Hire and pay employees in Guatemala, hassle-free

With Deel, your business can easily hire employees in Guatemala. No more worrying about local laws, complex tax systems, or managing international payroll. Deel takes care of everything in 150+ countries. The average onboarding time frame in the Guatemala is 10 days with Deel.

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Onboard, pay and manage employees in Guatemala with Deel

Usually, to hire in Guatemala, 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.

Now you can hire employees in Guatemala quickly, easily, and compliantly. Automate tax document collection, payroll, benefits, and more. For your existing direct employees, we can manage your entire payroll operation from end-to-end.

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Currency
 Guatemalan Quetzal
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Capital Guatemala City
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Official language Spanish
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Payroll cycle Monthly

All the necessary benefits for Guatemala built right in

Deel allows you to provide localized benefits for employees in Guatemala within minutes. All in one manageable online dashboard in a single HR platform.

  • National Industrial Training Fund
  • Social Security
  • Private Healthcare - Allianz (optional)
  • Global Life Insurance - Allianz

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Our quickstart guide to hiring in
Guatemala

Navigate the tabs below to learn everything you need to know about hiring an employee in Guatemala

Minimum Wage Requirements

Minimum wage in Guatemala varies by sector and economic district. For employees in non-agricultural sectors in the department of Guatemala City, the minimum wage is GTQ 3,973.05 per month, inclusive of a statutory incentive bonus of GTQ 250 per month.

Individual Income Tax

The individual income tax ranges from 5% to 7%. Income tax is calculated according to progressive rates.

Payroll Cost

The employer cost is generally estimated at 29.3% of the employee's salary.

  • Social Security (IGSS): 10.67%

  • Workers Recreational Institute (IRTRA): 1%

  • Professional Training Institute (INTECAP): 1%

  • 13th Bonus: 8.33%

  • Christmas bonus: 8.33%

  • One-off administrative registration costs: USD 45

  • One-off Mandatory Wet Ink Employment Agreement Handling Fee - 80 USD

These costs are provided as estimates and are intended solely for general informational purposes. To fully comprehend all associated costs and fees related to the terms of any employment agreement for this country, please contact our Sales team for a quote.

Overtime Pay & Maximum Hours

Standard working hours are 8 hours per day, 40 hours per week. The standard work week is from Monday to Friday. However, it is also common practice for employees to have a working week of 44 hours.

Overtime payment is mandatory and may be included in the salary. Hours outside of standard work hours are considered overtime. Employees can work a maximum of 4 hours of overtime a day. For additional hours, employees are paid:

  • 150% of the hourly rate
  • 200% of the hourly rate for work on official holidays, annual leaves, or regular leaves and an additional day of leave
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Download the complete guide to hiring in Guatemala

Hiring in Guatemala, hassle-free

With Deel, your business can easily hire employees in Guatemala 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 Guatemala and 150+ countries.

Management fee
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Starting at

$599
/month
Estimated Employer Cost
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29.3%

of employee salary