Hiring in Brazil through an Employer of Record
Brazilian law puts two payroll charges on the employer, both written into federal statute.
On top of salary, the employer pays
- 20% Social security (INSS)
- 8% FGTS
What the employer pays on top of salary in Brazil
- Social security (INSS): 20 percent of monthly pay, to the national social security system (Lei 8.212/1991 art. 22).
- FGTS: 8 percent of monthly pay, deposited into the worker's severance fund account (Lei 8.036/1990 art. 15).
Brazil also requires a thirteenth salary every December, and both charges apply to it. This site cannot yet check that against the statute, so the calculator leaves it out and understates the real cost.
Yearly cost of one employee in Brazil, by vendor
Salary plus the charges above plus the vendor's published monthly fee, for twelve months. Not included: benefits and currency conversion fees.
Vendor fees used
Atlas HXM $599, Deel $599, G-P $599, Multiplier $459, Oyster $699, RemoFirst $199, Remote $699, Skuad $199, Velocity Global (Pebl) $399. Not published: Rippling.
Where these numbers come from
- Social security (INSS) on planalto.gov.br read
- FGTS on planalto.gov.br read
- Each vendor's own pricing page, linked from its name above.