SSC Employer Contribution — Insurance Staff (Jordan)
Recording the 14.25% employer SSC contribution for Jordanian insurance company employees.
| Account Name | Type | Debit ($) | Credit ($) |
|---|---|---|---|
| SSC Expense — Employer Share (14.25%) | Expense (+) | 6,412.50 | - |
| SSC Payable | Liability (+) | - | 6,412.50 |
💡 Accountant's Note
SSC is part of the true employment cost and is allocated between underwriting and claims categories in the same proportions as the underlying salary.
Practitioner & Systems Framework
💻 ERP Architecture
The employer SSC contribution (14.25% of gross salary, subject to the SSC ceiling) is calculated automatically by the payroll system alongside the employee deduction (7.5%). The employer share is posted to the SSC expense account and allocated to the same cost centres as the underlying salary (underwriting, claims, investment, admin) using the same proportional split. The SSC payable is remitted to the Social Security Corporation (SSC) by the 15th of the following month. In SAP HR, the SSC calculation is configured as a wage type with the statutory rate, and the payroll posting rule maps the contribution to the correct GL accounts.
⚠️ Audit Flags
Auditors reconcile the total employer SSC expense for the year to the total taxable salary base multiplied by the 14.25% rate, checking that the SSC ceiling per employee has been correctly applied. Confirm that SSC is remitted on time — late payment attracts penalties and interest from the SSC. Verify that all employees (including part-time, contract, and newly joined) are enrolled in the SSC scheme as required by Jordanian law. Cross-check the SSC payable balance at year-end to the December payroll SSC accrual and confirm it is settled in January.
📄 Required Documentation
Monthly payroll report showing gross salaries and SSC calculations per employee, SSC payment receipts (monthly remittance confirmations from the SSC), SSC ceiling schedule for the year, reconciliation of annual SSC expense to payroll, and SSC registration certificates for all employees.
Automate this entry with the JEH Accounting Suite
Stop doing manual entry. Our VBA-powered ERP automatically generates your ledgers, Trial Balance, and Financial Statements.
No Subscriptions. Own your data.
Expert Analysis by Qusai Ahmad
General Accountant Supervisor & IFRS Specialist
Specialized in SAP GUI automation and Middle Eastern tax compliance. Building digital tools for the next generation of finance leaders.