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How Much Does Iqama Renewal Cost in 2026? The Full Fee Breakdown

Oct 23, 2026 4 views
How Much Does Iqama Renewal Cost in 2026? The Full Fee Breakdown

TL;DR

SAR 650 is only the start. The dependent levy (SAR 400/month per dependent), the Maktab Amal levy (SAR 700 or 800/month), who pays what under Labour Law Article 40(1), and the quarterly renewal option, worked out with real numbers.

Table of Contents

    How much does iqama renewal cost in 2026?

    SAR 650 per year

    The Jawazat renewal fee itself, prorated for 3, 6, 9 or 12 months. Domestic workers pay SAR 600 per year.

    SAR 400 per dependent, per month

    The dependent levy adds up to SAR 4,800 a year for each dependent. This part is paid by the employee.

    SAR 700 or 800 per month

    The Maktab Amal work-permit levy. SAR 700 where expats do not exceed Saudis, SAR 800 where they do.

    The employer pays most of it

    Saudi Labour Law Article 40(1) puts the iqama renewal, work permit and its levy on the employer. The employee covers the dependent levy.

    For a typical case, a 12-month renewal with 2 dependents at the SAR 700 levy rate, the employer pays SAR 9,201.75 (650 + 8,400 + 100 + 51.75) and the employee pays SAR 9,600 (400 x 12 x 2), for a combined total of SAR 18,801.75. The full breakdown is below.

    The headline number for iqama renewal in 2026 is SAR 650 a year, with domestic workers paying SAR 600. But that figure is only one of three fee components, and the amount a household actually pays is usually several times higher once the dependent levy and the Maktab Amal work-permit levy are included.

    The split of who pays what is set by Saudi Labour Law Article 40(1). The employer covers the iqama issuance and renewal, the work permit, and the work-permit levy. The employee covers the dependent levy for family members on their sponsorship. Knowing this division is the difference between an accurate renewal budget and an unwelcome surprise.

    Renewals can also be done for 3, 6, 9 or 12 months, with every fee prorated to the chosen period under Cabinet Decision 515. This guide walks through each component, the worked totals, and the 90-day rule for registering new dependents.

    \"Riyadh

    Figure 1: The iqama renewal fee is only the first of three cost components in 2026.

    The three fee components

    An iqama renewal bill is made of three separate government charges, plus two smaller processing items.

    1. The Jawazat renewal fee: SAR 650 per year. This is the base fee for renewing the residency permit, set at SAR 650 for most private-sector expats and SAR 600 for domestic workers. Under Cabinet Decision 515 it is prorated for renewals of 3, 6, 9 or 12 months, so a 6-month renewal costs SAR 325 and a 3-month renewal costs SAR 162.50.

    2. The dependent levy: SAR 400 per dependent, per month. This is the fee that catches most families off guard. It applies to each dependent on the iqama, so one dependent costs SAR 4,800 a year, two cost SAR 9,600, and three cost SAR 14,400. It is paid by the employee, not the employer.

    3. The Maktab Amal work-permit levy: SAR 700 or 800 per month. The rate depends on the employer's Saudization balance. Where the number of expat workers does not exceed the number of Saudi workers, the rate is SAR 700 a month (SAR 8,400 a year). Where expats exceed Saudis, the rate is SAR 800 a month (SAR 9,600 a year). This is paid by the employer.

    On top of these three, there are two smaller items: the work permit licence at SAR 100 per year, and the Absher processing fee of SAR 51.75 per action, charged since January 2025.

    \"Top-down

    Figure 2: Add the three main fees plus the small processing items to get the real renewal total.

    Who pays what under Article 40(1)

    Saudi Labour Law Article 40(1) is clear about the division. The employer pays for the issuance and renewal of the iqama, the work permit, and the work-permit levy. The employee pays the dependent levy for their family members.

    In practice this means the employer's share of a 12-month renewal at the SAR 700 levy rate is SAR 9,150 before small fees: SAR 650 (iqama) + SAR 8,400 (levy) + SAR 100 (work permit licence). Add the SAR 51.75 Absher processing fee and the employer's share reaches SAR 9,201.75. The employee's share is simply SAR 400 x 12 x (number of dependents).

    If an employer asks the employee to cover the employer's share, that runs against Article 40(1). If the two sides agree on a different arrangement in writing, that is a separate matter, but the default legal position is the one above.

    Renewal in 3, 6, 9 or 12 months

    Cabinet Decision 515 allows iqamas to be renewed for 3, 6, 9 or 12 months, with all the fees prorated to the chosen period. A 6-month renewal at the SAR 700 levy rate costs the employer half of the annual amounts: SAR 325 (iqama) + SAR 4,200 (levy) + SAR 50 (work permit licence), plus the per-action Absher fee.

    The quarterly option suits employers who want to manage cash flow or match short contracts. The trade-off is that every renewal action carries the SAR 51.75 Absher processing fee, so renewing four times a year adds about SAR 207 in processing charges versus roughly SAR 52 for a single annual renewal.

    \"Close-up

    Figure 3: Renewals are processed through Absher, with a SAR 51.75 processing fee per action.

    A worked example: 12 months, 2 dependents

    Here is the full arithmetic for a 12-month renewal with 2 dependents, at the SAR 700 monthly levy rate:

    • Iqama renewal fee: SAR 650
    • Maktab Amal levy (700 x 12): SAR 8,400
    • Work permit licence: SAR 100
    • Absher processing: SAR 51.75
    • Employer subtotal: SAR 9,201.75
    • Dependent levy (400 x 12 x 2): SAR 9,600
    • Employee subtotal: SAR 9,600
    • Combined total: SAR 18,801.75

    At the SAR 800 levy rate, the employer's share rises to SAR 10,401.75 and the combined total to SAR 20,001.75. With 3 dependents at the SAR 700 rate, the employee's share becomes SAR 14,400 and the combined total SAR 23,601.75. The dependent levy is what moves the total the most for families.

    New dependents and the 90-day rule

    New dependents must be registered within 90 days. A dependent who arrives in the Kingdom needs to be added to the sponsor's file and included in the dependent levy calculation from that point.

    Register early rather than waiting until day 90. If a new dependent is not registered in time, their residency paperwork cannot proceed normally, and sorting it out after the deadline takes longer than doing it right away. Keep the birth certificate or marriage documents ready so the registration goes through in one visit.

    Calculate your own renewal total

    The numbers above use the standard rates, but your exact total depends on your levy rate, the renewal period, and how many dependents you carry. The iqama renewal cost calculator lets you enter those details and see the employer share, the employee share, and the combined total before you start the Absher process.

    Run the numbers first, confirm which side pays what under Article 40(1), and keep the worked example above as a sanity check on the result.

    Frequently asked questions

    Does the SAR 650 fee apply to domestic workers?

    No. The Jawazat renewal fee for domestic workers is SAR 600 per year. The dependent levy and other components follow the same rules.

    Who pays the dependent levy, the employer or the employee?

    The employee. Saudi Labour Law Article 40(1) assigns the iqama renewal, the work permit and its levy to the employer, and leaves the dependent levy with the employee.

    Can I renew my iqama for just 3 months?

    Yes. Cabinet Decision 515 allows renewals of 3, 6, 9 or 12 months, with all fees prorated. Each renewal action carries the SAR 51.75 Absher processing fee.

    What is the Absher processing fee?

    A SAR 51.75 charge per processing action, in effect since January 2025. It applies to each renewal transaction, so shorter renewal cycles mean paying it more often.

    Which levy rate applies to my company, SAR 700 or SAR 800?

    SAR 700 per month where the number of expat workers does not exceed the number of Saudi workers, and SAR 800 per month where expats exceed Saudis. The employer can confirm which band applies on the Maktab Amal side of the renewal.

    What happens if a new dependent is not registered within 90 days?

    Registration within 90 days is required. Missing the deadline can hold up the dependent's residency paperwork, so register early and keep the required certificates ready.

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