Morocco's guaranteed minimum interprofessional wage (SMIG) rose 5% on 1 January 2026, reaching 17.92 DH per hour. This is the final phase of the tripartite agreement signed in April 2024 between the government, trade unions, and employer federations. For a deeper look at how this fits the broader economic agenda, see our analysis of the Throne Speech 2026.
This guide explains every deduction from gross to net, the full CNSS contribution structure, family allowances, employer costs, and answers the most common questions.
New SMIG and SMAG rates for 2026
| Indicator | Old rate | New rate (2026) | Change |
|---|---|---|---|
| SMIG (hourly) | 17.10 DH | 17.92 DH | +5% |
| SMIG monthly (191 h) | 3,266.10 DH | 3,422.72 DH | +156.62 DH |
| SMAG (daily, agriculture) | 93.00 DH | 97.44 DH | +5% |
The SMAG (agricultural minimum wage) came into effect on 1 April 2026.
CNSS contributions: the full picture
The Caisse Nationale de Securite Sociale (CNSS) collects several branches of social-security contributions. Each is split between the employee and the employer. Here is the complete 2026 table:
| Branch | Employee rate | Employer rate | Wage cap |
|---|---|---|---|
| Pensions (long-term) | 4.48% | 7.41% | 6,000 DH/month |
| Family allowances | 0% | 7.50% | 6,000 DH/month (allocation); 1,000 DH cap |
| Short-term benefits (maternity, sickness, death) | 0% | 0.98% | 6,000 DH/month |
| CNSS total | 4.48% | 15.89% | on first 6,000 DH |
Note: some sources cite the employer CNSS share as 11.93% or 11.89%. The difference comes from whether the family-allocation cap (1,000 DH) is applied. In practice, at SMIG level (3,422.72 DH, below the 6,000 DH cap), the full rates apply without capping issues.
AMO (Assurance Maladie Obligatoire)
The AMO covers reimbursement of medical expenses. Unlike the CNSS pension branch, it has no wage cap:
| Side | Rate | Base |
|---|---|---|
| Employee | 2.26% | Full gross (uncapped) |
| Employer | 2.26% | Full gross (uncapped) |
AMO also funds the family allowances paid to eligible workers.
Gross-to-net calculation: two scenarios
Scenario 1: single worker at SMIG (no children)
Starting from a gross salary of 3,422.72 DH:
Gross salary 3,422.72
- CNSS employee (4.48%) -153.34
- AMO employee (2.26%) -77.35
= Taxable base (before 20%) 3,192.03
→ IR due: 0.00 (below 30,000 DH/year threshold)
= Net salary 3,192.03
Workers at SMIG pay zero income tax because their annual taxable income (about 38,304 DH before deductions, but after the 20% professional expenses allowance and the 20% abatement) stays below the first IR bracket threshold.
Scenario 2: married worker with 2 children
The same SMIG worker with two eligible children receives family allowances of 500 DH per child per month (1,000 DH total):
Gross salary 3,422.72
+ Family allowances (2 x 500) +1,000.00
- CNSS employee (4.48%) -153.34
- AMO employee (2.26%) -77.35
= Net salary (incl. alloc.) 4,192.03
Family allowances are not taxable and are paid on top of the gross salary. For amounts, eligibility and the school-attendance requirement, see our CNSS family allowances guide.
What about the pension?
A worker who contributes at the SMIG level for 32 years (the minimum for a full pension) would accumulate pension points based on the capped wage (6,000 DH). The CNSS pension formula is:
Pension = average best 96 months wage × (2% per year × years of service)
At SMIG, the average wage is well below the 6,000 DH cap, so the full 4.48% goes toward pension accrual. A 32-year career would yield:
Monthly pension ≈ 3,422.72 × (2% × 32) = 3,422.72 × 64% = ~2,190 DH/month
This is well below the IR exemption threshold for pensioners, so the pension would be tax-free.
Employer total cost
The SMIG increase raises employer contributions. Here is the itemised breakdown:
| Item | Rate | Base | Amount |
|---|---|---|---|
| Gross salary | 3,422.72 | ||
| CNSS employer (15.89% on capped) | 15.89% | 3,422.72 | 543.83 |
| AMO employer (2.26%) | 2.26% | 3,422.72 | 77.35 |
| Vocational training tax | 1.60% | 3,422.72 | 54.76 |
| Total employer cost | ~4,098.66 |
The vocational training tax (taxe de formation professionnelle, 1.60%) applies to all employers except those in specific exempted sectors. Some sources also cite an apprenticeship tax (0.20%), bringing the total to ~4,100 DH.
Cumulative increase since 2021: +20%
2021 : 14.81 DH/h
2022 : 15.55 DH/h (+5.0%)
2023 : 16.29 DH/h (+4.8%)
2024 : 17.10 DH/h (+5.0%)
2026 : 17.92 DH/h (+4.8%)
Cumulative 2021-2026: +20.9%
How does Morocco compare in the Maghreb?
| Country | Minimum wage (monthly, USD equiv.) | Hourly rate (local) |
|---|---|---|
| Morocco (SMIG) | ~$345 | 17.92 DH/h |
| Tunisia (SMIG) | ~$200 | 6.6 TND/day |
| Algeria (SNMG) | ~$150 | 20,000 DZD/month |
| Egypt (minimum) | ~$130 | 6,000 EGP/month |
Morocco has the highest minimum wage in the Maghreb, though it also has a higher cost of living in major cities like Casablanca and Rabat.
FAQ
How much is the CNSS deduction from my salary at SMIG?
The employee pays 4.48% for pensions (capped at 6,000 DH) plus 2.26% for AMO (uncapped). At SMIG, that totals 230.69 DH/month.
Am I entitled to family allowances at SMIG?
Yes, if your children are registered with the CNSS and meet the school-attendance requirement. Each child earns 500 DH/month (up to 6 children). See our CNSS allowances guide.
Do SMIG workers pay income tax?
No. At 3,422.72 DH/month gross, the taxable income after CNSS + AMO + the 20% professional allowance is well below the IR threshold of 30,000 DH/year.
When did the agricultural SMAG take effect?
The SMAG rose to 97.44 DH/day on 1 April 2026 (3 months after the SMIG).
How does overtime work at SMIG?
Overtime is paid at premium rates: +25% for hours beyond the legal weekly duration (44 hours in non-agricultural sectors), +50% for night work, and +100% for public holidays. See the gross vs net salary guide for a full calculation with overtime.
Sources
- Direction Générale des Impôts (DGI) – tax.gov.ma
- Caisse Nationale de Sécurité Sociale (CNSS) – cnss.ma
- Ministère de l'Économie et des Finances – finances.gov.ma
Disclaimer
This article is for general information only. Actual amounts may vary depending on collective agreements, overtime, bonuses, and other pay elements. Consult a certified accountant or the Labour Inspectorate for your specific situation.
Salah-eddine covers personal income tax, salary calculations, and social security in Morocco. His goal is to make complex tax brackets and pay-slip deductions understandable for every Moroccan employee.
