Hire employees in Colombia. No entity needed.
Usually, to hire in Colombia, your business needs an entity. That means a local office, an address registered as a subsidiary, and an account with a local bank. All of this, plus navigating regional benefits, payroll, tax, and HR laws, can take months.
Colombia also treats contractors differently than full-time employees, so misclassifying a contractor could lead to fines. Deel lets you hire employees in Colombia quickly, easily, and compliantly. We even automate tax document collection, payroll, benefits, and more.
All the necessary benefits for Colombia
built right in
Deel allows you to provide localized benefits for employees in Colombia within minutes. All in one manageable online dashboard.
- Pension Fund
- Unemployment Insurance
- Workers Compensation Insurance
- Private Healthcare - AXA Colpatria (optional)
Our quickstart guide to hiring in Colombia
Navigate the tabs below to learn everything you need to know about hiring an employee in Colombia
Minimum Wage Requirements
Individual Income Tax
The individual income tax ranges from 0% to 39%. Income tax is calculated according to progressive rates. Multiple additional factors may impact overall rates such as the household status and the number of children.
|Gross Annual Income||Tax Rate (%)|
|Up to COP 38,812,000||0%|
|Up to COP 60,532,000||19%|
|Up to COP 145,989,000||28%|
|Up to COP 308,713,000||33%|
|Up to COP 675,465,000||35%|
|Up to COP 1,103,817,000||37%|
|Over COP 1,103,817,000||39%|
The employer cost is generally estimated between 30.5% - 51.85% of the employee salary.
- Severance Fund contribution- 8.33%
- Interest on Severance - 1%
- Vacation - 4.17%
- Service Bonus - 8.33%
- Pension fund - 12%
- Labor Risk - 0.52%
- Family fund management (CCF) - 4%
- Social Security, Public Health - 8.5%
- Family Fund "ICBF” - 3%
- Training funds "SENA” - 2%
Overtime Pay & Maximum Hours
Standard working hours are 8 hours per day, 40 hours per week. The standard workweek is from Monday to Friday. However, the workweek can be extended to 48 hours, from Monday to Saturday.
From July 16th, 2023 the maximum workweek will be of 47 hours.
Employees are entitled to 126 days of paid leave. Seven days must be taken before the child's birth. The employee will receive 100% of their average salary during this period, paid by the employer and reimbursed by Social Security.
The employee can’t extend leave.
Employees are entitled to 14 days of paid paternity leave that must be taken after the child's birth. The employee will receive 100% of the salary during this period, paid by the employer and reimbursed by Social Security.
The employee can’t extend leave.
Employees are entitled to paid sick leave for up to 540 days. This leave is paid at different rates and by different payers depending upon the length:
|0 - 2 days||66.6% of base salary||Employer|
|3 - 90 days||66.6% of base salary||Employer - refunded by Social Security|
|91 - 180 days||50% of the base salary||Employer - refunded by Social Security|
|181 - 540 days||50% of the base salary||Employer - refunded by Social Security|
If the sick leave is originated by an accident at work, the employee will receive 100% of the base salary during leave and the insurer will be responsible for the payment.
Paid Time Off
Colombia celebrates 18 national holidays. National public holidays include:
- New Year’s Day
- Three Kings Day
- Saint Joseph Day
- Holy Thursday
- Good Friday
- Labor Day
- Ascension Day
- Corpus Cristi
- Sacred Heart
- Saint Peter and Saint Paul
- Independence Day
- Battle of Boyacá
- Assumption of the Virgin Mary
- Colombus Day
- All Saints Day
- Independence of Cartagena
- Immaculate Conception Day
- Christmas Day
Employment Contract Details
Contracts must be in Spanish and can be bilingual. They must be in writing and signed by both parties.
A contract must include:
- start date
- length of the employment
- job description
- termination conditions
- type of contract: integral or ordinary
Hiring in Colombia, hassle-free
With Deel, your business can easily hire employees in Colombia. No more worrying about local laws, complex tax systems, or managing
international payroll. Deel takes care of everything in 150+ countries.
Estimate Employer Cost
*of employee salary
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