BANGKOK, THAILAND – Starting a limited company in Thailand can seem more accessible for those married to Thai nationals, but this offers only a superficial advantage.
Foreigners married to Thai citizens can benefit from reduced capital requirements and fewer mandatory Thai employees when establishing a company. For instance, the registered capital can be as low as one million Baht, and only two Thai employees are required, a significant reduction from the usual two million Baht and four employees. This makes initial setup appear cheaper and easier.
However, this ease is largely limited to the initial registration phase. The ongoing operational costs and compliance obligations, such as social security contributions, minimum wage adherence, Value Added Tax (VAT) responsibilities, and mandatory bookkeeping, continue month after month, regardless of these initial advantages.
The Marriage Advantage for Work Permits
Spouses of Thai nationals enjoy a notable relaxation of requirements for obtaining a work permit through a limited company. The capital requirement is halved to one million Baht, and the number of required Thai employees drops to two.
Furthermore, the typical minimum income requirement of approximately 50,000 Baht per month is waived for the applicant. This specific benefit applies solely to the foreign spouse applying for their own work permit, not to any additional foreign employees. Each additional foreigner not married to a Thai national will need the full two million Baht capital for their individual application.
Which Visa is Actually Necessary
The Non-OA retirement visa does not permit any form of work authorization, even when married to a Thai national. To legally work or manage a company, individuals require either the Non-Immigrant O visa (marriage variant) or a Non-Immigrant B visa.
It is possible to switch from a retirement visa to a marriage visa, provided the marriage is officially registered in Thailand. If the application for the marriage visa is made while holding a valid Non-O marriage visa, the process can be completed within the country, eliminating the need for departure.
The Two Thai Employees in Practice
Having two employees on paper might seem like a minor hurdle, but in reality, it means maintaining two genuinely employed, socially insured, and adequately compensated individuals. These are not merely nominal positions for the authorities.
Immigration and the Ministry of Labour can conduct unannounced inspections of company premises at any time. If an inspection reveals that employees are only formally listed, it can be construed as deception towards the authorities, potentially leading to the revocation of the work permit and subsequent visa status.
What the Minimum Wage Really Costs
The legal minimum wage varies by province, ranging from 337 to 400 Baht per day. As of July 2025, Bangkok and Phuket adhere to the higher rate of 400 Baht. Calculated for a 26-day work month, this amounts to approximately 10,400 Baht per employee, totaling around 20,800 Baht monthly for two employees, purely for basic salary.
In practice, most employers offer more than the statutory minimum wage to attract and retain reliable staff. Basing financial planning on the absolute minimum can lead to underestimation of costs from the outset.
Social Security from the First Employee
Every full-time employee must be registered with the Social Security Office from their first day of employment. Both employers and employees contribute 5 percent of the salary, capped by a contribution ceiling. As of January 1, 2026, this ceiling is 17,500 Baht per month, up from the previous 15,000 Baht.
This adjustment increases the maximum employer contribution per employee to 875 Baht monthly, compared to the previous 750 Baht. For two employees, this adds up to a mandatory payment of up to 1,750 Baht on top of salaries, regardless of company revenue or profit.
Keeping the VAT Threshold in Mind
Once a company’s annual turnover exceeds 1.8 million Baht, registration for Value Added Tax (VAT) becomes mandatory. The deadline for registration is 30 days after surpassing this threshold, with a standard tax rate of 7 percent on turnover.
Following registration, a monthly VAT declaration must be filed with the tax office, irrespective of whether any sales were made in that month. Failure to comply can quickly result in late payment penalties.
Accounting is Not an Option, It’s a Mandate
Every Thai limited company, irrespective of its size, is required to produce an audited annual financial statement. This must be approved by the shareholders within four months of the fiscal year-end and then electronically submitted to the Revenue Department within an additional month.
This is in addition to the annual corporate income tax return and a semi-annual interim declaration due by the end of August. Managing these deadlines without a local accounting firm significantly underestimates the logistical effort involved.
Who Really Owns the Company in the End
The Foreign Business Act restricts foreign ownership in a Thai limited company to a maximum of 49 percent, unless a special license is obtained. At least 51 percent of the shares must be held by Thai citizens, typically a spouse and other relatives or associates.
This means that, formally, the company is majority-owned by the Thai spouse, not the foreign husband. “Nominee” arrangements, where Thai shareholders hold shares only formally without any genuine economic interest, are illegal under Thai law and can lead to the company’s dissolution if discovered.
What Happens to the Company in a Divorce
Given that the Thai spouse holds the majority shareholding, they possess a stronger legal position in the event of a separation. The foreign husband, with his minority stake of no more than 49 percent, automatically loses control over the company on which his own work permit depends.
Without continued employment within the company, the work permit, and consequently the associated visa, typically expires. Individuals considering this path should consult with a visa advisory service experienced in Thailand to understand how shareholder agreements and marital status interact during a separation.
Not Every Activity is Permitted
Even with a valid work permit, not all professions can be legally practiced. The Reserved Occupations list from 2022 currently designates 20 occupational fields exclusively for Thai citizens, including manual labor, agriculture, hairdressing, and certain types of artisan manufacturing.
Companies intending to operate in any of these restricted sectors, despite the marriage-related capital incentives, require a separate assessment to determine the permissibility of their planned activities. This list can be verified in advance with the Ministry of Labour or through legal counsel.
What Such a Company Costs in the First Year
Ongoing mandatory costs alone can quickly accumulate to over 25,000 Baht per month. This includes two salaries close to the minimum wage, employer contributions to social security, and fees for an accounting firm for payroll and financial bookkeeping. The annual work permit fee of 3,100 Baht appears minor in comparison.
Individuals establishing a company with a Thai spouse to secure their own work permit should budget for these recurring expenses from the beginning, rather than waiting until the first official inspection or VAT deadline.
What to Do Now
The capital and staffing concessions for marriages to Thai nationals significantly lower the entry barrier but do not substitute for a sound calculation of ongoing expenses. Social security, minimum wage, VAT thresholds, and annual financial statements remain obligatory regardless of visa status.
Those planning this step should prepare a cost estimate for at least twelve months before incorporation and consult with a local accounting firm, rather than relying solely on the reduced capital requirements.
Editorial Note: This article does not substitute for individual legal or tax advice. Figures pertaining to minimum wage, social security, and VAT are based on data from June 2026 and are subject to change.