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Find out how Remote can guide you through the complexities of managing cross-border hiring, payroll, taxes, and compliance.

 

Employing in Guatemala

Employment and labour rules in Guatemala are primarily governed by the Labour Code ( Código de Trabajo ) of Guatemala, Decree No. 1441. The Ministry of Labour and Social Welfare ( Ministerio de Trabajo y Previsión Social ) oversees labour relations and ensures compliance with these labour laws.

Minimum wage

The minimum wage varies between the Department of Guatemala and the rest of the country, and is also dependent upon the type of work (agricultural, non-agricultural, export, and maquila). 

As of January 2025, these minimums are as follows: 

Department of Guatemala:

Rest of the country:

Payroll cycle

For customers of Remote, employee payments are made monthly on the 25th of each month. If the 25th falls on a weekend or holiday, the payment is made on the prior business day.

13th and 14th salaries

Salaried employees are entitled to receive two bonuses a year, each equivalent to one month’s pay. These are considered as a 13th and 14th-month payment. The 'Bono 14' is payable in July of each year, and a Christmas bonus is payable in December.

Onboarding time

We can help you get a new hire started in Guatemala fast. The minimum onboarding time we need is 10 working days.

Our team ensures your employees are onboarded and paid as quickly as possible while keeping your business compliant with all local employment legislation. The minimum onboarding time begins after the employee submits all required information onto the Remote platform. The onboarding timeline is also dependent upon registration with local authorities.

For all non-nationals of the country of employment, the Right to Work assessment (if applicable) will add three extra days to the total time to onboard. There may be extra time required if we need to follow-up on the right to work assessment.

Please note, payroll cut-off dates can impact the actual first day of employment. Remote has a payroll cut-off date of the 10th of the month unless otherwise specified.

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10 Public holidays

Competitive benefits package in Guatemala

health_insurance
Health Insurance
dental_insurance
Dental Insurance
vision_insurance
Vision Insurance
mental_health_support
Mental health support
pension_or_401(k)
Pension or 401(K)
life_and_disability_insurance
Life and Disability Insurance

Facts & Stats

The Republic of Guatemala is located in Central America, and shares a border with Mexico, El Salvador, Honduras, and Belize. It was home to a large part of the Mayan civilization, and continues to attract millions of tourists to important historical sites, such as the ancient city of Tikal.

Guatemala has a diverse economy, although agriculture, textiles, and apparel are the country’s most important sectors. With a bilingual workforce and a relatively low cost of living, it has become an attractive location for many businesses looking to outsource in recent years.

Capital City
Guatemala City
Currency
Guatemalan quetzal
Languages
Spanish
Population size
17,263,239
Ease of doing business
Easy
Payroll frequency
Monthly
VAT - standard rate
12%

Grow your team in Guatemala with Remote

Want to employ workers in Guatemala? Companies hiring in Guatemala are typically required to either own a local legal entity or work with a global employment platform like Remote that can legally provide employment services in the country.

Remote can employ team members in Guatemala and keep you compliant. Remote can hire, onboard, and pay your Guatemala team so you don't have to set up local HR services in the region. Remote also makes it easy to pay contractors in Guatemala. Sign up now to get started or talk to an expert for more details.

Risks of misclassification

Guatemala, like many other countries, treats self-employed individuals or contractors and full-time employees differently. Misclassification of contractors in Guatemala may lead to fines and penalties for the offending company.

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Transparent Pricing in Guatemala

Payroll

39

per employee/month
Book a demo
  • Powerful, transparent international payroll
  • Simple self-service platform
  • Personalised support from dedicated specialists
  • Adhere to local payroll regulations in every country
  • Integrated payroll, expense management, and HRIS solution
Contractor Management

39

per contractor/month
Book a demo
  • Only pay for contractors you actively work with
  • Work with international contractors
  • Create, edit, and sign tailored, localised contracts
  • Approve contractor invoices with one click or auto-pay
  • Transparent payments with complete visibility
Employer of Record

940 800

per employee/month
Book a demo
  • Hire without opening a local entity
  • Guided onboarding
  • Local payroll paid on time, every time
  • Built-in security and compliance
  • Flexible, localised benefits
  • Offer equity incentives with tax assistance
  • Dedicated experts for local support