Overview

Capital
Santiago
Currency
Peso
Date Format
dmy

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Taxes

Employer
2.40% - Unemployment Insurance
0.95% - Occupational Accident
Employee
10.00% - Pension Plan
0.60% - Unemployment Insurance
7.00% - Health Plan
0.00% - 634,756.50
4.00% - 634,756.5 - 1,410,570
8.00% - 1,410,570 - 2,350,950
13.50% - 2,350,950 - 3,291,330
23.00% - 3,291,330 - 4,231,710
30.40% - 4,231,710 - 5,642,280
35.00% - 5,642,280 +

Minimum Wage

General
The monthly minimum wage is 276,500 CLP ($410)

Working Hours

General
Full time employment is considered 45 hours weekly.
Overtime
Overtime is calculated at 150% of normal hourly wages

VAT

General
19% standard rate.

Payment

Payroll Frequency
All companies have their own payroll and benefit structure. Payments however must be made at least monthly.

Mandatory Benefits

Pension Fund
Employees contribute 10% of their monthly wages, employers are not obligated to contribute.
Social Security
Employers are required to contribute 3.35% of wages. Employee contributes equal to 17.6% of their salary.

Termination

Termination Process
Employers must provide their employees 30 days notice of termination.
Advance Notice
While dependent on contract specifications, the standard notice period is 30 days.
Severance Pay
Employees are entitled severance payment of one months salary for each year they were employed by the company.