Payroll Outsourcing in Chile | INS Global
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Payroll Outsourcing in Chile

Pay Your Employees Across The Globe

When you have employees operating in multiple countries, organizing payroll and keeping your structure compliant with all local regulations can take up a large portion of your time. That’s why seeking a payroll outsourcing partner like INS Global can save you time, money, and hassle, allowing you to focus on what matters most to your growth. 

INS Global is an international provider of HR outsourcing services to more than 80 countries worldwide. We can give you the peace of mind you need to succeed in Chile alongside innovative global payroll solutions.   

Payroll Outsourcing in Chile - Summary

The Benefits of Payroll Outsourcing in Chile

Constantly Updated Procedures

INS Global’s experienced legal experts understand what it takes to monitor and update payroll processes at all times in order to match regulatory changes as they happen. 

Minimize Waste, Minimize Delays

Innovative multi-country payroll processes keep you efficient and compliant at all times, meaning your staff in Chile are paid on time, all the time. 

More Flexible Operation Capabilities

Your staff is covered, whether it’s a single employee or a hundred, meaning you’re free to pursue opportunities as they arise. 

An Experienced Provider Dedicated to Your Needs

Being compliant with local tax and payroll regulations requires in-depth knowledge. INS Global provides you with the support and structures you need to succeed. 

All Your Payroll Needs Through a Single Point of Contact

Support your staff with expertise in every time zone, ensuring you’re covered whenever and wherever you need it 

How INS Global Can Help You Manage Payroll in Chile

When you need to manage payroll for your staff in Chile, ensuring that they’re paid on time and following all local laws is complex. It requires specialized staff and payroll functions to keep you compliant, which means higher costs and more staff.  

  • First, your staff needs a local company structure to hire and organize HR functions for them overseas.  
  • In Chile, your company structure will need to open bank accounts that can handle both local and international currencies.  
  • You need employment contracts that are compliant with local labor regulations, and HR staff that understand all local tax and insurance requirements. 
  •  Finally, your staff will need to constantly and closely watch for any changes to regulations, and make adjustments to ensure you stay compliant to avoid costly or dangerous errors.  

INS Global offers an alternative to these requirements. We can guarantee that all your payroll function needs are met for a single monthly fee and minimal oversight time. We can consolidate your HR needs in Chile through our local PEO (Professional Employer Organization) Chile, handling all your required payroll functions and acting as a global EOR (Employer of Record) on your behalf. 

testimonial from Manuel Ramos

Testimonial

Manuel Ramos

TERAO ASIA

Managing Director

We think INS Global is a good solution about starting in a market like China. Understanding the market doesn’t mean you need to set up a company immediately. 

5/5

What Payroll Taxes are Necessary for Chile?

When organizing payroll for employees in Chile, there may be differences between foreign and local staff in what they should be paid and what you as the employer should deduct. After taxes on personal income have been paid (around 4-35% depending on the income), there are several additional payroll taxes that mainly cover social insurance contributions. Foreign employees who aren’t residents are typically exempt from social security contributions, as they don’t automatically benefit from these services.  

Local staff (and foreigners who are not exempt) are subject to social security contributions deducted from salary equaling around 20%, or a set amount in Chilean pesos. In addition, there is unemployment insurance to be paid by both the employee (0.6%) and employer (2.4%) and a chosen medical insurance plan.  

Pay slips must be provided for all employees in Chile, and employers must keep a signed copy. However, these pay slips may be delivered digitally.  

Expert Payroll Outsourcing Support for Your Operations in Chile

Keeping your staff secure and supported in Chile can be done effectively through INS Global’s innovative international payroll outsourcing solution 

INS Global provides comprehensive HR outsourcing solutions, including payroll, invoicing, PEO, EOR, and recruitment in over 80 countries worldwide.  

Contact our team today to learn more about how our experts can help you achieve your global expansion goals.  

CONTACT US TODAY

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FAQs

No, it is necessary to use a local entity abroad to comply with each country labor law.

Foreign companies can either set up a local entity in each country or use the services a local PEO (Professional Employment Organization) to hire the staff on-site directly.

The employer of record is the legal entity liable for the staff employed in a specific country. In practice, a foreign company can either open a subsidiary to become the employer of record of its abroad employees or use a PEO to act as the employer of record.

Liabilities may vary from country to country and include all the staff management responsibilities: labor contract issues, payroll management, and tax compliance, social security management, expenses claim declaration, hiring and termination
procedures, etc.

In general, 1-month is necessary to have an employee based out abroad using an existing PEO as the employe of record. When incorporating a new subsidiary to be the employer of record, the delay varies from 4-12 months.