Payroll Outsourcing for Foreign Subsidiaries & INGOs
We run monthly payroll for subsidiaries, branch and liaison offices of foreign companies, and for international NGO country offices in Bangladesh: salaries, salary tax, provident fund, final settlements and reports your head office and donors can rely on.
- Bangladesh Labour Act 2006
- Income Tax Act 2023
- Donor-ready reports
- English reporting
- USD or BDT invoicing
Your monthly payroll cycle
- Attendance, leave and changes collected
- Draft payroll register prepared
- Your finance lead approves
- Salaries paid to staff bank accounts
- Salary tax and fund deposits made
- Payslips and reports delivered
What is payroll outsourcing for foreign subsidiaries and INGOs?
It means handing the monthly payroll of your Bangladesh subsidiary, branch office or INGO country office to a local specialist. PayrollBangladesh calculates salaries, deducts and deposits salary tax, runs provident fund and gratuity, pays staff, issues payslips and prepares reports for your head office and donors, in line with the Bangladesh Labour Act 2006 and the Income Tax Act 2023.
Built for Two Kinds of International Employers
Both need accurate local payroll, but they answer to different people: a foreign subsidiary to its group finance team, an INGO to its headquarters and its donors.
Foreign subsidiaries, branch and liaison offices
- Monthly payroll that matches your group’s chart of accounts and cost centres
- Salary tax deducted at source and deposited every month
- Payroll for expatriate staff with BIDA work permits, alongside local staff
- Records for statutory audit and transfer-pricing support
- Board and head-office reports in English
INGOs and donor-funded projects
- Salary costs split by project, grant and donor code
- Timesheets and level-of-effort records linked to each payment
- Payroll for foreign staff cleared through the NGO Affairs Bureau
- Separate registers and reports for each donor audit
- Fast final settlements when a project ends
What Our Subsidiary and INGO Payroll Service Covers
One team handles the full payroll cycle, so you deal with one contact, one monthly report and one invoice.
Monthly payroll processing
Gross-to-net calculation for every employee: basic, allowances, overtime, bonuses, deductions and arrears, checked against your approved inputs before anyone is paid.
Salary tax (TDS)
Tax deducted from salaries each month, deposited on time and reported in the employer’s withholding returns.
Payslips
Clear payslips for every employee, in English, each month.
Provident fund and gratuity
Contributions and accruals calculated under your fund rules and policy.
Festival bonuses
Calculated and paid on schedule for eligible staff.
Joiners, leavers and final settlements
Pro-rata pay for new staff, and full final settlements for leavers, including leave encashment, gratuity and any notice pay, paid within the legal deadline.
Expatriate payroll
Salaries for foreign staff, tax on their Bangladesh income, and the paperwork their bank needs to send part of their pay home.
Head-office and donor reports
Payroll journals, cost-centre and grant allocations, headcount and variance reports in the format your finance team uses.
From Inputs to Reports: Our Monthly Payroll Process
Every month runs on a fixed calendar agreed at onboarding, with your approval before any money moves.
- Step 1
Collect inputs
Attendance, leave, joiners, leavers and pay changes.
- Step 2
Calculate
Gross-to-net, tax, fund and bonus calculations.
- Step 3
Review
Draft register and variance report sent to you.
- Step 4
Approve
Your finance lead signs off the payroll.
- Step 5
Pay
Salaries, tax and fund deposits made on time.
- Step 6
Report
Payslips, journals and donor allocations delivered.
Bangladesh Payroll Rules for Subsidiaries and INGOs
The main rules your Bangladesh payroll must follow. We build each one into the monthly cycle.
| Item | What applies |
|---|---|
| Employment law | Bangladesh Labour Act 2006, as amended, and the Bangladesh Labour Rules 2015 |
| Salary payment date | Wages must be paid before the end of the seventh working day after the wage period |
| Final settlement | All dues paid within 30 working days after employment ends |
| Salary tax | The employer deducts income tax from salaries at source under the Income Tax Act 2023 and deposits it with the government |
| Festival bonus | Two festival bonuses a year for workers with one year of continuous service, each up to one month’s basic wage |
| Foreign staff in companies | Expatriates need a work permit, normally from BIDA, before they can be paid in Bangladesh |
| Foreign staff in INGOs | Appointment of foreign nationals by an NGO needs clearance from the NGO Affairs Bureau |
| Expatriate remittance | Bangladesh Bank rules let foreign employees send up to 75% of their net income abroad through their bank |
Rules as reviewed in October 2026. Labour law was amended in 2025 and 2026, and some changes still await implementing rules; we apply each change as it takes effect.
Donor-Ready Payroll for INGO Country Offices
Donors and auditors want to see that every taka of staff cost was earned, approved and charged to the right grant. We build that trail into the payroll itself, not after the fact.
For subsidiaries, the same structure supports group audits and cost recharges between entities.
- Grant and project codingEach salary line is charged to the project, grant or donor code you set.
- Level-of-effort recordsTimesheets are linked to the pay they support.
- Audit trailApprovals, changes and payments are logged with names and dates.
- Donor-specific reportsSeparate registers and summaries for each donor review.
- Project close-outFinal settlements and records completed when a grant ends.
- Data protectionStaff pay data shared only with named people in your organisation.
Why International Employers Choose Us
We work with companies and organisations from North America, Europe, Australia and the Middle East that need Bangladesh payroll done properly.
One accountable team
Payroll, tax and fund administration handled together, with one contact.
Reports your head office reads
English reports and journals built to your chart of accounts.
Donor and audit ready
Every payment traceable to inputs, approval and bank record.
Local and expatriate staff
Both on one payroll, each with the right tax and paperwork.
USD or BDT invoicing
We invoice in the currency your finance team prefers.
More when you need it
Hire without an entity through our Employer of Record service, or pay contractors through our Agency of Record service.
Subsidiary and INGO Payroll in Bangladesh: Frequently Asked Questions
Answers to what finance and HR leads ask before moving their Bangladesh payroll to us.
Can a foreign subsidiary in Bangladesh outsource its payroll?
Yes. The subsidiary, branch or liaison office stays the legal employer and keeps control of hiring and pay decisions. We run the monthly payroll for it: salary calculations, salary tax, provident fund, payslips, payments and reports, after your finance lead approves each month’s register.
How does payroll outsourcing work for an INGO country office?
We run the same monthly cycle, and also charge each salary line to the project, grant or donor code you set, link timesheets to pay, and prepare separate reports for each donor audit. Foreign staff are paid once their appointment is cleared by the NGO Affairs Bureau.
Who deducts and deposits salary tax?
The employer is responsible for deducting income tax from salaries under the Income Tax Act 2023. We calculate the deduction each month, deposit it on your behalf and prepare the withholding returns for your signature.
When must salaries be paid in Bangladesh?
Under the Bangladesh Labour Act 2006, wages must be paid before the end of the seventh working day after the wage period ends, and final dues within 30 working days after employment ends.
Can you run payroll for expatriate staff?
Yes. Expatriates are paid on the same payroll once they hold a valid work permit, from BIDA for companies or with NGO Affairs Bureau clearance for INGOs. We calculate their Bangladesh tax and provide the salary documents their bank needs to send up to 75% of their net income abroad.
What do you need from us to start?
An employee list with salaries and bank details, your pay structure and policies, tax identification numbers, provident fund and gratuity rules, your cost centres or grant codes, and the name of the person who approves payroll.
We have no Bangladesh entity yet. Can you still help?
Yes. Through our Employer of Record service we become the legal employer of your staff in Bangladesh, so you can hire before setting up a subsidiary or registering an INGO office.
How do you invoice international clients?
We invoice in USD or BDT, whichever suits your finance team, with the payroll funding and our service fee shown separately.
Move Your Bangladesh Payroll to a Specialist
Tell us your headcount, entity type and reporting needs. We will set out the payroll calendar, reports and fee for your subsidiary or INGO office.
PayrollBangladesh · Rupayan Shopping Square, Suite 610, Bashundhara R/A, Dhaka 1229 · +880-1711-990010 · info@payrollbangladesh.com
Reviewed by Romana Akter Shila, Chief Executive Officer, PayrollBangladesh, 8 years in EOR and payroll operations. This page is general information, not legal or tax advice.