Work permit
In one sentenceAn official permit that allows a non-Saudi employee to work for a specific business in the Kingdom. It is issued and renewed electronically, and fees and the expat levy are linked to it.
Simply put
A non-Saudi employee works legally only with a valid work permit in the name of the business he works for, with an occupation that matches his actual work.
For the accountant: the costs of issuing and renewing the permit and the expat levy are part of the employee's true cost. Enter them in the employee cost calculator from your business's account on the Qiwa platform, and spread what is paid for a year over its months.
Example
A factory renewed the work permits of ten workers at once. The accountant recorded the amount as a prepaid expense and charged each month its share, instead of charging the whole year to the renewal month.
Don't confuse it with
Iqama (residence permit)A work permit allows working for a business, while the iqama is the document of legal residence in the Kingdom.