What Employers Should Know About NSITF in 2025. Think NSITF is optional? Think again.
The Nigeria Social Insurance Trust Fund (NSITF) is one of the most misunderstood and overlooked parts of employer compliance in Nigeria.
Yet failure to register and remit can lead to fines, delays, and even liability if a workplace injury occurs.
Here’s what you need to know as a foreign or local employer in 2025.
1. What is NSITF?
The NSITF is Nigeria’s statutory Employee Compensation Scheme (ECS).
It provides social insurance to employees injured, disabled, or killed in the course of work.
2. Is It Mandatory?
✅ Yes.
Any employer with more than five staff must register with NSITF and remit 1% of their total annual payroll.
This applies whether your employees work:
- On-site
- Remotely
- Part-time or full-time
3. What Happens if I Don’t Pay?
Non-payment = violation of the Employee Compensation Act
Penalties include:
- Fines
- Blocked project eligibility (especially for government-linked contracts)
- Employer liability in the case of injury or death
4. Even Remote Teams?
Yes.
Even if you’re abroad and hiring Nigerians remotely, you’re still responsible for:
✔ PAYE
✔ Pension
✔ NSITF
✔ NHF
5. How to Register for NSITF (as a Foreign Company)
To comply, you must:
- Register your business/employer profile with NSITF
- Calculate 1% of your total payroll (in Naira)
- File and remit monthly or quarterly
- Keep evidence of submission
Kaph Global helps clients do this without stress.
NSITF isn’t just a government form, it’s protection for your workers and your business.
At Kaph Global, we make it easy:
✔ We register and file your NSITF
✔ Ensure full payroll compliance
✔ Handle contributions, onboarding, and communication