Renewing your Iqama in Saudi Arabia in 2025 involves more than just a single fee. With recent updates, there are several charges — some mandatory, some additional — depending on your employment category, dependents, and how the renewal is processed. This article breaks down all the costs, rules, and what you should watch out for.
Overview Table: Iqama Renewal Charges 2025
| Category / Service | Fee / Cost (SAR) | Who Bears It | Notes |
|---|---|---|---|
| Standard Iqama Renewal (12 months) | 650 | Employer / Employee | Core renewal fee for most expatriate workers |
| Short-Term Renewal (3 / 6 / 9 months) | 163 / 325 / 488 | Employer / Employee | Flexible renewals available. |
| Work Permit Fee (Maktab Amal) | 9,600 (annual) | Employer | Mandatory for many job categories; required even for renewal. |
| Dependent Sponsorship Fee | ~ 4,800 per dependent / year | Employee (if sponsoring) | Applies if you have dependents under your Iqama. |
| Health Insurance (if required) | ~ 500 per person / year | Usually employer or sponsor | Required for validity of renewal. |
| Digital Processing Fee via Absher Business | 51.75 | Employer / Sponsor | New value-added service charge from 2025. |
Why Renewing Your Iqama Costs More in 2025
In 2025, the authorities introduced new administrative fees through the Absher Business platform for services that earlier were part of broader packages. This means that beyond the standard renewal fee, there is now a digital processing fee for managing renewals via Absher.
Plus, the overall cost often includes work permit fees, dependent sponsorship costs, and sometimes health insurance, depending on your employer’s policy and your family situation. Because of these variable components, the total expense for renewing Iqama often ends up much higher than just S.R. 650.
1. What Does “Standard Iqama Renewal” Cover?
For many expatriate employees, renewing Iqama means paying:
- The base fee: S.R. 650 (for 12 months) under normal renewal cycle.
- Optionally, if you don’t want a full year, there are flexible renewal durations:
- 3 months — S.R. 163
- 6 months — S.R. 325
- 9 months — S.R. 488
This renewal usually includes updating your residency permit for the chosen duration.
2. Additional Charges That Often Come with Renewal
Work Permit Fee (Maktab Amal)
Many employers must pay a yearly work permit fee for expatriate workers. For 12 months, this amount can be around S.R. 9,600.
Dependent Sponsorship Fee
If you sponsor dependents (spouse, children, etc.), there is a separate cost. In many cases, expatriates pay about S.R. 4,800 per dependent per year.
Health Insurance or Medical / Permit Requirements
Some employers may also require medical insurance renewal or other compliance steps before issuing renewed Iqama — this often adds roughly S.R. 500 per person or more.
Processing Fee via Absher Business
From 2025, using Absher Business for Iqama renewal or related services carries a digital fee of S.R. 51.75. This service charge is separate from government or permit fees.
Because of these, the “real-world” cost of Iqama renewal can be far more than the base fee — especially for workers with families or additional employer requirements.
3. Who Pays What: Employer vs Employee Responsibility
| Cost Component | Usually Paid By | Notes |
|---|---|---|
| Iqama Renewal (base fee) | Employer or Employee (depending on contract) | Must be paid every renewal cycle |
| Work Permit Fee (Maktab Amal) | Employer | Mandatory for certain job categories |
| Dependent Sponsorship Fee | Employee (if sponsoring dependents) | Only if you have dependents under your Iqama |
| Health Insurance or Medical Compliance | Employer or Employee (per agreement) | Required for renewal validity |
| Absher Business Processing Fee | Employer / Sponsor | New 2025 administrative fee |
Because the fees vary by employer, job type, and family status, it’s important to confirm with your employer who pays which components before renewal.
4. Renewal Eligibility & Conditions in 2025
Before renewing Iqama in 2025, you (and your employer) must ensure:
- No outstanding traffic or legal fines are pending.
- Valid passport (with at least 6 months’ validity).
- Valid health insurance (if required by employer or authorities).
- No record of absconding (Huroob) or workplace violations.
- Payment of all due fees: Iqama, permit, dependents, insurance, and Absher processing.
Failing any of these can result in rejection of renewal, fines, or even deportation risk.
5. Why Some Renewals May Cost Around S.R. 10,000 or More
When you add up all the components — base Iqama renewal, work permit, dependents, insurance, and processing fees — the total cost can climb significantly. For example:
- Base Iqama renewal (650)
- Work permit (9,600)
- Dependent fees (if any)
- Insurance (~500)
- Absher processing (51.75)
For expatriates with dependents, the total annual cost for renewal (covering all charges) can approach or exceed S.R. 10,000.
That’s why many workers and employers treat Iqama renewal as a substantial annual expense, not just a small permit fee.
6. Consequences of Late Renewal or Non-Renewal
If your Iqama expires and isn’t renewed within the allowed period, the law imposes penalties:
- First delay: Fine (as per earlier regulations, often S.R. 500)
- Second delay: Higher fine (~ S.R. 1,000)
- Repeated delay: Risk of deportation or visa/work permit cancellation.
Delays can also block access to government services, banking, travel, and employer compliance — so timely renewal is critical.
Final Thoughts
Renewing your Iqama in 2025 is no longer just about paying a single fee. With added work permit charges, dependent fees, insurance, and new processing fees, the cost often becomes substantial — especially for workers with families.
Before renewal, check your employer’s responsibilities, ensure all pending fines or violations are cleared, and prepare for the total cost (not just the base fee). Only then can you ensure a smooth, legal renewal without surprises.
Best One-Line FAQs
1. What is the basic Iqama renewal fee for 2025?
The standard Iqama renewal fee is 650 Saudi Riyals for 12 months.
2. Do I need to pay extra fees besides the basic renewal charge?
Yes — you may need to pay work permit fees, dependent sponsorship, insurance, and a small digital processing fee via Absher.
3. Can I renew Iqama for less than 12 months?
Yes, renewal for 3 (163 SAR), 6 (325 SAR), or 9 months (488 SAR) is possible.
If you like, I can also build a full 2025 cost calculator template for Iqama renewal (including dependents, insurance, and permit fees) so you can estimate your total cost easily — would you like me to build that now?