Payroll and Benefits Guide - Argentina





Argentina
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Currency

Argentine Peso
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Capital

Buenos Aires
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Employer Taxes

26.91% – 29.91%
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Date Format

dd/mm/yyyy
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Fiscal Year

1 Jan – 31 Dec

Fun Facts

Argentina’s name is derived from the Latin word “argentum,” meaning silver.

The Iguaza Falls, one of Argentina’s famous tourist attractions, is a UNESCO World Heritage Site.

Gauchos, traditional cowboys of Argentina, are known for their horsemanship and independent spirit.

Argentina is the birthplace of the dance Tango.

Argentina is renowned for its passion for soccer.

The sport ‘Polo’ is known as the ‘Sport of Kings.’

Argentina

Contributions

Employee Payroll Tax

Contribution TypeRate
Pension Fund11.00%
Social Security3.00%
Health Insurance3.00%

Employer Payroll Tax

Contribution TypeRate
Pension Fund18.00% – 21.00%
Health Insurance6.00%
Labour Risk Insurance2.41%
Life Insurance0.50%
Occupational Disease Trust Fund100 ARS

Payroll

Payroll Cycle

  • Monthly employees are to be paid at the end of the month.
  • Employees with daily or hourly wages must be paid weekly or on a bi-weekly basis.
  • Personnel who are paid per project must be paid weekly or bi-weekly.

13th Salary

Employees have the right to receive a 13th-month salary, which is typically paid in two semi-annual installments.

Work Hours and Week

The maximum working hours allowed per day is 8 hours, and the maximum working hours per week is 48 hours, excluding rest time.

Overtime

Unless authorized by the relevant labor authority, overtime hours in Argentina should not exceed 3 hours per day, 30 hours per month, or 200 hours per year. It is important to obtain prior authorization if additional overtime hours are required.
Argentina

Leave

Paid Time Off

Employees in Argentina who have been working for the same employer for more than six months are entitled to two weeks of annual leave. The duration of annual leave increases incrementally with the length of continuous employment, reaching a maximum of 35 calendar days.

Public Holidays

There are 18 national holidays. Holidays that fall at the end of the week will be moved to the following Monday.

Sick Days

Employees in Argentina who have worked for a company for less than five years are entitled to a maximum of 3 months of paid sick leave. However, once an employee has worked for a company for more than five years, the entitlement for paid sick leave is extended to 6 months.

Maternity Leave

Maternity leave is typically 90 days by which the mother must take at least 30 days before the birth of the child.

Paternity Leave

Fathers are entitled to 2 days of paid paternity leave.

Parental Leave

There are no provisions for Parental leave in Argentina.

Termination

Termination Process

Unless termination is based on mutual agreement, the employee’s failure to fulfill work requirements, severe misconduct, or economic factors, the employer is obligated to provide a justification for termination with notice in Argentina.

Notice Period

Employees in Argentina who have worked for the same company for more than three months but less than five years are required to provide one month’s notice when resigning from their position. On the other hand, employees who have worked for the same company for more than five years must provide a notice period of two months.

Severance Pay

In Argentina, if an employee is dismissed without reasonable cause, they are entitled to receive statutory severance pay. The amount of severance pay is calculated as one month’s salary for each year of service or fraction thereof longer than three months. The calculation is based on the employee’s highest monthly regular compensation received during the last 12 months of work.

Probation Period

The Probation period in Argentina is three months.

Immigration

Most foreign nationals require a visa to enter Algeria and there are essentially three main types of visas: tourist, business, and work. While there are Algerian embassies in most major capitals around the world, there are not many consulates.

VAT

The commonly used VAT rate in Argentina is 21.00%.