The system of payment of social contributions in Cameroon is declarative. The employer is responsible for the calculation, liquidation and payment of all social contributions, employer’s share et employee share deducted in each pay on paid or unpaid salaries.
Regarding social contributions, the employer is subject to two fundamental obligations:
- Declare personnel and salaries paid online in the window Télédéclaration on the web site www.cnps.cm.
- Pay all the contributions owed to CNPS, in the authorised banks and financial establishments. Hence, they must go the the taxation centre of attachment with the receipt and copy of the online declaration in order to obtain a receipt for payment of social contributions.
The employer is under the dual obligation to declare (registration) all the staff he is employing, permanent, casual or seasonal and pay back all the social contributions due in this chapter. These contributions are calculated on a basis commonly called « basis of contributions ».
I) BASIS OF CONTRIBUTIONS
We call « base » of social contributions, the total amount of remunerations paid or due to workers on the basis of which the contributions are calculated.
It includes the actual salaries, allowances, bonuses, gratifications and other benefits in cash or in kind.
Deduction in terms of remuneration of professional expenses can only be deducted under the conditions and limits set by a joint order of the Minister of Finance and the Minister of Labour and Social ecurity.
II) PROFESSIONAL EXPENSES
The inter-ministerial order No. 000/MEPS/DPS and 94/MINFI of 1 March 1974 to lay down the conditions for deducting of professional expenses from the basis of contributions due to the National Social Insurance Fund defines and lists the 9 (nine) deductible professional expenses from the basis of social contributions.
Shall be considered to be professional expenses :
- Safety allowance granted to promoters of occupational risk prevention.
III. EVALUATION OF BENEFITS IN KIND
III.1 EVALUATION OF LODGING
Article 28 of Decree No. 74-26 of 11 January 1974 to lay down the procedures for applying certain provisions of ordinance No. 73-17 of 22 May 1973 on the organisation of social insurance :
Where housing is provided against payment by the employer as rovided by the Labour Code, but the employer does not make any deductions to that effect, this benefit in kind is valued at a flat rate for the calculation of contributions, and for each day of work, one time the hourly rate of the guaranteed minimum wage fixed for the area ;
Lodging concerns the displaced worker out of his habitual residence to execute the employment contract.
III.2 EVALUATION OF FOOD
Article 28 of Decree No. 74-26 of 11 Jaunary 1974 to lay down the terms of application of certain provisions of ordinance No. 73-17 of 22 May 1973 on the organisation of social insurance :
Where daily food ration is provided to the worker under the same conditions as those referred to in aarticle 27 above, but the employer does not make any deductions to that effect, this benefit in kind is valued at a flat rate, and for each working day, at two and half times the hourly rate of the guaranteed minimum wage fixed for the area.
The employer is obliged to ensure regular supply of food of every worker lodged with his family by him, where the latter cannot purchase the food on his own.
IV – BRANCHES AND CONTRIBUTION RATES
IV.1 BRANCHES OF CONTRIBUTIONS
CNPS manages 3 (three) branches of benefits :
Branch of Family Benefits ;
Branch of old-age, invalidity and death pension insurance ;
Branch of industrial accidents and occupational diseases.
IV.2 RATES OF SOCIAL CONTRIBUTIONS
They are fixed by decree and vary according to the branches of social benefits
Branch of Family benefits :
Private Education Scheme……………………3.70%
Contributions of this branch are fully borne by the employer. They have a ceiling for every worker.
Branch of occupational risks :
Group A (low risk)………………………………………….1.75%
Group B (medium risk)……………………………………2.50%
Group C (high risk)………………………………………….5%.
Contributions due for this branch are fully borne by the employer. They have no ceiling for the worker.
Branch of old-age, invalidity and death pensions insurance :
The contribution rate is 8.4% for all schemes and is distributed as follows :
4.2% paid by the employer
4.2% paid by the worker.
Contributions of this branch have a ceiling for every worker.
V) FLOOR AND CEILING OF SOCIAL CONTRIBUTIONS
V.1 The FLoor
This is the minimum social contribution base per emeployee. It is equal to the guaranteed minimum age, set at 36 270 CFA F by Decree No. 2014/2217/PM of 24 July 2014.
V.2 The ceiling
The contribution limit is the maximum amount of remuneration to be taken into account for the calculation of contributions of the branch of family benefits and old-age pensions.
CHANGES IN THE CEILING OF CONTRIBUTIONS
Before 13 June 1983 : 1 200 000 francs per year, that is, 100 000 francs per months ;
From 13 June 1983 to 30 June 1985 : 1 800 000 francs per year, that is, 150 000 francs per month ;
From 1 July 1985 to 30 June 1987 : 2 400 000 francs per year, that is, 200 000 francs per month ;
From 1 July 1987 to 30 June 1989 : 3 000 000 francs per year, that is, 250 000 francs per month ;
From 1 July 1989 to 15 February 2016 : 3 600 000 francs per year, that is, 300 000 francs per month.
Since 15 February 2016 : 9 000 000 francs per year, that is, 750 000 francs per month.