As of January 2025, Deel implemented a new and improved format for how EOR clients will view their monthly invoices. While the line item formatting is slightly changed, the calculation remains the same and will not change the amount you are invoiced.
The invoicing process is now more transparent and consistent with industry best practices.
This will reduce errors, enhance transparency, and align invoicing closer with how we process and invoice payroll across the different models of Payroll in Deel (GP, IC, PEO etc).
All payroll-related costs will now be represented directly on the invoice in terms of Net Pay, Worker Taxes & Contributions, Employer Contributions, and Expense reimbursement.
Additional employment costs that are not processed in payroll such as severance accruals, deposits, and health training fees will continue to be billed separately on your invoices.
From January 2025, Deel is also changing the issuing date of invoices from the 25th of the month at 23:59 PST to the 23rd at 23:59 PST.
Your payment terms have not changed as part of this, and will still apply as per your current agreement with the new invoicing date.
Please see How to Reconcile Against the Deel G2N Numbers for more information.
EOR Invoice Items
-
Net Pay
The total amount the employee receives after deductions.
-
Liabilities - Employee Taxes/Contributions
Any taxes the employee pays, including:- Income taxes
- Social security payments
- Statutory health insurance deductions
- Employee Pension contributions
- Garnishments
-
Liabilities - Employer Contributions
Employer-specific costs, including:- Employer only taxes
- Employer social security contributions
- Employer benefit contributions, such as pension or statutory healthcare costs
-
Expenses
- Even if there are no expenses for the pay period and the amount is 0, this will still be included
-
Benefits through Deel
- Benefit plan cost amount for benefits managed/processed through Deel.
Clients can download the invoice breakdown by navigating to the Payroll icon and clicking on the Billing tab. In the Invoices section, click the three vertical dots to the right of the desired invoice and select Download Breakdown.
Bonuses and allowances are not listed on the invoice as distinct line items, but can be viewed at any time by accessing the employee G2N reports in Analytics and Reporting.
Frequently Asked Questions
[ACCORDION] Can I revert to the old invoice formatting?
No. Once we have migrated the local country to the new format, we are unable to support the issuance in the old invoice format.
[ACCORDION] How does this affect off-cycle payments (On Demand Payroll)?
Off cycles will move to the new invoice format as well.
This means that in some countries you may be invoiced a little less at the time of the off-cycle and a little more at the regular cycle invoice, as it will be based on the estimated net pay value at the time of payment, rather than the gross adjustment amount.
[ACCORDION] How can I see a breakdown of bonuses or allowances I have added since they are not on the invoice as distinct line items?
You can view your employee G2N reports in the Analytics and Reporting module at any time, and customize/build your report with a lot greater flexibility than the old invoicing format allowed.
[ACCORDION] Why is the benefit plan cost being invoiced instead of my nominated client contribution amount like previously?
With the new format, the client contribution and plan cost are reconciled within the payroll.
The plan cost is deducted from the employee Net Pay, while the client contribution is added as a benefit.
This is how benefits have always been calculated, but this just shows a little differently in the new invoice format. This does not change the amount you are invoiced for benefit provision in Deel.
[ACCORDION] Why is the pension contribution not showing on the invoice anymore?
Some benefits, such as employer contributions that are made directly to employee pension plans are invoiced as part of the 'Employer Contributions' line item rather than being a distinct line item on invoices.