Nafis Pension Changes 2026: What They Mean for Employers
From September 2026, Nafis pays the employee's legally required pension contribution on the employee's behalf, for eligible Emiratis with a total salary of AED 6,000 to AED 20,000. The employer pays its own statutory share in full; the earlier government support toward the employer share no longer applies to this arrangement.
The pension split
| Law | Who it covers | Employee | Employer share | Of which government (legacy) |
|---|---|---|---|---|
| Federal Law No. 7 of 1999 | First covered by GPSSA before 31 October 2023 | 5% | 15% | 2.5% |
| Federal Decree-Law No. 57 of 2023 | First covered from 31 October 2023 | 11% | Total contribution 26% | See GPSSA |
What changes from September 2026
| Who pays | From September 2026 |
|---|---|
| Nafis | The employee's legally required pension contribution, paid on the employee's behalf |
| Employer | Its own statutory share, in full |
| Condition | Eligible Nafis beneficiary with a total salary of AED 6,000 to AED 20,000 |
This is a Nafis programme rule, not a change to pension law. Budget the full employer share for Emirati hires, and use GPSSA for anything about the pension itself.
What to do now
- List Emirati employees by the pension law that covers them.
- Recalculate employer pension cost at the full employer share.
- Confirm with GPSSA for any employee whose position is unclear.
Frequently asked questions
01What is the pension contribution for Emiratis in the private sector?
Under the 1999 law, 20% in total: 5% employee and 15% employer share, of which the government has paid 2.5%. Under the 2023 law, the total is 26% with an 11% employee contribution.
02What changed in Nafis pension support in 2026?
From September 2026, Nafis covers the employee's pension contribution for eligible beneficiaries (total salary AED 6,000 to 20,000), and the employer pays its own share in full.
Sources
- Nafis updates following the extension to 2040. Emirati Talent Competitiveness Council.
- Nafis rules change in September: what employees need to know. Gulf Business, 20 August 2026.
- Nafis pension changes 2026: what UAE employers must do. OPS, 2026.
- UAE Nafis update: what's changing. Morgan Lewis, June 2026.
- Federal Law No. 7 of 1999 and Federal Decree-Law No. 57 of 2023 on pensions and social security. GPSSA.
This page explains UAE Emiratisation rules for general information. It is not legal advice. Rules change, so confirm against the official MoHRE, Nafis or Central Bank source linked above before acting. StrongYes is an independent publication and is not affiliated with MoHRE, Nafis, the Emirati Talent Competitiveness Council or any UAE government body. Full disclaimer.