What is the true employer cost in Colombia?

Above gross salary, expect roughly 30% to 45% once prima, cesantías and interest, health and pension contributions and parafiscales are included. The percentage moves with salary level because some parafiscales are exempt above certain thresholds.

Can we hire Colombians as contractors?

Genuine independent, project-based work can be contracted. A full-time, supervised role performed exclusively for you is likely to be treated as employment, with back contributions and severance exposure if challenged.

How quickly can we onboard in Colombia?

Typically 5 to 10 business days for an identified candidate through an employer of record. Recruiting a bilingual professional role commonly takes 2 to 4 weeks.

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LATAM staffing guide, Colombia

Staffing in Colombia: what it really costs, and how fast you can start

Colombia has become the region's strongest source of bilingual customer experience, finance and engineering talent, with Bogotá, Medellín and Barranquilla all producing English-capable professionals at competitive rates. The employment code is prescriptive but predictable once the statutory add-ons are modeled correctly.

Employer burden: Roughly 30–45% of gross salary once benefits and parafiscales are included
Onboarding time: 5–10 business days for an identified candidate
Currency: COP
Timezone: COT, aligned with US Eastern for most of the year

What you are legally required to provide in Colombia

Prima de servicios

One month of salary per year, paid in two installments.

Cesantías & interest

Severance fund deposit plus 12% annual interest on the balance.

EPS & pension

Health and pension contributions split between employer and employee.

Parafiscales

SENA, ICBF and Caja de Compensación contributions depending on salary level.

Transport allowance

Mandatory for employees below the statutory salary threshold.

Roles our clients hire most in Colombia

▸Bilingual support & CX
▸Financial analysis
▸Software and QA engineering
▸Marketing operations
▸Healthcare back office

Deep bilingual supply, especially in Medellín and Bogotá

Where Colombia hiring goes wrong

Fixed-term contracts renew into indefinite status if not managed correctly.
Contractor (prestación de servicios) arrangements for full-time roles invite reclassification.
Salary thresholds change which benefits and allowances apply.

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