Onboard, pay and manage employees in Bolivia with Deel.
Usually, to hire in Bolivia, your business needs an entity. That means a local office, an address registered as a subsidiary, and an account with a local bank. All of this, plus navigating regional benefits, payroll, tax, and HR laws, can take months.
Deel lets you hire employees in Bolivia quickly, easily, and compliantly. We even automate tax document collection, payroll, benefits, and more. For your existing direct employees, we can manage your entire payroll operation from end-to-end.
All the necessary benefits for Bolivia
built right in
Deel allows you to provide localized benefits for employees in Bolivia within minutes. All in one manageable online dashboard.
- Housing Fund
- Public Health Insurance
- State Pension Fund
- Worker Compensation Accident Insurance
- Private Healthcare - Allianz (optional)
Our quickstart guide to hiring in Bolivia
Navigate the tabs below to learn everything you need to know about hiring an employee in Bolivia
Minimum Wage Requirements
Individual Income Tax
The employer cost is generally estimated at 16.71% of the employee salary. Monthly employer costs:
- Social Security - 3%
- Professional Risk Premium - 1.71%
- Public Health Insurance - 10%
- Housing (Provivienda) - 2%
- Home office bonus - BOB 200
Please note: the minimum monthly salary for Social Security, Professional Risk Premium, and Housing (Provivienda) contributions is BOB 2,363.
- Mandatory Wet Ink Employment Agreement Handling Fee - USD 80
- Medical Exam (Onboarding) - BOB 200
- Medical Exam (Offboarding) - BOB 200
- 13th Month Salary (Christmas Bonus) - 1-month salary
Please note: by law, salaries are mandatorily adjusted every year in January by approximately 3%.
Overtime Pay & Maximum Hours
Bolivia has no parental leave policy. However, employees can request a license due to accidents or serious illnesses of children under 12 years of age. The length is 3 days with 100% of their salary.
Employees are entitled to unlimited paid sick leave. This leave is paid at different rates and by different payers depending upon length:
- Up to the third day, the employee will receive 100% of the base salary paid by the employer
- From the fourth day, the employee will receive 75% of the base salary paid by Social Security
Terminations must respect complex rules and the rules of an employee’s employment country. The off-boarding is always handled by the Employer with the primary stakeholders. It may include ad-hoc fees as well as required or recommended steps on specific termination cases.
Terminations in Bolivia can be complex. Compliant terminations include:
- Voluntarily by the employee
- Termination with a cause:
- material damage caused intentionally in the work instruments
- disclosure of the company’s privacy
- total or partial breach of the agreement
- theft or robbery by the worker.
- By the expiration of the contract
Severance for Employees
In Bolivia, all employees who are terminated as a voluntary retirement are entitled to severance pay after 5 years of employment or without just cause. Severance pay is 30 days of salary per year of service.
To protect you from unforeseen financial risks arising from terminations, Deel applies a Severance Accrual to all employment agreements in this country. Deel has extensive expertise in managing litigation risk globally and our Severance Accrual calculation is based on the prevailing common-law or statutory entitlements and local best practices. In the event your employee resigns or is not entitled to severance, all unused amounts will be returned to you.
Paid Time Off
Bolivia celebrates both 10 national and 1 regional holiday based on the location of the employee. If holidays fall on a Sunday, the celebration is moved to the next business day.
National public holidays include:
- New Year
- Plurinational State Day
- Carnivals (2 days)
- Holy Friday
- Labor Day
- Corpus Christi
- Aymara New Year
- National Day
- All Saints Day
- Christmas Day
Employment Contract Details
Contracts must be in Spanish and can be bilingual. They must be in writing and signed by both parties. A contract must include:
- start date
- length of the employment
- job description
- termination conditions
- applicable regulations
- the object of the contract
- worker's rights
- the obligations of the worker
Hiring in Bolivia, hassle-free
With Deel, your business can easily hire employees in Bolivia with our EOR solution. If you have an entity, our Global Payroll solution takes care of payroll and compliance for your direct employees. Our 250+ in-house experts handle everything from managing local laws, complex tax systems, or your payroll in Bolivia and 150+ countries.
Estimate Employer Cost
*of employee salary