under the Constitution (equal treatment and all - and, in theory, another great piece of legal drafting).

Unfortunately though, I simply don't have the time right now to be doing extensive legislative research - however, when things die down a little (hopefully in a couple of weeks), I'll revist this.

SM

PS:

I'm a bit confused now after seeing what Sumitr posted about some teachers and private schools being exempt from SS?

This was private correspondence between Ajarn and I - you won't find me making this comments on this thread

[Ajarn]

QUOTE

I'm a bit confused now after seeing what Sumitr posted about some teachers and private schools being exempt from SS?

This was private correspondence between Ajarn and I - you won't find me making this comments on this thread

My apologies Sumitr, for my confusion. Some days are like that

[Sumitr Man]

My apologies Sumitr, for my confusion. Some days are like that 

No worries mate - gave me a good laugh early Monday morning - and it's not often that happens!

[Ajarn]

My apologies Sumitr, for my confusion. Some days are like that  

No worries mate - gave me a good laugh early Monday morning - and it's not often that happens!

I hear ya', sir...

When I was in the Working World- in the last century- I seem to remember Monday mornings as a time when a laugh would be the hardest to generate, but the most appreciated when looking ahead to 'losing my freedom' at work the next few days.... In fact, my mood could fly either way then!