The Social Security Act (the “Act”) requires employers, employees, and the government to contribute to the Social Security Fund (the “Fund”). The Fund’s purpose is to insure employees against costs arising from non-work-related injury, illness, invalidity, death, maternity, child support, retirement pension, or unemployment.
Employees between the ages of fifteen and sixty are required to be insured under the Act. However, certain categories of employees are specifically excluded from coverage, including government officials, employees of foreign governments or international organizations, employees of Thai companies working abroad, teachers at private schools, and students or nursing students working for schools, universities, or hospitals.
The Act requires employers to submit a statement to the Social Security Office specifying each insured employee’s name, wage, and other required details, within thirty days of the employee becoming insured. If employment is terminated, the employer must notify the Social Security Office by the fifteenth day of the month following the month in which the termination occurred. An employer that fails to submit the required statement or notification, or that submits false statements, is subject to imprisonment for up to six months, a fine of up to THB 20,000, or both.
Employers must also deduct Fund contributions from covered employees’ wages — currently at a rate of 5% of wages, subject to a minimum of THB 83 and a maximum of THB 750 per month. The employer must match this amount from its own funds for each covered employee and pay the combined total to the Social Security Office by the fifteenth day of the month following the month of deduction, along with a statement (in the required format) detailing all such contribution payments. An employer that fails to pay the Fund within the specified time is liable for the outstanding contributions plus a penalty equal to 2% of the outstanding amount per month of delinquency.