Mandatory transfer of domestic worker salaries via Musaned: Date and steps
The Ministry of Human Resources and Social Development in the Kingdom of Saudi Arabia confirmed, through its official accounts, that the full mandatory implementation of the service for transferring domestic workers' salaries via approved digital wallets is approaching, with the fifth and final phase scheduled to begin on January 1, 2026. The Ministry explained that all payment transactions will be documented automatically through the "Musaned" platform, noting that the service is provided free of charge without imposing any additional fees on beneficiaries.
The context of digital transformation and Vision 2030
This strategic decision aligns with the goals of the Kingdom's Vision 2030 digital transformation program and the promotion of financial inclusion. This step aims to develop the domestic worker sector by automating financial transactions, thereby eliminating traditional cash transactions that may be opaque. This initiative builds upon the successes of the Wage Protection System implemented in the private sector, as the Kingdom seeks to improve its ranking in international labor rights and transparency indices.
Gradual implementation to ensure compliance
The decision was not sudden; rather, the Musaned platform adopted a phased timeline to ensure employers could adapt to the new mechanism. The journey officially began on July 1, 2024, when the decision was applied to new domestic workers arriving in the Kingdom for the first time. This was followed by a carefully scheduled series of phases
- January 2025: Employers with more than 4 domestic workers will be required to comply.
- July 2025: The decision included those with 3 or more employees.
- October 2025: Application to those with two or more employees.
- January 2026: Comprehensive generalization to all domestic workers without exception.
The importance of the decision and its legal implications
This procedure is of paramount importance, extending far beyond mere financial transfer; it serves as a legally binding document protecting both parties in the contractual relationship. Digital transfer ensures that employers can prove they have paid their employees their due wages, thus reducing labor disputes and frivolous lawsuits. Conversely, it guarantees that employees receive their wages on time, enhancing the attractiveness of the Saudi labor market to skilled workers and improving the overall work environment.
Steps to activate the service and transfer salaries
To ensure compliance with the decision and avoid violations, the ministry has outlined simplified steps to complete the process:
- SIM card issuance: Issuing a mobile number for the domestic worker registered with their residence permit number.
- Creating a digital wallet: Opening an account for the employee in one of the digital wallets approved by the Saudi Central Bank.
- To execute the transfer: The employer logs into his digital wallet, selects the “Domestic Worker Salaries” icon, where the data of the workers registered in his name will appear, then he clicks on “Confirm Payment”.
The service offers flexible options including advance salary transfer, loan, or discount, with the ability to add explanatory notes for the type of transaction.
Basic requirements and salary adjustments
The Musaned platform emphasized the necessity of several conditions for the successful completion of the process, most importantly that the contract be documented through the platform and that the transfer be made from the employer's personal account. If a worker's salary needs to be modified or increased, this can be done by logging into the beneficiary's account on Musaned, selecting "Employees," then the worker's name, and going to "Wage Details" to update the data and save the new salary.
