Austria

Employees in Austria receive two additional payments each year: a 13th month salary and a 14th month salary.

The 13th month salary is a mandatory payment for employees who have worked a full year, equivalent to one month’s salary. Employees who work part-time or less than a full year receive a prorated amount. This payment is made in June, or in December for those hired after June, and is invoiced annually.

The 14th month salary is also mandatory and amounts to one month’s salary for full-year employees, with part-time or partial-year employees receiving a prorated amount. This payment is made in November, or in December for those hired in December, and is also invoiced annually.

Both the 13th and 14th month salaries are included in the annual gross salary and are prorated upon termination. Employers incur an additional 20.53% Social Security contribution for these payments. For employees, these payments are subject to 17.12% social security deductions and a 6% income tax on these payments, with the first EUR 620 being tax-free.

Belgium

In Belgium, there are several mandatory payments in addition to the contractual gross salary for EOR employees, as per the Collective Bargaining Agreement.

The holiday allowance is paid annually in May and amounts to 92% of one month salary for employees with at least 12 months of service and is pro-rated for employees with less than 12. 

The Eco Voucher and the June Yearly Premium are paid annually in June and amount to EUR 250 and EUR 312.50 each. The Eco Voucher and the Sectoral premium are prorated based on the days worked in the 12 months prior to June 1. 

Employees with at least 6 months of service are entitled to receive the 13th salary or End of year premium in December. The End of year premium amounts to one month salary for employees with 12 months of service and pro-rated for employees with more than six months but less than 12. 

Brazil

Employees are entitled to receive the additional payment of the 113th salary, Vacation Bonus and Abono Pecuniário (if applicable). An additional mandatory payment known as CBA/Union Bonus applies to EOR employees, as per the Collective Bargaining Agreement. 

The 13th month salary is a mandatory payment for employees who have worked a full year, equivalent to one month’s salary. Employees who work less than 12 months receive a prorated amount. This payment is made in two installments: 50% in November and 50% in December, and is invoiced when paid. Standard employer costs and employee deductions apply.

After one year, Brazilian employees receive a mandatory Vacation Bonus of 1/3 of their monthly salary, paid before their vacation. During vacation, employees receive 133.33% of their salary. Employees can also convert up to 10 days of vacation into cash (Abono Pecuniário). These payments are invoiced off-cycle, with standard employer costs and taxes applied. 

The CBA/Union Bonus is a mandatory payment for EOR employees who have worked a full year. The amount is set by the Collective Bargaining Agreement and therefore subject to changes. For 2024, the CBA/Union Bonus is BRL 315,52 a year. Employees who work less than 12 months receive a prorated amount. This payment is made in two installments: 50% in March and 50% in August, and is invoiced when paid. Standard employer costs and employee deductions apply.

Colombia

Employees in Colombia under ordinary salaries are entitled to additional mandatory payments a year: the 13th salary (Legal Service Bonus), 14th salary (Cesantía), and interest on the Cesantía. These payments do not apply for employees under integral salaries.

Employees in Colombia with an ordinary salary receive a mandatory 13th salary, also known as the Legal Service Bonus. This bonus is equivalent to one month’s salary, calculated as 1/12 of the employee's total annual earnings, including bonuses, overtime, and allowances. It is paid in two installments: 50% by June 30 and 50% by December 20. The 13th salary is prorated for employees with less than one year of service and taxed according to a special process based on the employee’s tax procedure. Clients are invoiced twice a year when the payments are made.

Employees with an ordinary salary also receive a mandatory 14th salary, known as the Cesantía or Severance Payment. This payment is equivalent to one month’s salary, calculated as 1/12 of the employee's total annual earnings, including bonuses, overtime, and allowances. It is deposited into a special severance fund in February each year, and not directly to the employee. Additionally, employers must pay 12% interest on Cesantía directly to the employee annually in January. The 14th salary is prorated for employees with less than one year of service and is not taxed. Clients are invoiced annually when the payment is made.

Costa Rica

Employees in Costa Rica are entitled to a 13th salary payment, which is accrued monthly  and paid in December

The 13th salary, known as Aguinaldo or Christmas bonus, is a mandatory payment equivalent to one month’s average salary, including overtime, salary in kind, commissions, and bonuses from December of the previous year to November of the current year. For employees who have been employed for less than a year, the payment is prorated based on the average salary for the year. The 13th salary is accrued monthly at a rate of 8.33% of the employee’s monthly salary and is tax-free.

This payment is made in December, before December 20 and clients are invoiced annually when the payment is made.

Denmark

Employees in Denmark receive two additional payments a year: the Ferietillæg (Holiday Supplement) and the Great Prayer Day Compensation Supplement. Employees may be entitled to the payment of the 5th week vacation depending on the days of vacation taken during the spending year. 

Employees receive a mandatory 1% Ferietillæg (Holiday Supplement), which is 1% of their salary for the annual holiday qualifying year, including Great Prayer Day compensation, and varies with bonuses, allowances, commissions, and time off. This supplement is paid biannually in May and August, with the May payment covering the amount accrued from September to May and the August payment covering the amount accrued from June to August. It is subject to regular income tax and statutory deductions. Clients are invoiced twice a year when the payments are made. 

Employees receive a mandatory Great Prayer Day Compensation Supplement due to the abolition of Great Prayer Day starting in 2024. This payment is 0.45% of the employee's gross annual salary, including allowances and pension contributions, and is paid biannually in May and August. The May payment covers the amount accrued from September to May, and the August payment covers the amount accrued from June to August. It is subject to regular income tax and statutory deductions. Clients are invoiced twice a year when the payments are made. Upon offboarding, the accrued amount is prorated and paid out.

Employees in Denmark accrue days of vacation from September to August the following year, earning 2.08 vacation days per month, totaling 25 days a year. Employees who have days of vacation left by the end of the spending year are entitled to the payment for a maximum of 5 days, only applicable for the vacation days above the 4th vacation week, known as 5th week vacation. If applicable, this payment is made in March and is subject to regular income tax and statutory deductions. Any vacation days exceeding 5 will be lost and paid to the Arbejdsmarked Feriekonto in November. 

Dominican Republic

Employees in the Dominican Republic are entitled to one additional payment a year, the 13th month salary, and may be entitled to a profit-sharing bonus depending on the company's profit during the previous fiscal year. 

The 13th salary is a mandatory payment equivalent to one month’s salary, paid to all employees and proportional to the months worked during the year. The 13th salary is paid annually by December 20 and it's tax-free for employees. This payment is invoiced annually in December. 

All companies in the Dominican Republic must grant a Profit Sharing Bonus, an additional payment equivalent to 10% of the annual net profits to all their workers, as established in Article 223 of the Labor Code, divided among all employees and up to maximum amounts defined by length of service with the employer: 

• The ordinary salary for 60 days or employees with more than 3 continuous years
• The ordinary salary for 45 days for employees with more than 1 year but less than 3 years of service
• Pro-rated amount for employees with less than 1 year of service

If there are no profits, the bonus will not be paid. Employees must have been hired and employed during the year for which the Profit Sharing Bonus is being calculated. An employee hired in the current year will only be eligible to receive the Profit Sharing Bonus paid out in the subsequent year. This bonus is paid and invoiced annually between May 1 and June 15, it's taxed normally and subject to social security. 

Finland

There is no specific provision for a 13th or 14th month salary in Finland.

France

Employees are entitled to paid leave and a monthly vacation.

The vacation and leave pay is calculated as either the maintenance of the salary during the leave or 10% of all gross salary for the reference year, whatever is most beneficial to the employee. Accrual of paid leave is included in the monthly invoice and paid to employees when the leave is taken.

Iceland

Employees are entitled to a 13th and 14th salary payment.

One extra payment is made in June, and one extra payment is made in November.

Invoices will be generated when the extra payments are made in June and November, respectively.

Greece

Employees in Greece are entitled to three additional payments a year: 

• Christmas Bonus: A full month's salary multiplied by 1.04166, paid by December 21
• Easter Bonus: Half a month's salary  multiplied by 1.04166 paid by Holy Wednesday:
  • 2023: April 12
  • 2024: April 24
• Holiday Bonus: Approximately half a month's salary (12.5 days), paid by July 31

These payments are prorated for new employees and employees on leave.

They are not included in an employee's gross monthly salary and they are paid out on specific dates.

At offboarding, these payments are pro-rated to the employees. 

Honduras

Employees are entitled to a 13th and 14th salary payment.

These two extra salaries accrue monthly at the rate of 16.67%. 

Employees receive the additional salaries in two payments: June and December.

Morocco

Seniority Bonus

Employees in Morocco with at least two years of continuous or discontinuous service under the same employer are entitled to the seniority bonus, paid upon the anniversary of service. The amount varies based on the years of service:

• After 2 years of service: 5% of 1 month's salary 
• After 5 years of service: 10% of 1 month's salary 
• After 12 years of service: 15% of 1 month's salary 
• After 20 years of service: 20% of 1 month's salary 
• After 25 years of service: 25% of 1 month's salary 

This bonus is taxed normally and subject to employer contributions as the standard gross salary.

The seniority bonus is not included in the employee’s gross annual salary. At offboarding, this bonus is not paid.

Mexico

Employees are entitled to an end-of-year bonus and a vacation bonus.

The payment for the end-of-year bonus is due at the end of the year.

The payment of the vacation bonus is due after one year of employment.

An invoice will be generated monthly.

Mauritius

Employees are entitled to a 13th salary payment. It is part of an employee's Gross Salary.

Netherlands

Employees in the Netherlands are entitled to a statutory holiday allowance (vakantiegeld/vakantietoeslag in Dutch). While it is named ‘holiday allowance’, it is not connected to holiday accrual, nor holidays taken within the month.

The holiday allowance is 8% of the employee's base salary.

At Deel, holiday allowance is paid monthly and is calculated as 8% of the monthly base salary each month. For Deel EOR employees, the holiday allowance is included in the annual gross salary and it is invoiced and paid monthly as 8% of the employee's base monthly salary.

Norway

Employees are entitled to an end-of-year bonus for unused holiday time.

There is an accrual for holiday pay at 12% per month. At the end of the year, the employer must pay out the employee for whatever remains in their holiday balance account.

An invoice will be generated at the end of the year. 

Pakistan

Employees in Pakistan are entitled to a mandatory Festival Bonus, also known as the 13th-month salary. This additional payment is not part of the annual gross salary and is calculated as one month’s salary, based on the annual gross salary divided by 12. All employees are eligible for this payment.

At Deel, the Festival Bonus is paid monthly in installments and invoiced as 8.33% of one month's salary each month.

This payment is taxed as regular salary and is subject to all statutory deductions. Part-time employees receive a prorated amount, and it is also prorated for employees during onboarding and offboarding.

Panama

Employees are entitled to a 13th salary, which is accrued monthly and paid out to the employee in three equal payments.

One-third of the extra salary is paid to the employee on April 15th; one-third of the extra salary is paid on August 15th; and one-third of the extra salary is paid on December 15th.

An invoice is generated monthly.

Peru

Employees are entitled to a 13th and 14th salary that accrue monthly as an additional employer cost.

This salary is accrued monthly at the rate of 16.67% of one month's salary.

The 13th and 14th salaries are paid out to the employee in two payments.

One payment is paid on July 15th, and another payment is made on December 15th.

The client will be invoiced twice a year when the payments are made.

In addition to these payments, there is an extra 1.5% accrued monthly that represents 9% of the bonus for a health benefit.

Philippines

Employees are entitled to a 13th salary payment and vacation accrual. 

The additional salary payment is made in December and is an additional employer cost.

Employees in the Philippines also enjoy a mandatory holiday accrual that is paid out at the end of the year by the employer.

An invoice is generated monthly for these irregular payments. 

Portugal

There is a mandatory 13th and 14th salary payment every year. 

These are paid on a monthly basis, per Deel's policy, however, employees can say that they do not want to receive proportional payments if they would prefer to receive the amount in full.

There are no additional employer costs for the extra salaries. The payments are part of the Gross Salary.

Sweden

Employees are entitled to a 'vacation allowance' for each day of holiday taken, up to a maximum of 25 days per year.

The daily allowance is calculated as 0.8% of the employee’s monthly salary.

The employee salary quote does not include the holiday allowance, since clients are billed only when an employee uses holiday time. Employer taxes will apply.

The invoice is generated when an employee uses vacation days.

Spain

Employees in Spain are entitled to a 13th and 14th salary payment every year, which are included in an employee's annual gross salary.

Deel spreads out these extra two months of salary on a monthly schedule, so 1/12 of the 13th and 14th salary payments are always included as part of an employee's monthly salary.

The monthly payments for the 13th and 14th salaries amount to 1/12 of 1 month's salary (calculated as gross annual salary divided by 14) and have the same employer costs as the employee's salary. 

For employees, the the 13th and 14th salaries are taxed, but not subject to employee social security contributions.

At offboarding, these payments are pro-rated to the employees. 

North Macedonia

Employees in North Macedonia are entitled to two additional payments: a monthly Compensation for Past Work Service and the Annual Vacation Allowance.

The Compensation for Past Work Service, locally known as K-15, is a mandatory payment calculated as 0.5% of the base monthly gross salary multiplied by the total years the employee has worked. All employees are eligible to receive this compensation, and the amount varies depending on the individual’s base salary and years of work experience. 

The Compensation for Past Work Service is not part of the annual gross salary and is paid monthly. For employees, this payment is taxed as regular salary and is subject to all statutory deductions. For employers, this payment is subject to the same employer costs as the gross salary.

For part-time employees, the payment is prorated. Similarly, for both onboarding and offboarding employees, it is prorated based on their time worked.

Employees are also entitled to an Annual Vacation Allowance, known as Годишен одмор надоместок (Godishen odmor nadomestok). This payment amounts to between 40% and 80% of the average net salary in North Macedonia, based on the average salary published in the last three months before payment. For 2023, the minimum was MKD 14,740 and the maximum was MKD 40,965.

To be eligible, employees must have worked for the employer for at least 6 months at the time of payment. The allowance is not part of the annual gross salary and is paid annually in December through the Public Revenue Office system (PRO’s e-PDD system). No employer costs apply, but the payment is taxed as salary and subject to all statutory deductions.

For part-time employees, the allowance is prorated, provided they meet the eligibility criteria. For offboarding employees, the payment is prorated if they meet the eligibility requirements.

Tunisia

Employees hired with indefinite contracts are entitled to a 13th salary payment every year.

This is accrued at 8.33% of the monthly salary.

The amount for each year will be calculated in December and an invoice will be generated.

The payment will be made in February.

Whatever is accrued will also be paid out in the case of a contract termination.

United Arab Emirates

There is a monthly accrual of the service benefit which is paid out at the end of the year, or when the contract with the employee is terminated.

Uruguay

Employees are entitled to a 13th and 14th salary payment.

The '13th salary' payment is spread across two months: one payment will be made in June, and one payment is made in December. These are additional employer costs and invoices will be generated.

The '14th salary' is paid out when the employee takes their annual vacation. An invoice will be generated.