Employer of record services: what an EOR does and what it costs

What an employer of record does

An employer of record company signs the local employment contract with your worker through its own entity in that country. It runs payroll, withholds income tax, pays the employer social contributions and statutory benefits, and handles the paperwork when the job ends. You pick the person, set the salary and direct the work. Each month the EOR invoices you for salary, contributions and its fee.

1. You choose the country, the person, the salary and the start date.
2. The EOR quotes the full monthly cost and usually asks for a deposit.
3. The EOR issues a contract that follows local law: notice, leave, probation and any mandatory bonuses.
4. Each payroll it pays the worker in local currency and remits taxes and contributions.
5. When the job ends it runs the local termination process, and you pay the notice and severance the law requires.

The model works in the other direction too. A foreign company with no US entity that wants a US employee needs a US employer of record, because a PEO can only co-employ alongside an existing US company. With a US entity, a PEO or payroll software is far cheaper; see PEO vs EOR. The longer explanation, including what the EOR is liable for, is in what an employer of record is.

What an EOR costs

Lowest list price

$199Payoneer WFM (Skuad), per employee per month

Most common

$599Deel, Remote, Atlas, Justworks add-on

Highest flat price

$699Oyster

Fee for one hire a year

$4,788 to $8,388at $399 to $699 a month

Two providers show two prices: Remote lists $599 on its pricing page and $699 in a March 2026 help article, and G-P says quote only on its pricing page and $599 on an information page updated in July 2026. Multiplier is the only one that publishes a monthly and an annual price ($499 and $459). Rivermate spans $319 to $639 by country, and Atlas adds a country "LES rate" to its $599. The full list is in every published EOR fee.

The fee is not the whole contract. Watch four things:

• Deposits. Playroll asks for one month of salary per employee and Oyster for at least one month of the total cost of services. On a USD 40,000 salary, one month is about $3,333 per hire, returned weeks after the job ends.
• Currency. None of the providers we checked publishes an EOR FX markup percentage. Multiplier says it adds no markup (one reviewer disputes that), and Atlas says it adds one without giving the figure. A 1% markup on a USD 40,000 salary is $400 a year.
• Renewals. Remote's order forms raise prices on renewal by at least 8%, so $599 becomes at least $698.67 after two renewals.
• Exit terms. Deel's promo order forms need a two-year term and bill full list price if you leave early. Pebl locks each worker in for 12 months on its Employee Term model.

Employer costs by country, and a three-country example

Salary and the employer's mandatory contributions usually cost more than the EOR fee. Our country data comes from official social security and labor sources and shows employer contributions on a salary of about USD 40,000. Three hires on that salary:

In India the EOR fee is more than five times the employer contributions. In Brazil the contributions are almost three times the fee. Switching all three from a $599 provider to a $399 one saves $7,200 a year. Compare 52 countries side by side in the employer cost by country index, or run your own salary below or in the international employee cost calculator.

EOR picks, ranked by score

Ranked by our EOR scores out of 100: price per employee (25 points), hidden costs disclosed (20), entity ownership and country coverage (20), contract terms (15), support and compliance help (10) and documented complaints (10). Remote is scored at $699, the higher of the two prices on its own pages. The method is on how we score providers.

The other eight: Atlas 55, Papaya Global 55, Deel 54, Rivermate 53, Payoneer Workforce Management (Skuad) 47, Globalization Partners 45, Omnipresent 39 and Rippling EOR 18. Deel gets 7 of 20 points for hidden costs because it publishes no deposit or FX terms. All 13, with deposits, FX and exit terms side by side, are in the best employer of record services; reviews: Deel, Papaya Global, G-P and Rippling EOR, plus Deel vs Remote.

Hire in a country

The 20 countries US companies search for most, with the employer contribution rate from our country data. Each guide covers notice, severance, bonuses and an all-in monthly cost through an EOR.

• Employer of record in Canada: 7.86% federal CPP and EI only, on CAD 56,643.
• Employer of record in India: 3.4% on INR 3,800,000.
• Employer of record in the Philippines: 11.3% on PHP 2,520,000 basic.
• Employer of record in the United Kingdom: 14.88% on GBP 30,000.
• Employer of record in Germany: 21.30% on EUR 35,000, before U1/U2 and accident insurance.
• Employer of record in Mexico: 31.8% on MXN 740,000.
• Employer of record in France: 31.79% on EUR 35,546, before excluded items and reductions.
• Employer of record in the Netherlands: 28.0% on EUR 35,546 plus 8% holiday allowance.
• Employer of record in Brazil: 50.9% on BRL 203,280, including the 13th salary and vacation bonus.
• Employer of record in Singapore: 17.00% CPF for citizens and PRs aged 55 or under.
• Employer of record in the United Arab Emirates: 3.50% gratuity accrual for an expatriate, before health insurance.
• Employer of record in Switzerland: 5.3% AHV/IV/EO only, the confirmed portion (2025 rate).
• Employer of record in Croatia: 16.5% on EUR 35,550.
• Employer of record in China: Shanghai 32.7%, Beijing 31.5%, including the housing fund.
• Employer of record in Spain: 32.15% on EUR 35,000 paid in 14 installments.
• Employer of record in Poland: 20.48% on PLN 145,000.
• Employer of record in Egypt: Rate inputs not yet confirmed.
• Employer of record in Sweden: 32.60% on SEK 380,000.
• Employer of record in Thailand: 0.79% Social Security Fund on THB 1,336,604.
• Employer of record in Ireland: 12.90% on EUR 34,000 (12.75% before October 1, 2026).

Rates marked as a portion only, or not yet confirmed, mean an official figure was missing on our check date; the country page says which. Every country we cover is listed at the end of this page.

EOR, contractor, global payroll or your own entity

An EOR suits your first hires in a country, a market test, or someone who has to start within weeks. With $30,000 a year of entity overhead, your own entity becomes cheaper at about 5 employees against a $599 EOR; the full break-even is in EOR vs your own entity. Once you have the entity, compare global payroll providers and EOR vs global payroll.

For freelancers, contractor management software costs $29 to $49 a month, and a contractor of record adds misclassification cover. EOR vs AOR and EOR vs a staffing agency cover the other look-alikes. An EOR changes who employs the person, but it does not settle whether your company has a taxable presence abroad: read permanent establishment risk before a senior hire signs contracts for you.

Before you sign an EOR contract

1. Get a quote for your country and salary, with each employer contribution, mandatory bonus and benefit on its own line.
2. Get the deposit amount, how it is calculated and the refund date in writing.
3. Ask for the FX rate source and the markup percentage.
4. Ask whether the entity in your country is owned or a partner's.
5. Read the term, auto-renewal, price increase and early exit clauses on the order form.
6. Find out the termination process: lead time, who talks to the employee and who pays local legal costs.

Employer of record guides and reviews

Every EOR, contractor and global payroll page except the country guides.

• Best EOR servicesEOR providers ranked by score, with deposits, FX, exit terms and a 3-country cost.
• Contractor of recordPrices from $99 to $400 a month, what the indemnity covers, and when you need an EOR instead.
• Deel review$599 EOR, $49 contractors, and the deposit and term details to get in writing.
• Deel vs RemoteSame $599 headline, different terms: deposits, FX, renewals, entity ownership and real India and Brazil costs.
• Deel vs RipplingDeel's posted EOR, contractor and US PEO prices against Rippling's quote-only EOR and platform.
• EOR vs AOREmployee or contractor, who carries the risk, and the yearly cost of each for one hire.
• EOR vs global payrollWho is the legal employer, what each costs for 5 to 25 people, and when to switch.
• EOR vs own entityWhat an EOR costs per person per year, what a subsidiary costs to run, and where the lines cross.
• EOR pricingEvery published EOR fee, the deposits, FX and exit terms, and full-year costs.
• EOR vs staffing agencyWho finds the worker, who employs them, and the markup at which an EOR becomes cheaper.
• Employer cost by countryMandatory employer contributions on a USD 40,000 salary in 50+ countries, from official sources.
• Global payrollInternational payroll for your own entities: published prices and providers ranked.
• G-P reviewQuote or $599 per employee, one rate across 180+ countries, few published terms.
• International cost calculatorEmployer contributions in 50+ countries plus your EOR fee, with the caps explained.
• Multiplier review$459 annual or $499 monthly, owned entities claimed, and a strict exit process.
• Oyster reviewFlat $699 EOR, a one-month deposit and the late-wage complaints to weigh.
• PEO vs EORCo-employment in the US or sole employment abroad, with costs side by side.
• Papaya Global reviewEOR from $650, payroll from $12, and four fees Papaya does not price.
• Paying contractorsPer-contractor prices, contractor of record costs and misclassification risk abroad.
• Pebl reviewVelocity Global, renamed: $399 EOR, 90% owned entities, 12 months per worker.
• Permanent establishment riskHow Article 5 works, how one remote employee can trigger it, and why an EOR reduces but does not remove the risk.
• Remote review$599 or $699 per employee, owned entities, and a 12-month auto-renewing default.
• Rippling EOR reviewQuote-only EOR inside the Rippling platform, with a $499 third-party reference.
• What is an EORWhat an EOR does, who carries which risk, and what it costs on top of salary.

Every country guide

Employer costs, rules and EOR fees for each country we cover.

• ChinaCity-by-city contributions, the housing fund, and severance of a month per year.
• AlbaniaA 16.7% employer rate, a ceiling we are still confirming and the part-time rule.
• Argentina20.40% employer contributions, the two-part aguinaldo and the 2026 labor reform.
• ArmeniaThe AMD 75,000 minimum wage, the dram cost of EOR fees and the open questions.
• Australia12% super, state payroll tax, Payday Super and the all-in AUD cost.
• EOR AustriaFourteen salary payments, a 29.5% employer load and quarter-end notice.
• BangladeshEarned leave under section 117, the taka cost of EOR fees and what is unconfirmed.
• Belgium24.92% ONSS, no probation since 2014 and notice measured in weeks of seniority.
• BoliviaHealth contributions, two possible aguinaldos, and the 90-day notice that triggers desahucio.
• Brazil EOR50.89% on top of base pay, line by line, and the FGTS fine you owe on dismissal.
• BulgariaThe mid-year cap change, the euro switch and what we could and could not confirm.
• Canada EORCPP, EI, Quebec and Ontario extras, and what an EOR adds on a CAD 56,643 salary.
• EOR ChileThe pension reform schedule, the 42-hour week and dismissal rules.
• ColombiaPension, prima and cesantias, the 114-1 exemption and dismissal costs in COP.
• CroatiaOne 16.5% employer contribution, a EUR 1,050 minimum wage and the full yearly cost.
• DenmarkFixed per-head charges instead of payroll tax, and notice that rises to six months.
• EcuadorA dollarized payroll, an 11.15% IESS employer share and the items still to confirm.
• EgyptThe EGP 7,000 minimum wage, the mandatory yearly raise, and the open questions.
• El SalvadorDollar payroll, a USD 75 ISSS ceiling and an 8.75% pension charge.
• EOR EstoniaThe uncapped 33% social tax, the minimum base and redundancy rules.
• FinlandTyEL pension, notice that grows to six months, and the cost lines still to confirm.
• France EOR31.79% listed employer contributions, the RGDU cut, probation and severance on EUR 35,546.
• Germany EOR21.30% social insurance, the notice ladder, 2026 caps and EOR fees on EUR 35,000.
• EOR GreeceThe 21.79% e-EFKA rate, the 2026 ceiling and what is still unconfirmed.
• GuatemalaFourteen salaries a year, 12.67% in contributions and the Q250 bonus most budgets forget.
• HondurasMinimum wages by company size, capped IHSS charges and the RAP housing fund.
• Hong KongA 5% MPF charge with a HKD 1,500 cap, and severance that is now all cash.
• HungaryOne 13% employer tax, two minimum wages, and an employee side of 33.5%.
• India EORThe new Rs 25,000 PF ceiling, gratuity, the 50% wages rule and EOR fees, worked out.
• IndonesiaBPJS lines with caps, a mandatory THR month, and the severance scale.
• IrelandThe October 2026 PRSI rise, auto-enrollment and redundancy capped at EUR 600 a week.
• EOR IsraelNational Insurance bands, pension plus severance funding, recreation pay.
• ItalyIVS pension, TFR, 13 or 14 payments a year, and the INPS items still to confirm.
• JapanSeven employer premiums, the new child-rearing levy and the JPY math for Tokyo.
• EOR JordanThe 14.25% SSC rate, the JOD 3,668 cap and the terms to confirm.
• KenyaCapped NSSF, an uncapped housing levy, and minimum wages that change by town.
• LatviaOne 23.59% contribution, a EUR 105,300 ceiling and Latvia's short probation limits.
• LithuaniaA 1.77% employer share, a 19.5% employee share and the fixed-term surcharge.
• LuxembourgSix employer lines, a class that moves with absenteeism, and the yearly total.
• MalaysiaEPF that depends on pay and passport, a RM6,000 SOCSO ceiling, and termination benefits.
• MaltaA weekly SSC cap, four fixed statutory payments a year and leave counted in hours.
• MauritiusA CSG rate that doubles above MUR 50,000, a newly raised NSF ceiling and the PRGF question.
• Mexico EORIMSS, INFONAVIT, aguinaldo, payroll tax and severance on a MXN 740,000 salary.
• MoldovaA 24% social insurance charge, a 14.5% minimum wage jump, and the open labor rules.
• MoroccoThe MAD 6,000 CNSS ceiling, hour-based severance and probation by job category.
• New ZealandKiwiSaver at 3.5%, a 90-day trial for every employer, and no statutory redundancy pay.
• NigeriaA 10% pension on basic plus housing and transport, short statutory notice and the NGN 70,000 minimum wage.
• EOR NorwayZone-based employer NIC, the OTP pension and how holiday pay works.
• PakistanA flat EOBI charge, the Standing Orders gratuity and what we have not yet confirmed.
• PanamaThe 13.25% CSS quota after Law 462, dollar payroll and the items still to confirm.
• ParaguayA 16.5% IPS charge on every guaraní of pay, and why a 0% tax table is wrong.
• PeruA 9% EsSalud employer rate, a minimum wage rising in two steps, and what is still unconfirmed.
• Poland EOR20.48% employer contributions, the PLN 282,600 cap and notice that grows to 3 months.
• EOR PortugalFourteen payments, 23.75% Social Security and dismissal compensation.
• Puerto RicoFederal FICA plus a layer of island-only programs, and a probation rule that changed back.
• QatarNo social insurance for expatriates, a gratuity that accrues instead, and allowance-based minimum pay.
• RomaniaA mid-year minimum wage rise, one employer-side contribution, and the fee in lei.
• EOR Saudi ArabiaGOSI for Saudi nationals vs expatriates and the end-of-service award.
• Serbia15.15% employer contributions, a monthly base ceiling, and a net hourly minimum wage.
• Singapore EOR17% employer CPF for locals, none for foreigners, and the new SGD 8,000 wage ceiling.
• SlovakiaTwo insurers, a 36.2% employer bill and the EUR 16,764 monthly cap.
• EOR South AfricaUIF and SDL at 1.32%, notice and retrenchment pay under the BCEA.
• EOR South KoreaFour insurances, the retirement allowance and the 2026 pension increase.
• Spain EOR32.15% employer social security, 14 payments a year and tight probation limits.
• Sweden31.42% employer fees, the holiday supplement, and notice of up to 6 months.
• Switzerland EORThe 5.3% AHV share we could verify, the items still open, and month-end notice rules.
• TaiwanLabor insurance on a capped salary grade, 6% pension on full pay, and the NHI line still open.
• TanzaniaNSSF, the skills levy and workers comp add 14.0%, plus the new 2026 minimum wage order.
• ThailandA THB 875 contribution cap, severance of up to 300 days and the THB cost math.
• TurkeyThe 2026 SGK rates, the narrowed incentive and cost at the TRY 33,030 minimum wage.
• UgandaCompulsory NSSF registration for every employer, the EOR fee range and the open questions.
• UkraineA single 22% employer contribution, the 2026 cap and martial-law leave rules.
• UruguayA light 12.60% employer share, a heavy employee side and the BPS math on UYU 1.6 million.
• EOR VietnamThe 50.6 million cap, regional minimum wages and what termination costs.
• Czech RepublicA 33.8% employer bill led by pension, a new 4-month probation limit and the CZK math.
• Dominican RepublicThree TSS contributions with separate caps, minimum wages by company size and the peso math.
• Netherlands EOR27.97% on top of salary, the 8% holiday allowance and a transition payment from day one.
• Philippines EORSSS, PhilHealth and Pag-IBIG caps, 13th month pay and EOR fees on a real salary.
• UAE EORNo social security for expats, a gratuity tied to basic pay, and 12.5% GPSSA for Emiratis.
• UK EOR15% employer NICs, pension minimums, notice and redundancy on a GBP 30,000 salary.
• Costa RicaCCSS charges of 26.83%, the cesantia scale and the INS work-risk policy.