The model

Direct legal employment, not labour intermediation

This distinction matters more in Bolivia than almost anywhere. Your hire signs an employment contract with our Bolivian company, in Spanish, registered with the Ministry of Labour. We hold the tax registration, the health fund and pension enrolments and the payroll, and we assume every statutory obligation of an employer. You direct the work exactly as you would with your own staff.

Why we lead with this:Bolivian law restricts the subcontracting and intermediation of labour for tasks that are core and permanent to a company's own business, and where such an arrangement is used to avoid labour obligations the law can treat the end user as the real employer. An Employer of Record in Bolivia therefore has to be a genuine direct employer rather than a staffing supplier. We are explicit about our structure, and we would encourage any client to take Bolivian legal advice on how it applies to their situation rather than take a website's word for it.
What we do

Eight services, one monthly fee

Contracts & registration

Spanish language employment agreements drafted to the General Labour Law, covering role, pay, probation, hours and leave, then registered with the Ministry of Labour as required.

Boliviano payroll

Monthly payroll in bolivianos with payslips, the seniority bonus applied from year two, and every statutory component calculated on the correct base.

Social security

Health fund registration within the statutory window and monthly remittance of the full contribution stack covering health, pension, housing and solidarity funds.

Aguinaldo & bonuses

The thirteenth salary calculated on the correct three month average and paid before the December deadline, plus the second aguinaldo in any year it is triggered.

Tax & RC-IVA

Withholding administered correctly, including the invoice credit mechanism that lets employees offset their liability, which is unfamiliar to most foreign employers.

Benefits

Private medical cover on top of the public health fund, plus transport, meal and any voluntary benefits you want to offer your team.

Immigration

Work authorisation for foreign nationals, scoped honestly against the statutory cap on foreign headcount before any start date is agreed.

Exits & settlements

The part that matters most here. Performance documented, separations negotiated where possible, and the final settlement calculated and paid inside the window that avoids penalties.

Offboarding

How we handle exits, and why it is the core of the service

In most markets an Employer of Record earns its fee on onboarding. In Bolivia it earns it on the way out.

ComponentWhat it isWhen it applies
IndemnizaciónOne month of average pay per year of serviceAfter 90 days, on dismissal or resignation alike
DesahucioThree months of average payOnly where the dismissal is unjustified
QuinquenioAccrued service settled every completed five yearsCommon practice during employment
ProportionalsUnused leave, pro rata aguinaldo, wages owedAlways
ReinstatementAdministrative order to take the worker back with back payWhere dismissal was without statutory just cause
The practical approach:because a reinstatement order binds from notification and is not suspended by litigation, the compliant route in Bolivia is almost always a documented, negotiated separation rather than a unilateral dismissal. We plan that from the start of the relationship, not the week you decide to end it. Note too that a late final settlement is not a minor administrative slip: it attracts inflation updating and a substantial surcharge on top.
Contractor or employee

The shortcut that usually is not one

Given how protective the employment regime is, engaging Bolivian talent as independent contractors looks attractive. It is worth understanding what that actually exposes you to.

Contractor

Genuinely independent

Works to a deliverable rather than a schedule, uses their own tools, carries their own risk, invoices for services and works for others. Lawful, and common for genuinely project based work.

Employee

In substance, employment

Works set hours under your direction on core, continuing business. Bolivian law applies the primacy of reality: what the relationship actually looks like governs, not what the agreement calls it.

The exposure:a contractor found to have been an employee brings with them backdated social security contributions, unpaid aguinaldos, accrued indemnity and leave, plus the full protection of the dismissal rules from the date the relationship is deemed to have started. Converting a long standing contractor to proper employment through an Employer of Record is one of the most common reasons companies come to us, and it is far cheaper done deliberately than discovered later.
Payroll & contributions

What sits on a Bolivian payslip

Employer cost is moderate and predictable. The features that surprise foreign employers are the aguinaldo, the seniority bonus and the way income tax interacts with consumer invoices.

  • Employer contributions of 16.71 percent of gross pay
  • Employee contributions of 12.71 percent, withheld
  • Health fund, pension, housing and solidarity funds covered
  • Income tax at a flat rate, largely offset by employee invoices
  • Aguinaldo of one month, due by 20 December
  • Seniority bonus applied monthly from year two
  • Annual leave rising from 15 to 30 days with service
  • All salaries paid in bolivianos
Foreign nationals

Work authorisation, and the headcount cap

Most people hired this way in Bolivia are Bolivian nationals, who need no permit. For foreign nationals there is an extra step and a real constraint.

CandidateWhat appliesTypical timeline
Bolivian nationalNo permit requiredOnboard in about 2 weeks
Foreign national already residentExisting residence and work authorisation2 to 3 weeks
Foreign national from abroadObjeto determinado visa, then temporary residenceSeveral weeks to a few months
Documents issued abroadApostille or legalisation plus Spanish translationAdd several weeks
The cap to plan around:Bolivian law limits foreign nationals to a minority share of any employer's workforce, and because work authorisation attaches to a named employer, that limit applies to us as the employer rather than to you. We can sponsor foreign nationals, but there is a ceiling on how many we can place across all clients, so tell us early if your plan involves several. We are not immigration advisers and will refer you to Bolivian counsel where a case needs it.
Currency & payments

How funds reach your team

Bolivia has had a genuinely difficult few years for foreign currency access, and the exchange regime changed materially in 2026. We would rather explain it than let you discover it.

You pay in hard currency

We invoice in US dollars or euros ahead of the pay run, so you settle from the accounts you already hold and never need a Bolivian banking relationship.

We pay in bolivianos

Salaries are legally denominated and paid in bolivianos. We hold the local accounts, convert, and disburse to employee accounts on schedule.

The rate is shown, not buried

The long standing fixed rate was replaced by a managed float in 2026 and the currency has moved since. We show the rate applied on every invoice rather than embedding an assumption.

Beyond Bolivia

EOR across the Andes and the Southern Cone

Companies hiring in Bolivia are usually building a wider Latin American team. Through our network we can employ and pay staff across the region under one relationship.

Peru, Colombia & Chile

The Andean markets, each with its own social security and severance regime, and the usual next step for a team that starts in Bolivia.

Argentina & Paraguay

The Southern Cone neighbours, often compared on cost when a company is deciding where to place a nearshore team.

One partner, one invoice

Consolidated employment across the region, so you brief us once and we handle the country by country detail.

Tell us who you want to hire

Share the role and the gross salary and we will map the exact cost, both sides, with a timeline.