Colombia
Remote Hiring & Payroll Compliance Guide
Payroll & Taxation
Currency: COP
Employer Tax: 25.5%
Local Tax Body: DIAN (Dirección de Impuestos y Aduanas Nacionales) / UGPP (Unidad de Gestión Pensional y Parafiscales)
Statutory Benefits
13th Month Mandate: Mandatory
Min PTO Days: 15 Days
Primary Contract: Labor Contract (Contrato Indefenido) vs. Independent Contractor (Prestación de Servicios)
13th Month Details
Prima de Servicios: 1 month salary paid half in June, half in December.
Severance Rules
Cesantías system: 1 month salary per year deposited into fund + 12% interest.
FX & Banking Warning
Moderate FX friction on COP conversions (~0.9%).