Payroll and Benefits Guide - Venezuela

Venezuela
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Currency

Venezuelan Bolívar (VEF)

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Capital

Caracas
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Employer Taxes

15.75% – 27.00%
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Date Format

dd/mm/yyyy
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Fiscal Year

1 Jan – 31 Dec

Fun Facts

Venezuela has won the Miss Universe competition more times than any other country, with eight titles.

The national dish of Venezuela is arepas, which are cornmeal patties filled with various ingredients.

Venezuela has the highest waterfall density in the world, with over 300 named waterfalls.

Venezuela is home to the world’s largest rodent, the capybara.

The national bird of Venezuela is the beautiful and colorful Venezuelan troupial.

The Venezuelan music genre of “joropo” features lively rhythms and is often accompanied by traditional dances.

Venezuela

Contributions

Employee Payroll Tax

Contribution TypeRate
Social Security4.00%
Employment Benefit Regime Contribution0.50%
Housing Regime Contribution1.00%
Employee Training Contribution0.50%

Employer Payroll Tax

Contribution TypeRate
Social Security9.00%-11.00%
Employment Benefit Regime Contribution2.00%
Housing Regime Contribution2.00%
Employee Training Contribution2.00%
Employee Training Contribution0.75% – 10%

Payroll

Payroll Cycle

The payroll cycles are biweekly or monthly.

13th Salary

13th-month payment is mandatory and the payment is generally made at the end of the year. This may differ according to stipulations within the collective agreement.

Work Hours and Week

The workweek is generally limited to no more than five eight-hour days and a maximum of 40 hours per week

Overtime

All work above the standard working week is to be paid as overtime and is regulated by the employment contract or collective agreement.
Venezuela

Leave

Paid Time Off

After completing one continuous year of service, employees are entitled to 15 working days of paid vacation.

Public Holidays

Public holidays falling on weekends are usually lost.

Sick Days

In Venezuela, employees have the right to take up to 1 year of sick leave if they are unable to work due to illness or injury.

Maternity Leave

Mothers are entitled to a total of 26 weeks of maternity leave. This leave is divided into two periods: six weeks before the expected due date and 20 weeks following the birth of the child.

During the maternity leave period, mothers are eligible to receive salary compensation.

The compensation is provided at a rate of 66.60% of their regular salary and is typically paid by the social security system.

Paternity Leave

In Venezuela, the father/partner is entitled to 1 week of paid paternity leave.

Parental Leave

Employees are entitled to 14 days of parental leave.

Termination

Termination Process

The termination process in Venezuela is subject to the specific provisions outlined in the employment agreement or collective agreement, taking into account the type of contract and the reason for termination.

Notice Period

There is no statutory notice period in Venezuela; this is usually agreed upon in the employment contract.

Severance Pay

Employers enter a severance agreement with their employees upon hiring. Both parties submit a sum of money to a severance fund every month and receive a calculated sum upon termination.

Probation Period

Probation Period

There is no statutory probation period in Venezuela; this is usually agreed upon in the employment contract.

Immigration

Venezuela’s immigration system offers various options for employers seeking to hire foreign nationals. The specific requirements, processing times, employment eligibility, and benefits for accompanying family members can differ based on the type of permit involved

Different work visas/permits are available.

Business Visa (TR-N Visa): All foreign nationals intending to engage in business activities in Venezuela must obtain a Business Visa, also known as the TR-N Visa.

90-Day Work Visa (TR-L Visa): The 90-Day TR-L Visa is designed for short-term workers employed by a foreign entity and permits work in Venezuela for a period of 90 days.

For Work Permits

The application for a work permit in Venezuela must be submitted to the Ministry of Labor.

VAT

The standard rate of VAT in Venezuela is 16.00%