UIF – Unemployment Insurance Fund
UIF payments are compulsory for all employees.
UIF is calculated on the Taxable earnings of an employee.
Commission earnings do not attract UIF. If a salesman earns a basic salary plus commission, he will then only pay the UIF on the basic salary.
UIF cannot be claimed on a monthly pension or a disability grant from the state.
If a contributor resigns from position, UIF will not be paid (unless it is constructive dismissal)
UIF benefits include:
- Illness
- Maternity and Parental
- Adoption
- Dependants
- Unemployment
The employee contributes 1% and the employer 1% which is deducted through payroll and shown on payslip.