Overview

Capital
Buenos Aires
Currency
Peso
Date Format
dd.mm.yyyy

calendar icon Public holidays calendar

Taxes

Employer
11.07% - Integrated Pension System (SIPA)
6% - Payment of Social Work
1.62% - public health insurance agency (PAMI)
4.83% - Family Allowance Subsystem
0.98% - National Employment Fund
Employee
11% - Integrated Pension System (SIPA)
3% - Payment of Social Work
3% - National Institute of Retirees and Pensioners (INSSJP)
0% - Until 33,039
9% - 33,039 - 66,079
12% - 66,079 - 99,119
15% - 99,119 - 132,159
19% - 32,159 - 198,238
23% - 98,238 - 264,318
27% - 264,318 - 396,477
31% - 396,477 - 528,636
35% - 528,636 and Over

Minimum Wage

General

The current minimum wage is 15,625 pesos per month and is set to rise to 16,875 pesos per month.

Working Hours

General

Full time employment is 8 daily hours and 48 weekly hours. Night workers (9pm-6am) daily workers should not exceed 7 hours. Employees working in unhealthy or dangerous conditions cannot work longer than 6 hours a day or 36 hours a week.  

 

Overtime

Overtime hours should not exceed 3 hours per day, 30 hours per month, or 200 hours per year. Employees receive an additional 50% for overtime work and an additional 100% for holidays or work performed after 1pm on Saturdays. 

VAT

General

21% rate

Payment

Payroll Frequency

Salaries are commonly paid on a monthly basis and in 13 payments. Payment must be within the first 4 days of the following month. The 13th salary is payable in two instalments, one before June 30th and the other before December 18th.

Mandatory Benefits

Pension Fund

The Argentine Integrated Pension System (SIPA) is in charge of the country’s Pension fund.

Universal Pension for the Elderly (PUAM) – for those 65 or older who are either Argentine, naturalized with 10 years of residence, or a foreigner with 20 years of residency.

Old age pension covered by social insurance covers men age 65 or older and women aged 60 or older. Both must have at least 30 years of contributions. Contributions for employees of hazardous or unhealthy conditions is reduced by ten years.

Employers contribution – 11.07%

Employees contribution – 11%

Social Security

Contributions towards social security are paid towards retirement, family allowance, public health insurance agency (PAMI), and the national employment fund.

The minimum non-taxable amount for the payment of employer contributions will rise from 7,003.68 pesos to 15,810.81 pesos on January 2020.

Contributions are:

Employer –

  • Argentine Integrated Pension System - 11.07%
  • PAMI - 1.62%
  • Family Allowance (AAFF) - 4.83%
  • National EmploymentFund - 0.98%

Total to social security scheme 18.50%

To the National Social Work Regime

  • Social work - 6%

Total Contributions - 24.5%

 Employee –

  • Argentine Integrated Pension System – 11%
  • PAMI – 3%
  • Social work – 3%

Total Contributions - 17%

13th Salary

The 13th salary is payable in two instalments, one before June 30th and the other before December 18th.

Payroll

Pay Date

Hourly workers receive their salary at the end of each week and salaried employees receive theirs monthly. Monthly payments must be made no later than the first four days of the following month.  

Termination

Termination Process

Employers can terminate workers on grounds of worker misconduct, or economic grounds. If without cause, employers must provide notice of: 15 days for employees of less then 3 months, 1 month for employees of up to 5 years, and 2 months for employees of more than 5 years. Severance pay can be provided in lou of notice.

Advance Notice

Written notice 15 days in advance.

Severance Pay

Severance pay is one month of regular wages per each year employed in a company. If appropriate notice was not given, additional payments will be provided. For 3 months or less of employment: 0.5 months salary, for 3 months - 5 years: 1 months salary, and for over 5 years: 2 months salary.