Managing employees and payroll in Argentina can be challenging. There are unique reporting and payroll requirements each month, so it is important to stay ahead of changes to avoid compliance issues.

Payroll and Tax Considerations

  • The minimum wage is ARS 16,875 per month. Regulations vary for workers in the public and agriculture sector
  • Workers must be paid an additional 50% of their salary for overtime on weekdays, and an additional 100% for Saturdays, Sundays, and public holidays
  • Severance pay is equal to one month’s basic pay for each completed year of service
  • Argentina’s Unified Social Security System integrates with the National Integrated System of Retirement and Pensions with the following contributions:
    • Employees contribute 11% of their salary
    • Employers contribute 16% of the total salary
    • Personal contributions for self-employed are 27%
  • Income tax varies depending on income. It is calculated as a fixed sum plus a surcharge percentage applied on the difference, depending on income ranging from 5-35%

HR and Statutory Requirements

  • Paid annual leave depends on the employee seniority, provided the employee has worked for at least half of the working days in a respective calendar year. The leave days earned range from 14-35 days
  • Employees have the right to sick leave with full pay for up to 3 months a year if they have under 5 years of service. If they have worked more than 5 years, they receive 6 months of sick leave
  • Females are entitled to 90 days of paid maternity leave, 45 days before and 45 days after childbirth
  • Fathers receive 2 days of 100% paid paternity leave. Workers in Buenos Aires are entitled to 15 days of paid paternity leave and 30 additional during the first year after birth

Holidays in Argentina

  • January 1 – New Year’s Day
  • February 28 – Carnival / Shrove Monday
  • March 1 – Carnival / Shrove Tuesday
  • March 24 – Memorial Day
  • April 2 – Day of the Veterans
  • April 14 – Maundy Thursday
  • April 15 – Good Friday
  • May 1 – Labor Day / May Day
  • May 25 – National Day / May 1810 Revolution
  • June 17 – Commemoration of General Don Martin Miguel de Guemes
  • June 20 – Flag Day
  • July 9 – Independence Day
  • August 15 – San Martin Day
  • October 10 – Day of respect for cultural diversity
  • November 21 – National Sovereignty Day
  • December 8 – Feast of the Immaculate Conception
  • December 25 – Christmas Day

Employers must provide physical copies of payslips signed by the employer and employee each month. Employers must have a local bank account to pay employees. There are many reporting requirements each month including social security and income tax payments, employer wage tax return reports, and quarterly and year-end federal, state, local and employee payroll reporting.

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