Business · Employer of record

Employer of record in Colombia

Employing someone in Colombia through an employer of record: social security on top of salary, the minimum wage and transport allowance, the 42-hour week, the service bonus and severance fund, and dismissal pay.

Checked on 16 October 2026. The headline rules for a standard employee, from official sources where they opened and law firm, PwC or specialist publisher guides where they didn't; each line names its source. Sectors, collective agreements and contracts can change them. This is general information, not legal advice.

Know this first

  1. The 2026 minimum wage decree is still before the Council of State; the labour minister has said no one will have to pay wages back.
  2. Since the 2025 labour reform, employers must follow a formal disciplinary procedure before any sanction.

Sources: Publimetro, October 2026, Andersen, Colombia labour news, December 2025

Employing someone in Colombia

Employer costs on top of salary
Pension 12%; workplace risk insurance 0.522% to 6.96% by risk class. Health (8.5%) and payroll levies (9%) apply only to salaries above 10 minimum wages, according to PwC. The 4% family fund share of those levies is generally thought to apply to all salaries; we couldn't confirm this, so ask your provider. Contributions are capped at 25 minimum wages. PwC Worldwide Tax Summaries, Colombia, July 2026
Minimum wage
COP 1,750,905 a month from 1 January 2026, plus a transport allowance of COP 249,095 for anyone earning up to twice the minimum wage. The decree is being challenged in court: the Council of State suspended it in February 2026, lifted the suspension in July, and hasn't yet ruled on the merits. Decreto 1469 de 2025 (MinTIC normograma), Decreto 1470 de 2025 (Alcaldía de Bogotá), Publimetro, October 2026
Holiday
15 working days' paid holiday per year of service. MinTrabajo, Concepto 220117 de 2015
Working hours
42 hours a week from 15 July 2026. Ley 2101 de 2021 (Alcaldía de Bogotá)
Probation
Up to 2 months, agreed in writing. Código Sustantivo del Trabajo (Alcaldía de Bogotá)
Notice from the employer
No notice period on open-ended contracts; a dismissal without just cause triggers the compensation below instead. Código Sustantivo del Trabajo (Alcaldía de Bogotá)
Severance
Dismissal without just cause, open-ended contract, salary under 10 minimum wages: 30 days' pay for the first year and 20 for each year after. At 10 minimum wages or more: 20 days, then 15. Código Sustantivo del Trabajo (Alcaldía de Bogotá)
Extra pay the law requires
A service bonus (prima) of 30 days' pay a year, half by 30 June and half by 20 December; a severance fund (cesantías) paid into a fund before 15 February each year, with 12% interest to the employee by 31 January; and the transport allowance above. Gerencie, prima de servicios, Ministerio de Justicia, cesantías interest
Contract
Can be verbal or written, but probation must be in writing, and since 2025 task-based contracts must be written. Código Sustantivo del Trabajo (Alcaldía de Bogotá), Andersen, Colombia labour news, December 2025
Payroll and tax
The employer withholds income tax on salaries. PwC Worldwide Tax Summaries, Colombia, tax administration
Sick pay
The employer pays the first 2 days; the health insurer pays from day 3 (2019 guidance; check for changes under the 2025 reform). Ministerio de Justicia, sick pay, 2019

Providers and what they say about Colombia

What each provider's own website says about Colombia, in order of its published starting price. None of them publishes a separate price for Colombia; the starting prices are worldwide or regional (Papaya quotes EUR 650 in Europe), and what you pay is set by quote.

ProviderCovers Colombia?What it saysStarting price a month
SkuadYes, on its own siteListed in its coverage listFrom USD 199Go to Skuad
Pebl (formerly Velocity Global)Yes, on its own site-USD 399Go to Pebl (formerly Velocity Global)
MultiplierYes, on its own siteSays it uses its own entities everywhereFrom USD 459 (annual), USD 499 monthlyGo to Multiplier
DeelYes, on its own siteSays it has its own entityFrom USD 599Go to Deel
RemoteYes, on its own site-From USD 599Go to Remote
G-P (Globalization Partners)Has its own page for it-From USD 599Go to G-P (Globalization Partners)
Atlas HXMYes, on its own site-From USD 599Go to Atlas HXM
Papaya GlobalNot statedIts page wouldn't open for usFrom USD 650 (EUR 650 in Europe)Go to Papaya Global
OysterYes, on its own siteSays it uses both its own entities and partnersFrom USD 699Go to Oyster
RipplingNot statedSays 80 countries, with no listQuote onlyGo to Rippling

Coverage is each company's own claim, from its country pages and coverage lists; we haven't checked how each one employs there. Ask whether it uses its own company or a partner in Colombia.

Other countries

Employer costs, leave, notice, severance and the catches, with the providers that cover each one.

United KingdomIrelandGermanyFranceNetherlandsSwedenSwitzerlandBelgiumSpainPortugalItalyPolandRomaniaCanadaAustraliaSingaporeJapanIndiaPhilippinesSouth AfricaMexicoBrazilChileArgentina

All 25 countries side by side: employer cost at your salary, holiday, notice and redundancy pay

Where this comes from. Government, social security and labour ministry pages, the laws themselves, PwC Worldwide Tax Summaries, law firm briefings and specialist publishers, each named next to what it supports, and each provider's own website for what it covers. All read on 16 October 2026. Totals marked "our sum" are our addition of the source's rates.

This is not legal or tax advice. Rules change, and sectors and collective agreements add their own. Ask your provider, or a local adviser, for the rules that apply to your hire.

How we make money from this page. Some links may earn us a commission, and they are marked "Affiliate link" where they do. The providers appear in order of published starting price, which doesn't depend on that.