Overview

Capital
Sucre
Currency
Boliviano (BOB)
Date Format
dd/mm/yyyy

Contributions

Employer

Employer Payroll Contribution

2.00%
Housing
1.71%
Professional Risk Premium
10.00%
National Healthcare
3.00%
Employer Solidarity Contribution
16.71% Total Employment Cost
Employee

Employee Payroll Contributions

10.00%
Long-term SSO Contribution (Disability, Old Age and Death)
1.71%
Common Risk
0.50%
Pensionary Fund Commission
0.50%
Solidarity Contribution for Pension
12.71% Total Employee Cost

Employee Income Tax

13.%
Flat Rate
Employer Taxes
3 HIGHEST
3 LOWEST
Brazil
China
Slovakia
Bolivia
South Africa
Georgia
Macedonia
82.39%
41.12%
37.2%
16.71%
2%
2%
0%
Employee taxes
3 HIGHEST
3 LOWEST
Romania
Macedonia
Netherlands
Bolivia
Georgia
Belarus
Ukraine
45%
28%
27.65%
12.71%
2%
1%
0%

Minimum Wage

General

The monthly minimum wage in Bolivia is 2,122 BOB.

Minimum wage (per month)
$4000
$2663
$2518
$305
$36.80
$17.24
$2.33
Geneva
Luxembourg
Australia
Bolivia
Angola
Tanzania
Venezuela
3 HIGHEST
3 LOWEST

Payroll

Payroll Cycle

Salaries are paid on monthly basis on the last day of the month. 

13th Salary

A 13th salary is required at the end of the year and is equivalent to one month’s pay. A 14th salary is also mandatory if the GDP is over 4.5%. Both bonuses are tax-free.

Working Hours

General

A full workday is 8 hours. In addition, the maximum number of workdays in a week is 6 days.   

This does not apply to employees in managerial roles, as the workday can be extended up to 12 hours.  However, an additional hour break must be given to the employee.   

Overtime

Overtime must be approved by the labor inspection authority.  Once approved, overtime is limited to no more than 2 hours per day.  

For both work during a non-working day and overtime hours, overtime is compensated at a rate of 200% of the regular pay.  

Leave

Paid Time Off

If an employee has completed one year of employment, they are entitled to 15 days of paid annual leave.   

For an employee who has been employed for at least 5 years, they are entitled to 20 days of paid annual leave.  

For an employee who has been employed for at least 10 years, they are entitled to 30 days of paid annual leave.   

Vacation days
Public holidays
3 HIGHEST
3 LOWEST
Spain
Austria
Brazil
Bolivia
Michigan
China
Federal
30
14
44
30
13
43
30
13
43
15
10
25
2
11
13
5
7
12
10
10
Public Holidays

There are 10 public holidays.

Sick Days

Employees are paid for sick leave starting from the 5th day of illness for a period of 26 weeks within a one-year time period. The employee must produce a medical certificate proving illness. If medical care can be proven to prevent permanent disability, the sick leave may be extended for another 26 weeks.   

For common illnesses, an employee is entitled to100% pay. However, the employer is entitled to be reimbursed for 75% from social security.  

Maternity Leave

Mothers are entitled to a total of 90 days, broken down into 45 days before the expected due date and 45 after the birth of the child. Pay given to a mother on maternity leave is 100% of the national minimum wage.  However, the employer is entitled to receive a 90% reimbursement from social security.   

From the 5th month of pregnancy, the mother is entitled to a prenatal subsidy and a nursing subsidy until the child is 1 year old. Both subsidies are the equivalent of one month’s salary per month.  

From the date that the child is born, mothers receive job protection for 1 year.  

PAID MATERNITY LEAVE (DAYS)
413
410
365
90
45
30
0
Norway
Bulgaria
Serbia
Bolivia
United Arab Emirates
Tunisia
Federal
3 HIGHEST
3 LOWEST
Paternity Leave

For the birth of a child, fathers are entitled to 3 days’ pay. From the date that the child is born, fathers receive job protection for 1 year. 

Parental Leave

There are no provisions in the law regarding parental leave.

Termination

Termination Process

Justified dismissal- An employer can terminate an employee based a prescribed list of reasons considered to be just cause on Article 16 of the General Labor Law.   

Unjustified dismissal- An employer can terminate an employer at any time for unjustified reasons. However, if this is the case, the employee can request to receive severance or demand his/her job back with the ministry of labor.  

Notice Period

According to Bolivian labor law, there is no mandatory notice period. 

Severance Pay

Severance for unjustified dismissal is equal to one month pay for each year of service.  

Employees also receive their Christmas bonus, holiday pay and bonus.  

Probation Period

Max length of 3 months.  

VAT

General

The standard VAT rate is 13%.

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