What Is the EMP201?
The EMP201 is a monthly employer declaration that every registered South African employer must submit to SARS. It declares the total amount of employees' tax (PAYE), Unemployment Insurance Fund (UIF) contributions, and Skills Development Levy (SDL) that the employer has deducted or owes for the month.
Think of the EMP201 as a summary of your payroll obligations. While the IRP5 is the annual certificate for each individual employee, the EMP201 is the monthly total across all employees.
Every employer registered for PAYE with SARS must submit an EMP201 — even if you have only one employee.
What Does the EMP201 Include?
The EMP201 declares three types of employment taxes:
| Component | Rate | Who Pays |
|---|---|---|
| PAYE (Employees' Tax) | Per SARS tax tables (18-45%) | Deducted from employee salary |
| UIF (Unemployment Insurance) | 2% total (1% employee + 1% employer) | Split between employee and employer |
| SDL (Skills Development Levy) | 1% of total payroll | Employer only |
When Is the EMP201 Due?
The EMP201 must be submitted and paid by the 7th of each month for the previous month's payroll. For example:
- January payroll → EMP201 due by 7 February - February payroll → EMP201 due by 7 March - March payroll → EMP201 due by 7 April
If the 7th falls on a Saturday, Sunday, or public holiday, the deadline moves to the last business day before the 7th.
Important: The EMP201 is both a declaration and a payment. You must submit the form AND make the payment by the deadline. Submitting the form without payment, or paying without submitting, both result in penalties.
How to Submit the EMP201 on SARS eFiling
Step 1: Log in to SARS eFiling (www.sarsefiling.co.za) using your employer profile credentials.
Step 2: Navigate to Returns > Employer > Employment Tax > Monthly Employer Declaration (EMP201).
Step 3: Select the correct tax period (month and year).
Step 4: Enter the total amounts for PAYE, UIF, and SDL. These figures come from your payroll calculation for the month. Ensure they match your payroll reports exactly.
Step 5: Verify the ETI (Employment Tax Incentive) claim if applicable. ETI reduces your PAYE liability for qualifying young employees (18-29 years old, earning below R7,500 per month).
Step 6: Review the declaration and submit. eFiling will calculate any penalties or interest if you are submitting late.
Step 7: Make the payment via eFiling electronic payment, EFT to SARS, or at a bank. Keep the proof of payment.
Common EMP201 Mistakes to Avoid
Incorrect period selection: Ensure you are submitting for the correct month. Submitting January's figures against February's period creates reconciliation problems at EMP501 time.
Rounding errors: SARS expects amounts to the nearest rand. Ensure your payroll system rounds consistently and the totals on the EMP201 match your payroll summary.
Forgetting the employer UIF: The EMP201 requires both the employee UIF deduction (1%) and the employer UIF contribution (1%). Many employers forget to include their own contribution.
Not claiming ETI: If you have qualifying employees under the Employment Tax Incentive scheme, claim the credit on the EMP201. This directly reduces your PAYE liability.
Paying without submitting: Making the payment to SARS without submitting the EMP201 form means SARS cannot allocate the payment. You will receive penalty notices even though the money was paid.
What Happens if You Submit Late?
Late submission of the EMP201 triggers:
- A 10% penalty on the total amount declared for the late period - Interest on late payment at the prescribed rate (approximately 10.75% per annum) - Potential administrative penalties if a pattern of late submission is established
SARS takes employer compliance seriously because employees' tax and UIF contributions fund essential government services and worker protections. Persistent late submission may lead to a SARS audit of your payroll records.
How the EMP201 Relates to the EMP501
The EMP201 is the monthly declaration; the EMP501 is the annual reconciliation. At EMP501 time (due 31 May each year), SARS compares your 12 monthly EMP201 declarations against the individual IRP5 certificates you issue for each employee.
The totals must match. If your cumulative EMP201 PAYE declarations don't match the sum of all employee IRP5 certificates, SARS will flag a discrepancy. This can delay your employees' tax assessments and trigger an employer audit.
To avoid problems: reconcile your payroll each month when you submit the EMP201. Don't wait until EMP501 time to find discrepancies.
Tools to Help with EMP201
Our free PAYE Calculator helps you verify individual employee tax calculations before finalising your payroll. The Salary Calculator shows the complete breakdown of gross to net pay including all EMP201 components.
For managing deadlines, our Tax Calendar tool shows all SARS due dates on a visual calendar so you never miss a submission.
If you are processing payroll manually, consider using our Payslip Template which automatically calculates PAYE, UIF, and SDL for each employee — giving you the figures you need for your EMP201.