Understanding How Mudad Portal Works & Its Benefits

If you’re thinking of setting up a business in Saudi Arabia, it is necessary to know how ‘Mudad’ works! Mudad is a digital space introduced in 2021 by the Saudi Arabian Ministry of Commerce and Investment. The major service is to manage payroll and compliance systems for small and medium-sized enterprises. Also, track employer payrolls, data, and related documents.

Overview

On the whole, this software acts as a virtual HR to run the organization smoothly while the platform performs tasks like collecting employee information – attendance, time sheets, pay, and automated salary calculation and deductions. By the end of this article, you’ll have a clear understanding of Mudad and be equipped to manage your business in KSA seamlessly.

Working Principle of Mudad in Saudi Arabia

The major motive of Mudad is to encourage and promote SMEs to set up business in Saudi Arabia especially focusing on the locals to execute their plans. The Mudad portal ensures safe transactions through secure payment channels and an intense verification process. It enhances the success of SMEs in Saudi Arabia while contributing to the growth of the Kingdom’s digital economy. Apart from this Mudad also helps businesses to easily set up their stores, upload products, and manage orders due to the Mudad portal’s user-friendly design. They also provide a helping hand for logistical services and digital marketing tools. 

How to subscribe Mudad Portal?

Setting up your business on the Mudad Portal is straightforward. These steps will help you finish your registration and effectively handle payroll –

• Visit the Mudad Website: Go to the official Mudad Portal to begin the registration process.
• Create an Account: Register your business by providing basic company information and uploading the required official documents. This step sets up your access to Mudad services.
• Verify Your Establishment: Enter essential business details to validate your organization. This connects your business with GOSI and other government systems to ensure official recognition.
• Add a Signatory: Provide the national ID or Iqama number of an authorized signatory of the person responsible for managing payroll activities. An OTP will be sent to them to verify their identity.
• Upload Payroll Information: Once your account is approved, upload employee details and salary data. This step ensures your business stays compliant with the Wage Protection System (WPS) regulations requirements in Saudi Arabia.
• Link a Bank Account: Connect your Mudad profile with your business bank or a registered financial institution. This allows direct salary transfers to your employees’ bank accounts.
• Submit and Track Payments: After verifying the payroll report, submit it for processing. Mudad will take care of transferring the salaries and provide real-time updates so you can track the status of every transaction.

Integration of Mudad & GOSI

The direct link between the Mudad Portal and the General Organization for Social Insurance (GOSI)  is one of its main advantages. This combination makes it simpler for organizations to maintain compliance and manage employee information.

• Mudad connects directly with GOSI to fetch employee data automatically so you save time and avoid manual updates.
• It ensures that social insurance contributions are accurate and in line with regulations for both Saudi employees and expats.
• It helps maintain updated employee status and insurance records to reduce administrative errors and enhance overall data accuracy.

Benefits of the Mudad Platform

• Reduced Manpower – Since the software Automates payroll processing, including wages, taxes, deductions, and bonuses reducing manual work, this also allows employees to sign in/out using tools like biometric scanners and mobile devices, reducing HR effort. This also enables employees to manage and access salary information, minimizing HR intervention.
• Precise and Automated System – This calculates payroll taxes and generates reports, ensuring compliance with precision. Generates payroll summaries, tax deductions, and analytics to identify cost-saving opportunities.
• Tagged with GOSI: This platform has a direct connection with the (GOSI) database. Therefore the platform can instantly display employee information. This connectivity also facilitates a smooth interaction with the larger social insurance system. Thus organizations can access all employee data directly.
• Data Security – Securely manages sensitive data on benefits like health insurance and retirement plans. Ensures secure handling and filing of tax documents and also protects confidential information of employees such as salary and personal details.

Key Takeaways

How Arnifi Can guide you through Mudad?If you have reached this far – excellent! Be sure to talk to experts from Arnifi to resolve your doubts about the ‘Mudad’ platform for a smooth and secure payment and payroll process. It is going to be overwhelming to set up a business in Saudi Arabia and manage this software along with documentation. We at Arnfi with experts present locally will handhold in launching your company and walk through the secure payment/subscription procedure. Contact us @ Arnifi.