Payroll Services in Pakistan

Payroll is far more than paying salaries on time. Every payslip carries legal obligations, correct withholding of income tax, deductions and contributions for social security and old-age benefits, compliance with minimum-wage and employment law, and accurate record-keeping, and errors expose an employer to penalties, disputes, and liability. Global Law Company provides legally grounded payroll services and payroll-compliance advice to businesses across Pakistan, ensuring that employees are paid correctly and that the employer meets every obligation that attaches to employment.

Many businesses treat payroll as a purely administrative task and discover too late that it carries significant legal exposure. We bring a compliance-first approach, so that payroll is not just processed but legally correct, and the employer is protected against the tax, labour, and social-security liabilities that payroll generates.

The legal obligations behind payroll

Running payroll in Pakistan engages several legal regimes at once. Income tax must be correctly withheld from salaries under the Income Tax Ordinance 2001, deposited, and reported, with annual statements filed. Contributions are due for old-age benefits under the Employees' Old-Age Benefits Act 1976 (EOBI) and for provincial social security under the relevant provincial employees' social security laws. Minimum-wage, overtime, leave, and other entitlements arise under labour and employment law, and employer-run benefits such as provident and gratuity funds carry their own obligations. Each of these must be reflected correctly in payroll, and failures in any of them create liability for the employer.

Payroll processing and tax withholding

We provide and support accurate payroll processing, calculating salaries, allowances, deductions, and net pay, with correct income-tax withholding at the heart of it. We ensure that tax is withheld at the right rates, accounting for each employee's circumstances, that it is deposited and reported on time, and that the annual withholding statements are filed. Because the employer is liable if tax is under-withheld or not deposited, getting salary tax withholding right protects the employer as much as it ensures the employee's tax is in order. We also advise on the tax treatment of allowances, benefits, and bonuses, which is often handled incorrectly.

EOBI, social security, and statutory contributions

Beyond tax, payroll must account for statutory contributions, EOBI for old-age benefits and provincial social-security contributions, for eligible employees. We advise employers on their registration and contribution obligations under these schemes, ensure contributions are correctly calculated and deposited, and help resolve the assessments and disputes that EOBI and social-security authorities sometimes raise. These contributions are easy to overlook or mishandle, particularly for growing businesses, and unpaid contributions can accumulate into significant liabilities, so building them correctly into payroll is essential.

Employment compliance and documentation

Payroll sits within the broader framework of employment law, and sound payroll depends on sound employment documentation. We advise employers on compliance with minimum-wage, overtime, leave, and final-settlement requirements, and on the employment contracts, appointment letters, and payslips that should underpin payroll. Correct documentation and compliant payroll practices reduce the employment disputes, over unpaid wages, deductions, and dues, that so often arise, and they put the employer in a strong position if a dispute does occur. We connect payroll to the employer's wider employment-law obligations so the two are consistent.

Confidentiality, accuracy, and overseas employers

Payroll involves sensitive personal and financial data and demands accuracy and confidentiality. We handle payroll with appropriate care for the confidentiality of employee data, and we serve overseas businesses that employ staff in Pakistan and need a reliable local partner to run compliant payroll on their behalf, managing the tax, EOBI, social-security, and employment obligations that a foreign employer may not be familiar with. For overseas employers in particular, outsourcing payroll to a legally grounded local provider removes a significant compliance risk.

How Global Law Company helps

We provide payroll services and payroll-compliance advice that treat payroll as the legal obligation it is, accurate processing, correct tax withholding, statutory contributions, and employment compliance, with proper documentation and confidentiality. Because we are a law firm, we can move smoothly from running payroll to resolving the tax, EOBI, social-security, or employment issues that arise, and we serve both domestic and overseas employers. Our focus is payroll that is correct, compliant, and protective of the employer.

Why choose Global Law Company

Payroll rewards a provider who understands the tax, social-security, and employment obligations behind every payslip, and clients value that we bring that legal grounding. We get withholding and contributions right, keep payroll consistent with employment law, handle employee data with care, and stand ready to resolve disputes. For employers, especially overseas ones, who want payroll that protects them rather than exposes them, that compliance-first approach is exactly what is needed.

Talk to us about payroll services in Pakistan