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ComorosSaudi Arabia vs Oman: salary after tax compared
Two Gulf offers side by side: what an expat keeps of the same gross salary in Saudi Arabia and in Oman, under the official 2026 rules.
On a gross salary of $5,000 a month, an expat keeps about $5,000 in both Saudi Arabia and Oman (0% deducted). Saudi Arabia: no income tax on salaries. Oman: no income tax on salaries.
Monthly take-home pay at 6 salary levels
Each gross salary is converted into local currency at a fixed exchange rate and run through each country's 2026 rules. Take-home pay is shown in US dollars, with the local amount under it. Both columns are for a single expat employee.
| Gross a month (USD) | Saudi Arabia take-home | Oman take-home | Difference a month |
|---|---|---|---|
| $2,000 | $2,000 7,499 SAR | $2,000 769 OMR | Same |
| $3,000 | $3,000 11,249 SAR | $3,000 1,153 OMR | Same |
| $5,000 | $5,000 18,748 SAR | $5,000 1,922 OMR | Same |
| $8,000 | $8,000 29,996 SAR | $8,000 3,076 OMR | Same |
| $12,000 | $12,000 44,994 SAR | $12,000 4,614 OMR | Same |
| $20,000 | $20,000 74,991 SAR | $20,000 7,690 OMR | Same |
Exchange rates: 1 SAR = 0.2667 USD (2 October 2026), 1 OMR = 2.6008 USD (2 October 2026).
Which leaves you more?
At every salary we compared, take-home pay is about the same in Saudi Arabia and Oman, because the mandatory deductions in the two countries are similar.
The Gulf figures are for an expat. Saudi Arabia and Oman treat nationals differently: they pay pension contributions that expats do not. Switch to national in the calculator to see their figures.
Deductions on $5,000 a month, line by line
Every deduction from the same gross salary in each country, in local currency, with the calculator's notes.
- There is no income tax on salaries in Saudi Arabia.
- We assumed the contributory wage equals your gross salary, up to the cap of 45,000 Saudi riyals a month. In practice the contribution is worked out on the basic wage plus housing allowance only, so if part of your pay is other allowances (transport, for example) the actual deduction will be lower.
- Nothing is deducted from a non-Saudi employee's salary. The employer pays 2% for occupational hazards, and the employee is entitled to an end-of-service award when the contract ends.
- There is no income tax on salaries in Oman in 2026. Personal income tax (5% on income above 42,000 rials a year) starts on 1 January 2028.
- Nothing is deducted from a non-Omani's salary in 2026. The work injury branch for non-Omanis is deferred to July 2028, and the savings scheme (9% of basic pay, paid by the employer) starts on a date set by the Social Protection Fund board before July 2027; it is not calculated here.
Income tax and social insurance side by side
| Item | Saudi Arabia | Oman |
|---|---|---|
| Income tax on salaries | None | None |
| Top income tax rate | 0% | 0% |
| Employee social insurance | Expats 0%, Saudi nationals 9.75% (annuities 9% + SANED 0.75%), or 10.5% on average in 2026 for those under the new system | Expats 0%, Omanis 8% (7.5% old age, disability and death + 0.5% job security) |
| Employer contributions on $5,000 | 2% | 0% |
| VAT (standard rate) | 15% | 5% |
| Corporate tax | 20% | 15% |
| End-of-service gratuity | Set by the labour law | Set by the labour law |
| Currency | Saudi riyal (SAR) | Omani rial (OMR) |
| Tax authority | Zakat, Tax and Customs Authority (ZATCA) | Oman Tax Authority |
| Double tax treaty between them | No bilateral treaty | |
Where the numbers shift
- Turning point
- The better choice does not change between $500 and $30,000 a month
- Taken from your next raise (on $5,000)
- Saudi Arabia 0% · Oman 0%
- Marginal rate on $10,000
- Saudi Arabia 0% · Oman 0%
- Tax freedom day ($5,000)
- Saudi Arabia 1 January · Oman 1 January
- Take-home after VAT on spending
- Saudi Arabia $4,348 · Oman $4,762
- Employer cost on top of salary
- Saudi Arabia 2% · Oman 0%
Take-home after VAT = take-home pay ÷ (1 + the standard VAT rate): what the salary is worth if all of it is spent on goods at the standard rate. Tax freedom day: the day of the year on which you stop working to pay tax and contributions.
End-of-service gratuity
Both countries require employers to pay a lump sum when the contract ends. Amounts below are for $5,000 a month, with basic pay at 70% of gross and the contract ended by the employer.
| Years of service | Saudi Arabia | Oman |
|---|---|---|
| 2 years | $5,000 18,748 SAR | $7,000 2,691 OMR |
| 5 years | $12,500 46,869 SAR | $17,500 6,729 OMR |
| 10 years | $37,500 140,607 SAR | $35,000 13,457 OMR |
Resigning can reduce the amount in some countries. The end-of-service calculators apply each country's full rules.
Beyond salary: investments, family and residence
| Item | Saudi Arabia | Oman |
|---|---|---|
| Gains on shares (top rate) | 0% | 0% |
| Gains on property (top rate) | 0% | 0% |
| Dividends | 0% | 0% |
| Crypto gains | Not settled | Not taxed |
| Inheritance tax | No | No |
| Remote work visa | None | None |
People and money between Saudi Arabia and Oman
Sources: UN DESA International Migrant Stock 2024 · KNOMAD and World Bank bilateral remittance matrix 2021. Remittance figures are modelled estimates, not recorded flows.
What changes if you move from Saudi Arabia to Oman?
- On $5,000 a month you keep about the same in both countries ($5,000).
- VAT falls from 15% to 5%: spending $1,000 a month on standard-rated goods costs about $87 less each month.
- Crypto gains: not taxed in Oman; not settled in Saudi Arabia.
- Tax residence in Oman: In 2026 there is no tax residence test for individuals, because they pay no income tax. You may also stay tax resident in Saudi Arabia if you do not end your residence there. Count your days.
Saudi Arabia vs Oman: common questions
Which pays more after tax, Saudi Arabia or Oman?
At every salary we compared, take-home pay is about the same in Saudi Arabia and Oman, because the mandatory deductions in the two countries are similar.
How much is left of $5,000 a month in Saudi Arabia and Oman?
On a gross salary of $5,000 a month, an expat keeps about $5,000 in both Saudi Arabia and Oman (0% deducted). Saudi Arabia: no income tax on salaries. Oman: no income tax on salaries.
How much is left of $20,000 a month in each?
About $20,000 in Saudi Arabia and $20,000 in Oman. The marginal rates at this level are the same.
Do expats pay social insurance in Oman?
Expats 0%, Omanis 8% (7.5% old age, disability and death + 0.5% job security). On $5,000 a month an expat has 0% deducted in total.
Is VAT higher in Saudi Arabia or Oman?
VAT is 15% in Saudi Arabia and 5% in Oman. VAT applies to most of what you buy, so it changes what a salary is worth even when take-home pay is the same.
Is there a double tax treaty between Saudi Arabia and Oman?
We found no bilateral treaty in the official lists we checked on 9 October 2026. Without one, each country applies its own law, and many credit foreign tax on their own.
Does the comparison include the cost of living?
No. It covers taxes and mandatory contributions only, at fixed, dated exchange rates. Rent, schooling and health care can change the result, so weigh them next to these figures.
Sources
Rates and bands come from each country's official sources. Saudi Arabia last checked 2 October 2026, Oman 2 October 2026.
- GOSI: guide to the gradual increase in annuities contribution rates (2024 to 2028 schedule) Saudi Arabia · official source
- GOSI awareness platform: who the new system covers (SANED 0.75% and 0.75%, occupational hazards 2%) Saudi Arabia · official source
- GOSI: employer journey (45,000 riyal cap, parts of the contributory wage) Saudi Arabia · official source
- GOSI: annuities page (9% on the contributor and 9% on the employer under the previous system) Saudi Arabia · official source
- Social Protection Law issued by Royal Decree 52/2023 (amended text: Articles 52, 68, 70, 90, 115, 116, 121, 123, 127, 128, 136, 137 and 139), Official Gazette 1503, via the Qanoon website Oman · official source
- Royal Decree 60/2025 amending Article 6 of Royal Decree 52/2023 (deferring work injury cover for non-Omanis and the savings scheme), Official Gazette 1604 Oman · official source
- Labour Law issued by Royal Decree 53/2023 (Article 61) Oman · official source
- Royal Decree 56/2025 issuing the Personal Income Tax Law (5%, 42,000 rials, in force from 1 January 2028), Official Gazette 1602 Oman · official source
Results are estimates for information only, not tax advice. How we calculate.
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