Employer of Record & Payroll Services

Employing in Peru

Peruvian legislation spells out provisions for employee protections and workers’ right applicable to Peru’s workforce of 16.1 million. These provisions are spelled out across the 1993 Constitution, the 2002 ratification of the labour code, and a number of international labour statutes Peru is signatory to.

Employees in Peru enjoy protections against discrimination based on age, religion, sexual orientation, gender expression, and race.

Common questions that could come up during the hiring process include minimum wage, overtime rates, and guaranteed paid time off. Remote can help you offer a complete, competitive, and compliant benefits package to your employees in Peru.

Minimum Wage

The Peruvian minimum wage is fixed at 1,130 PEN per month, equivalent to roughly $302 per month.

13th and 14th Pay

Peruvian employees are entitled to two additional pay payments known as the 13th and 14th Pay. These are paid in two instalments and both are equivalent to a monthly remuneration:

Employees who have less than six months of services receive the payment prorated as per the months worked. Each of these bonuses is equivalent to an additional pay if the entire semester is worked, which is understood from January to June (National Holidays bonus), and from July to December (Christmas Bonus).

Payroll Cycle

For customers of Remote, all employee payments will be made in equal monthly instalments on or before the last working day of each calendar month, payable in arrears.

Onboarding Time

We can help you get a new employee started in Peru fast. The minimum onboarding time we need is only 5 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.

15 Public holidays

2025-01-01
2025-04-17
2025-04-18
2025-05-01
2025-06-29
2025-07-23
2025-07-28
2025-07-29
2025-08-06
2025-08-30
2025-10-08
2025-11-01
2025-12-08
2025-12-09
2025-12-25

New Year's Day (Año Nuevo)
Maundy Thursday (Jueves Santo)
Good Friday (Viernes Santo)
Labor Day (Dia del Trabajo)
Feast of Saints Peter and Paul (San Pedro y Pablo)
Peruvian Air Force Day (Día de la Fuerza Aérea del Perú)
Independence Day (Independencia)
Independence Day (Independencia)
Junin Battle (Batalla de Junín)
Santa Rosa of Lima (Santa Rosa de Lima)
Battle of Angamos (Batalla de Angamos)
All Saints' Day (Dia de Todos los Santos)
Feast of the Immaculate Conception (Fiesta de la Inmaculada Concepcion)
Ayacucho Battle (Batalla de Ayacucho)
Christmas Day (Navidad)

Competitive benefits package in Peru

Health Insurance

Dental Insurance

Vision Insurance

Mental health support

Pension or 401(K)

Life and Disability Insurance

Local market insights

Statutory Benefits

13th and 14th salary payments

Peruvian employees are entitled to two additional salary payments known as the 13th and 14th Salary. These are paid in two installments.

Family allowance

Employees who are responsible for one or more children under 18 years of age or of legal age attending higher education, are entitled to receive an allowance of 10% of the current minimum wage.

Compensation for time of services (CTS)

This is equivalent to an ordinary remuneration which will be deposited by the employer in the financial institution chosen by the employee within the first fifteen calendar days of the months of May (50%) and November (50%) each year. CTS is more commonly known as a "settlement payment" or “retirement payment” in other jurisdictions.

Facts & Stats

The Republic of Peru (Republic del Peru) is a South American country with over 5,000 years of recorded civilization, boasting among others a megadiverse cultural and biological heritage, Machu Picchu, and the ever-cryptic Nazca Lines.

Peru is a burgeoning economy with an upper middle-income level, an average human development ranking, and one of South America’s fastest growing economies.

Capital City

Lima

Currency

Peruvian sol

Languages

Spanish, Quechua, Aymara

Population size

32,824,358

Ease of doing business

Easy

Payroll frequency

Monthly

VAT - standard rate

18%

Grow your team in Peru with Remote

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

Risks of misclassification

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

Payroll

47

per employee/month

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

48

per contractor/month

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

1155 989