Forvis Mazars Payroll Flash News - September 2026

Employee Welfare Fund contributions will commence on 1 October 2026

The collection of contributions to Thailand’s Employee Welfare Fund (“EWF”) will commence on 1 October 2026. The EWF is intended to provide financial assistance to employees when their employment ends or in the event of death.

Employers should now assess whether they fall within the compulsory EWF requirements, determine which employees must participate, review the wage components subject to contributions, and prepare their payroll and reporting processes before implementation.

1. What is the Employee Welfare Fund?

The EWF provides financial support when an employee’s employment ends, including in the case of resignation, dismissal or redundancy. Subject to the applicable conditions, the employee may receive:

• Their own contributions;
• The employer’s contributions; and
• Any accrued interest from the fund.

If an employee passes away or has been declared a missing person by order of the court, the designated beneficiaries will receive compensation based on the percentage allocated by the employee.

If the designated beneficiaries predecease or no beneficiary is specified, the funds will be distributed equally among the employee’s legitimate heirs, such as children, spouse, and parents.

Comparison of PVF, SSF and EWF

2. Which employers are required to participate?

Employers should assess their EWF obligations by following the decision sequence below.

Step 1: Determine whether the business is exempt

The following categories of establishments are exempt from compulsory EWF coverage:

• Fisheries;
• Non-profit activities;
• Schools, in respect of directors, teachers and educational personnel;
• Private higher-education institutions; and
• State enterprises.

Employers carrying on more than one type of activity should review the scope and conditions of the relevant exemption carefully.

Step 2: Check whether the employer has ten or more employees

A non-exempt employer generally falls within compulsory EWF coverage once its workforce reaches ten employees, unless otherwise specifically provided by law for a particular category of business employing fewer than ten employees.Once an employer becomes subject to the EWF requirements after reaching this statutory threshold, its contribution obligations continue even if the number of employees subsequently falls below ten.

Employers currently below the threshold should continue to monitor their headcount, as EWF obligations will arise when the workforce increases to ten or more employees.

Step 3: Review PVF or comparable private-fund coverage

An employer is exempt from making EWF contributions for employees who are actual members of:

• A provident fund established under the Provident Fund Act; or
• Another private fund providing benefits comparable to the EWF in the event of termination of employment or death.

Having a PVF at company level does not automatically exempt every employee. EWF coverage must be assessed employee by employee and period by period, based on each employee’s actual fund-membership status.

EWF contributions are therefore required for employees who are not covered by the employer’s PVF or comparable private fund, including:

• Probationary employees who are not yet eligible to join the PVF;
• Employees who are eligible but elect not to join the PVF;
• Temporary or fixed-term employees who are not covered by the PVF;
• Employees who leave the PVF and cannot immediately re-join; and
• Employees who are not covered by the PVF for part of a payroll period.

For example, if an employee’s PVF membership commences on 16 October 2026, EWF contributions are required for the uncovered period from 1 to 15 October 2026. Employers should apply the official calculation and rounding methodology for partial-month coverage once the detailed guidance is available.

Amounts already contributed to the EWF cannot be withdrawn merely because the employee subsequently joins the PVF. EWF benefits become payable when employment ends or the employee passes away.

Where an employee works for two employers and both employments fall within compulsory EWF coverage, contributions are required in respect of both employments.

3. Who is considered an employee?

EWF coverage is determined by the actual employer-employee relationship, rather than solely by the title or existence of a written employment agreement.

The following factors indicate an employer-employee relationship:

1. The employer has the rights to hire the worker;
2. Remuneration is agreed as consideration for the work;
3. The employer controls how the work is performed, and the worker is subject to the employer’s orders and workplace rules; and
4. The employer has the authority to suspend or terminate the worker’s employment.

Employees within the scope of the EWF include:

• Daily-paid and monthly-paid employees;
• Fixed-term employees;
• Temporary employees;
• Probationary employees;
• Foreign employees;
• Employees continuing to work after retirement; and
• Employees who do not join the employer’s PVF.

Company directors

A company director may be treated as an employee if the director remains subject to the company’s authority and direction, even where the director is authorised to sign on behalf of the company.

Conversely, a director who is not subject to the company’s authority and direction would not be treated as an employee for this purpose.

Outsourced and subcontracted workers

The actual employment arrangement must be reviewed when determining the EWF treatment of outsourced or subcontracted workers.

A worker would not normally be included in the engaging company’s EWF assessment if that company is not the worker’s employer. However, the arrangement should also be reviewed against the relevant provisions of the Labour Protection Act concerning contract labour.

4. Which wages are subject to EWF contributions?

EWF contributions are calculated based on the statutory definition of “wages” under Section 5 of the Labour Protection Act.

Broadly, wages are amounts that an employer agrees to pay an employee in return for work performed during normal working periods, including qualifying wages paid for holidays and paid leave.

The name assigned to a payroll item does not determine its EWF treatment. Employers should review the nature, purpose and payment conditions of each item against the statutory definition of wages.

Where an employee takes unpaid leave, no EWF contribution is calculated on the unpaid portion of the employee’s remuneration. The same principle applies to any portion of statutory leave for which wages are not payable.

5. Contribution rates

Employee and employer contributions are calculated at the same rate, without a minimum or maximum wage ceiling.

The contribution for each party is calculated as follows:

Qualifying wages x applicable contribution rate

The employer must deduct the employee contribution from the employee’s wages and make an employer contribution at the same applicable rate.

Calculation example

THB 45,000 x 0.25% = THB 112.50

At 0.25%, the employee contribution would be THB 112.50, and the employer contribution would also be THB 112.50.

6. Registration, filing and payment

An employer within compulsory EWF coverage must use Form Sor Kor Lor 3 (“SKL.3”) to register and report the relevant employees and also apply for the e-Service user credential.

The first submission is used for registration and does not include contribution amounts. Subsequent monthly submissions include both the employee and employer contribution amounts.

The filing and payment deadline is the 15^th the following month. The first monthly submission and payment for October 2026 must therefore be completed by 15 November 2026.

Other relevant forms include:

 

7.  Surcharge for late or incomplete contributions

If an employer fails to remit the required contributions, or remits an incomplete amount by the deadline, an additional payment of 5% per month applies to the outstanding amount.

For the purpose of calculating the surcharge, a fraction of a month of at least 15 days is treated as one month, while a period of fewer than 15 days is disregarded.

8. Tax treatment

The tax treatment of EWF contributions has not yet been officially confirmed.

Employers should continue monitoring announcements from the Revenue Department and Ministry of Finance rather than assuming that the EWF will automatically receive the same tax treatment as a provident fund or Social Security Fund contribution.

9. Claiming EWF contributions and returns when employment ends

When employment ends, regardless of the reason, the employee may claim the EWF balance in accordance with the applicable conditions and claim process.

If the employee has died or has been declared a missing person by order of the court, the claim may be made by a beneficiary designated in Form SKL.5. If the designated beneficiaries predecease or no beneficiary was designated, payment may be made to the employee’s legitimate heirs, such as the spouse or children.

Required documents

The employee or other claimant should provide:

• Completed and signed Form SKL.6;
• Evidence that employment has ended, such as a resignation acknowledgement, termination letter, retirement confirmation or mutual separation agreement, etc.;
• Death Certificate evidenced that the employee passed away or the court order for the employee who has been declared a missing person by order of the court;
• A copy of the claimant’s Thai national ID card or other official identification;
• For a foreign employee, a copy of the passport and work permit; and
• A copy of the claimant’s bank account page.

The claimant should sign each copy to certify that it is a true copy.

The employer is responsible only for providing the resignation letter, termination letter or other document confirming the employee’s final employment date.

The claim should be submitted to the labour inspector at the relevant office:

• Bangkok: the Bangkok Area Labour Protection and Welfare Office responsible for the establishment; or
• Other provinces: the Provincial Labour Protection and Welfare Office responsible for the establishment.

Where an electronic submission channel is available, the claimant should confirm the current process with the relevant office before filing.

After the submission the labour inspector will review the application and supporting documents. If the claim is approved, the amount payable will be confirmed separately for the employee’s savings, the employer’s contributions and the accrued returns, and payment will then be arranged using the approved method.

If the information provided is incorrect or the recipient is later found not to have been entitled to the payment, the EWF may recover the amount paid. A foreign employee follows the same claim process and may use a passport number or the identification number issued to a person without Thai nationality in Form SKL.6. The passport and work permit should be attached as identification documents.

If the employee remains able to use a Thai bank account, the account details should be checked before the employee leaves Thailand.

Claimants residing overseas

If the entitled person resides overseas and cannot receive payment through a Thai bank account, payment may be requested by cheque or bank draft made payable to the entitled person.

The claimant should also prepare:

• A copy of the passport;
• Evidence of the overseas residential address;
• A written request to receive payment by cheque or bank draft; and
• Any document certification required by the relevant office.

The cheque or bank draft should be marked “Account Payee Only” and sent by a trackable delivery service. Bank charges, exchange costs and delivery fees are borne by the claimant. After receiving the payment instrument, the claimant should sign and return the acknowledgement of receipt as instructed by the EWF.

10. How Forvis Mazars can help

Our HR and Payroll Outsourcing services at Forvis Mazars can assist employers with:

• Assessing whether their establishments and employees fall within the EWF requirements;
• Reviewing PVF eligibility and membership rules;
• Identifying employees requiring EWF registration;
• Mapping payroll earning items;
• Preparing employee and employer registration information;
• Supporting monthly EWF calculations and reporting; and
• Implementing payroll controls and reconciliation procedures.

Employers are encouraged to begin their assessment before 1 October 2026, particularly where PVF membership is subject to probation, employee election or other eligibility conditions.

For further information and assistance with EWF readiness, please contact the Forvis Mazars Payroll Outsourcing team.

11. Q&A

11.1 General Understanding and Background

Question: Is participation in the Employee Welfare Fund mandatory, or can an employee choose not to contribute?

Answer: Where the employer and employee fall within compulsory EWF coverage, contributions are mandatory. The EWF is not an optional employee benefit, and an employee cannot choose to opt out.

Question: Does the EWF replace the employer’s statutory severance obligations?

Answer: No. EWF benefits and statutory severance are separate obligations. An employee’s entitlement to an EWF benefit does not replace the employer’s obligation to pay statutory severance where severance is required, including in qualifying termination or retirement cases.

11.2 Eligibility and Scope

Question: Which employers are subject to compulsory EWF coverage based on employee headcount?

Answer: An employer with fewer than 10 employees is generally outside compulsory EWF coverage if it has never previously reached the statutory threshold and is not otherwise designated by law as an employer required to participate in the EWF notwithstanding its headcount.

Once an employer reaches 10 or more employees and becomes subject to the EWF requirements, the obligation does not cease merely because its headcount subsequently falls below 10. For example, if an employer has 12 employees in October 2026 and nine employees in November 2026, it must continue making EWF contributions for employees who are not covered by a qualifying Provident Fund or another comparable private fund.

Question: Is the 10-employee threshold assessed by legal entity or by branch?

Answer: EWF coverage is assessed at the legal-entity level.

Where a group has several separate legal entities, only an entity that reaches the 10-employee threshold would generally be subject to compulsory EWF coverage, provided that the entity does not have a qualifying Provident Fund or has employees who are not actual fund members.

However, where one legal entity operates through several branches, the employees of all branches must be counted together. The threshold is not assessed separately for each branch.

Question: If all employees are members of the company’s Provident Fund, is the company exempt from EWF contributions?

Answer: Generally, yes. If every employee is an actual member of a Provident Fund established under the Provident Fund Act, the employer should not be required to make EWF contributions for those employees.

However, the exemption must be assessed employee by employee and period by period. A new employee, probationary employee, or any other employee who is not yet an actual Provident Fund member may require EWF coverage during the uncovered period.

Question: Which categories of employees may fall within EWF coverage?

Answer: Coverage is determined by the substance of the employer-employee relationship rather than solely by nationality, job title, or the existence of a written employment agreement.

The following considerations apply:

• Foreign employees: Foreign employees are generally assessed in the same way as Thai employees. Nationality alone does not exclude an employee from EWF coverage.
• Company directors: A director may be treated as an employee if the director remains subject to the company’s authority and direction. A director who is not subject to such authority may not be treated as an employee.
• Interns: An intern may fall within EWF coverage if the arrangement is, in substance, an employment relationship.

For interns, relevant factors may include whether:

• The company selected the intern;
• Remuneration is paid in return for work;
• The company controls how the work is performed;
• The intern is subject to the company’s rules and instructions; and
• The company has the authority to suspend or terminate the arrangement.

Each arrangement should be assessed and documented based on the individual’s actual role, authority, terms, and working conditions.

Question: Which businesses or activities are described as exempt from EWF coverage?

Answer: The exempt categories described in the document are:

• Fisheries;
• Non-profit activities;
• Schools, specifically in respect of directors, teachers, and educational personnel;
• Private higher-education institutions; and
• State enterprises.

For schools, the exemption is not necessarily a blanket exemption for every employee. Directors, teachers, and educational personnel are specifically identified, while non-teaching or other employees should be assessed separately.

An employer carrying on more than one type of activity should review the scope and conditions of the relevant exemption carefully.

Question: How does the school exemption apply to expatriate teachers, non-teaching staff, and teachers participating in the Private Teacher Aid Fund?

Answer: Expatriate teaching staff may fall within the school exemption because of their role as teachers, rather than their nationality.

Non-teaching staff are not expressly included in the school exemption described in the document and should therefore be assessed separately.

Teachers who are eligible to participate in the Private Teacher Aid Fund under the Private School Act would generally fall within the category of directors, teachers, or educational personnel covered by the school exemption. The exemption applies based on their role within the school, rather than because the Private Teacher Aid Fund is treated as a fund comparable to the EWF.

11.3 Process and Actions Required

Question: What should the company do if employees join the Provident Fund only after completing probation?

Answer: Employees are exempt from EWF contributions only while they are actually covered by a qualifying Provident Fund or another comparable private fund. Therefore, the period before an employee’s Provident Fund membership becomes effective may be an uncovered period requiring EWF contributions.

The employer should:

• Confirm each employee’s actual Provident Fund membership date;
• Make EWF contributions for any period during which the employee is not covered by the Provident Fund;
• Stop EWF contributions when the employee’s Provident Fund membership becomes effective;
• Avoid applying both EWF and PVF contributions to the same employee for the same covered period; and
• Retain records supporting the effective dates and the employee’s coverage under each fund.

EWF contributions already made cannot be withdrawn or refunded merely because the employee later joins the Provident Fund. Those contributions remain in the employee’s EWF account and become payable when the employment ends or the employee passes away, subject to the applicable conditions.

Question: Should a company with fewer than 10 employees amend its Provident Fund regulations to allow membership from the first working day?

Answer: If the company has fewer than 10 employees, has never reached the statutory threshold, and does not expect its headcount to reach 10, it may not be necessary to amend the Provident Fund regulations solely for EWF purposes.

However, if the company expects its headcount to increase to 10 or more employees, allowing employees to join the Provident Fund from their first working day may be a prudent preparatory measure. Otherwise, employees who are not yet actual Provident Fund members may require EWF coverage during the waiting period.

As an amendment to the Provident Fund regulations may take time, preparing in advance could help the company avoid the administrative burden of registering employees with the EWF, making temporary EWF contributions, and subsequently changing their coverage to the Provident Fund.

The company should continue monitoring its headcount and review the position if its workforce plan changes.

Question: What should a company do if its Provident Fund will not be established by 1 October 2026?

Answer: If the company falls within compulsory EWF coverage on 1 October 2026 and its employees are not yet actual members of the Provident Fund, the company should proceed with the required EWF registration and contributions for those employees.

A plan to establish a Provident Fund does not, by itself, create an EWF exemption. The exemption applies only when the employees become actual members of the Provident Fund or another comparable private fund.

Once Provident Fund membership becomes effective, EWF contributions may cease prospectively for those employees. The change should be applied based on the actual membership date and the applicable partial-month contribution rules.

Question: How should contributions be handled when an employee moves between the PVF and EWF during a month?

Answer: Coverage should be assessed according to the employee’s actual participation period in each fund.

EWF contributions should apply only to the period during which the employee is not covered by the Provident Fund. The contribution base should not be duplicated by applying both PVF and EWF contributions to the employee’s full monthly wages for the same period.

For example, the document describes an employee whose Provident Fund membership begins on 16 October 2026. In that case, EWF contributions apply to the uncovered period from 1 to 15 October 2026, while Provident Fund coverage applies from 16 October 2026.

If the employee moves in the opposite direction, the same period-based principle should apply. However, the exact proration methodology should follow the official partial-month calculation rules.

Question: Which payments are included in the EWF contribution base?

Answer: The treatment should be determined by the nature, purpose, and payment conditions of each payroll item, rather than by its name alone.

Based on the information provided:

• Overtime payments are excluded from the EWF contribution base;
• Bonus payments are excluded;
• Performance-based wages may be included where they form part of the agreed remuneration for work performed during normal working periods; and
• Incentive payments may be excluded where they are separate or conditional rewards that do not constitute agreed wages for normal working time.

When assessing a payment, the employer should consider:

• Whether the payment is contractually agreed;
• Whether it is paid directly in return for normal work performed;
• Whether it is regularly earned as part of the employee’s remuneration; and
• Whether it depends on a separate target, event, or discretionary condition.

If the nature of a payment is unclear, the underlying employment terms and payment conditions should be reviewed before determining its EWF treatment.

Question: Is there a minimum or maximum wage ceiling for EWF contributions?

Answer: The EWF contribution calculation described in the materials does not have a minimum or maximum wage ceiling. Contributions are calculated on the qualifying wage amount using the applicable contribution rate.

11.4 Exceptions and Special Cases

Question: What happens if an employee is eligible for the Provident Fund but chooses not to join?

Answer: An employee who chooses not to join the Provident Fund is not actually covered by it. If the employer and employee fall within compulsory EWF coverage, the employer and employee will be required to make EWF contributions for that employee.

The exemption is based on actual Provident Fund membership, not merely the employee’s eligibility to join.

Question: What happens if an employee withdraws from the Provident Fund?

Answer: If an employee withdraws from the Provident Fund and is no longer an actual member, the employee may become subject to EWF coverage, provided that the employer falls within the compulsory EWF requirements.

The company would not normally be required to contribute to both the PVF and EWF for the same employee and the same contribution period.

The company may consider introducing a clear policy stating that an employee who voluntarily withdraws from the Provident Fund cannot rejoin it and will instead be covered by the EWF. However, such a policy should comply with the company’s Provident Fund regulations and all applicable requirements.

Question: What happens to an employee’s EWF balance when the employee resigns?

Answer: The EWF is intended to provide benefits when employment ends, including where the employee resigns.

Subject to the applicable conditions and claim process, the employee may receive:

• The employee’s contributions;
• The employer’s contributions; and
• Any qualifying accrued return.

11.5 Timing and Next Steps

Question: When can the company stop making EWF contributions after an employee joins the Provident Fund?

Answer: The company may generally stop making EWF contributions from the effective date on which the employee becomes an actual Provident Fund member.

The company should:

• Apply EWF contributions up to the date before the Provident Fund membership becomes effective;
• Apply Provident Fund contributions from the actual membership date;
• Avoid applying both funds to the same employee for the same covered period; and
• Retain the EWF contributions already made, as they cannot be withdrawn merely because the employee later joins the Provident Fund.

Question: Are employee EWF contributions tax-deductible?

Answer: The tax treatment of employee EWF contributions has not yet been officially confirmed. The treatment should not be assumed to be the same as that of Provident Fund or Social Security Fund contributions.

Further announcements from the Revenue Department and the Ministry of Finance should be monitored before a definitive tax position is communicated.

Source (in Thai):

• Royal Decree Prescribing the Commencement Period for the Collection of Contributions to the Employee Welfare Fund, B.E. 2567 (2024)
• Ministerial Regulations Specifying the Contribution Rates for the Employee Welfare Fund, B.E. 2568 (2025)
• Ministerial Regulations prescribing criteria and methods for providing welfare to employees in the event of employee resignation or death, B.E. 2567 (2024)
• Regulations of the Employee Welfare Fund Committee on the Remittance of Savings, Contributions and Additional Money to the Employee Welfare Fund 2024
• Regulations of the Employee Welfare Fund Committee on allowing employees in businesses not covered by the Employment Protection Act B.E. 2541 (1998) to apply for membership in the Employee Welfare Fund B.E. 2567 (2024)
• Announcement of the Employee Welfare Fund Committee on the criteria and methods for submitting requests for changes or amendments to the employee list form and issuing certificates of registration as members of the Employee Welfare Fund to employers B.E. 2567 (2024)
• Regulations of the Employee Welfare Fund Committee on the criteria and methods for evaluating savings and contributions that employers must submit to the Employee Welfare Fund B.E. 2567 (2024)
• Announcement of the Department of Labor Protection and Welfare on the form of a document specifying persons who will receive money from the Employee Welfare Fund in the event of an employee's death.
• Postponement of the commencement date for the Employee Welfare Fund Contributions to 1 October 2026
• Regulation of the Department of Labour Protection and Welfare on the rules and procedures for filing applications, consideration of applications, and appeals for the payment of Employee Welfare Fund contributions and employer contributions, B.E. 2569 (2026).
• Regulation of the Department of Labour Protection and Welfare on the rules, procedures, and conditions for the payment of Employee Welfare Fund contributions, employer contributions, and accrued benefits to eligible persons residing abroad by cheque, B.E. 2569 (2026).