This article is for clients hiring employees through the Deel Employer of Record (EOR) contract model. 

You can create an Employer of Record (EOR) contract for a remote worker in just a few minutes, right from your Deel home page.

Please see our Frequently Asked Questions for further details and contract options.

In This Article :

How to create an Employer of Record (EOR) Contract

Frequently Asked Questions

How to create an Employer of Record (EOR) Contract

Each step of the EOR contract creation process will be autosaved, allowing clients to revisit and continue from where they left off by accessing the Contact drafts section in their homepage tracker.

✅ Step 1 – Create an Employee contract

Select the People icon and click on the All People tab.

Click on Add people button and select Employee.

✅ Step 2 – Select EOR Employee

To use Deel as the legal Employer of Record (EOR) to hire the worker, select EOR Employee.

✅ Step 3 – Enter employee details

Enter the employee’s personal details, entity, group, location of employment, and indicate any visa requirements.

If an organization structure is configured by you, then you can also assign the worker an organization structure and configure worker relations while setting up their contract. 

Need to add a new group? Review our instructions on creating groups.

✅ Step 4 – Enter job details

Please complete all fields including:

• Job Title and Seniority Level
  • For compliance reasons, we can not accept C-Level, President, Founder, or Chair job titles
    • Titles may be changed to "Head Of"
    • Do not reference C-Level, President, Founder, or Chairperson roles in a job title or description
    • We do not allow intern contracts and you cannot have a job title of 'intern' or anything similar

• Job Scope: A summary of duties, accountabilities, and expectations
  • You may use one of our pre-populated job scope templates, or create your own.

Please make sure that you clearly explain the job duties and adhere to the following guidelines for compliance purposes:

• Refer to your company only as "the company"
• Ensure all job duties are listed
• Refrain from using C-Level, Founder, President, and Chairperson job titles
• Refrain from job ad verbiage (i.e. qualifications, descriptions of client company)
• Refrain from descriptions that suggest an in-person or onsite work obligation

Please see our Frequently Asked Questions for a full list of prohibited job titles and suggested alternatives

In countries where applicable, you can skip manual review by clicking on Run Check. The system will verify your job description and will prompt a message in case any errors are returned. 

✅ Step 5 – Add compensation details

Some information that you will provide for the contract includes:

• Employment Type 
• Work Schedule
• Compensation
  • If data is available, we will provide you our market rate insight for salary ranges for similar jobs
• Payment currency (where applicable)
• Signing bonus
• Variable annual compensation 
• Desired start date
• Employee Time Off
• Probation period
• And more!

In applicable countries, the clients are required to fill in the Work Arrangement section to specify the type of work environment for their employee: Remote or On-site/Hybrid.

When selecting On-site/Hybrid, clients must provide details about the frequency of on-site work or attendance at company events. Our team will review the details of the On-site work arrangement to ensure compliance before the quote is finalized.

Applicable fields will be auto-filled by default, using compliant language and standard practices for the local labor market. We recommend using standard, local regulations for the employee probation period.

For applicable countries, please select the preferred currency for payment. 

See our Frequently Asked Questions for more details about the compensation you may add to the contract.

You can also save the draft quotes and revisit them before they are submitted.

✅ Step 6 – Add contract extras

Mandatory government-provided healthcare and pension policies will apply depending on the employee's location, but you may have the option of adding a secondary, private healthcare plan if additional benefits are available.

Clients can rent and send laptops and other Deel Leased Equipment to employees.

You can also request a Global WeWork membership to provide the employee co-working space access.

You can also make stock option offers using the Deel platform.

Clients in the United States and Canada can also add background checks.

✅ Step 7 – Request and Review the Quote

As soon as you click Request Quote, our team will get to work! 

Preparing a quote for an EOR employee can take anywhere from a few minutes, up to one business day.

In selected countries we support an automated quote generation, through this, your quote will be returned immediately. If not, it may take a maximum of 30 minutes.

You can thoroughly review the provided quote information and sign the EOR contract. 

✅ Step 8 – Review the Employee Agreement

You can now review the standard Employee Agreement, and contact us to request changes to the EA before we send it to the employee.

Our internal group will review your amendment requests to the employee agreement and respond within five business days.

Please see our Frequently Asked Questions for more details.

Please note that this may delay the onboarding process for your employee. 

Do not sign the Employee Agreement until any requested changes have been processed.

How to create an Employer of Record (EOR) Contract in Foreign Currency

The option to select a non-local currency as the legal contract currency will appear only if this feature is enabled in the employment country.

Existing EOR contracts can also be converted to foreign currency contracts.

Your employee must hold a local bank account denominated in the same currency as the contract if foreign currency payments are legally possible in the country

For more details, see: How To Create An EOR Employee Contract In A Non-Local Currency

Frequently Asked Questions

[ACCORDION] How do I review the generated EOR quote? 

Before signing the WOF and Employee Agreement you can review the generated EOR Quote by clicking on the Download button. 

This will download the generated quote pdf for you. Your generated quote will detail the monthly employment breakdown that includes the Gross monthly salary, Liabilities, Benefits admin and Contributions along with the monthly fees.

You can also see the Liabilities and Benefits admin and contribution breakdown.

For a detailed item breakdown of the quote, you can also click on Extended quote. 

[ACCORDION] What is the difference between a signing bonus, variable compensation, and a fixed allowance?

Signing bonus: A one-time, special payment to the new employee that is given as part of the first payroll

Variable compensation: Variable compensation allows you to specify performance-related additional amounts that you can give to your employees. It is a financial incentive to reward hard work, and a job well done.

You can request a contract amendment at any time to add variable compensation.

Variable compensation can be issued either as a flat amount, or a percentage of the annual base salary.

The employee may be entitled to a variable compensation at the sole discretion of the employer.

Fixed allowances: Allowances that are specifically written into the contract. They can be a one-time allowance or a monthly recurring item.

Common types of contract allowances include things like moving, commute, health and wellness, education, and more.

Fixed allowances aren't generally advised because they can only be modified through formal contract amendments. Instead, we recommend adding regular allowances once the employee contract is active.

[ACCORDION] What kinds of changes can I request to the Employee Agreement?

We allow you to request certain changes the Employment Agreement to fit your needs, a process known as 'redlining'.

However, this may delay the onboarding process for your employee. Therefore, we recommend the use of our standard employee agreement.

✅You may request changes to the EA including:

• Non-compete clauses
• Non-solicitation clauses
• Probation period changes 
• Custom general changes to the Employee Agreement that will be reviewed by our legal group

❌You cannot request changes to the following items:

• Company name
• Email address
• Company phone number
• First and last name
• Tax ID

Do not sign the Employee Agreement until any requested changes have been processed.

Signing the Employee Agreement will cancel any pending redline requests.

Certain modifications may impact notice periods, affect onboarding and offboarding timelines, and increase employment practice risks. We may need to increase your deposit to cover these items.

[ACCORDION] What are the prohibited job titles in an EOR contract?

The following is a list of job titles that are prohibited by Deel.

Chief of Staff is permitted as it is not considered a C-Suite level title.

Additional country-specific restrictions on job titles, descriptions, and occupations may also apply depending on the EOR location.

[ACCORDION] How do I add private health insurance for an EOR employee?

If secondary healthcare benefits are available in your employee’s jurisdiction, you’ll have the option of adding a private healthcare benefits plan.

✅ Step 1 – Select Add Healthcare during the contract extras step

✅ Step 2 – Add Plan

You can select from three healthcare plan tiers.

Review the available benefit plans by downloading the plan information.

When you have made your selection, click Add.

[ACCORDION] Can I include an equity grant as part of an EOR contract?

Yes, you can add stock options to the contract and issue an equity grant to employees.

Establishing an international stock option plan, and making stock option grants typically requires legal counsel and approval from the company board of directors. Deel's equity program takes care of all these things for you!

You can simply schedule a call with us and tell us about the grants you want to offer your employees and we will take it from there.

✅ Step 1 – Go to the Hub Icon and click on Services. In the Services page and click on Equity.

✅ Step 2 – Book a call with us 

To offer equity grants yourself, a separate form of contract should be signed and prepared off-platform.

If you already have an equity grant for this EOR via Carta, use our integration to sync your data directly to Deel. 

[ACCORDION] What are the employee requirements for paying an EOR employee in non-local currency?

The employee must have a bank account denominated in the non-local currency. You must confirm with the employee that they have or can create this account during the hiring process.

If you pay your employee in USD, the employee must hold a bank account in USD in their local country to receive their payroll.

Please see: How To Create An EOR Employee Contract In A Non-Local Currency

[ACCORDION] Can someone else sign the contract that I created?

[/ACCORDION]