Employer of Record in Hungary (EOR in Hungary)
Last updated
- Capital City
- Budapest
- Languages
- Hungarian
- Currency
- Hungarian Forint (HUF)
- Population Size
- 9,552,000
- Employer Taxes
- 130,000
- Employee Costs
- 335,000
- Payroll Frequency
- Monthly
Hire Globally, Pay Locally, Expand Effortlessly
INS Global’s EOR in Hungary can be your local partner for HR services outsourcing.
EOR (Employer of Record) can provide companies with a cost-effective, quick, and simplified global mobility and expansion strategy by taking care of essential HR services and offering compliance assurance in unfamiliar markets.
INS Global’s EOR in Hungary allows companies to hire or transfer employees within 48 hours.
An EOR in Hungary is an organization that acts as the Employer of Record for companies wishing to streamline the global expansion process.
By making hiring and managing overseas employees simpler, cheaper, and safer through their innovative technology-based EOR solution, INS Global offers locally based solutions to global employment problems.
Our team of global expansion specialists can help you achieve your goals in Hungary in a fraction of the time and costs of traditional company incorporation.
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Why Choose a EOR Over Company Incorporation in Hungary?
Expanding into a new country or market is often complicated. The long process of establishing a separate legal entity and incorporating it increases the costs and time spent before you can begin operations.
It also heightens the potential for problems due to with unfamiliar regulations.
By working with a Hungarian EOR, you can bypass a lot of the red tape and regulatory steps required to incorporate a company in the country. This will allow your employees in Hungary to begin operations immediately while also being assured of total legal compliance.
A EOR:
- Avoids high costs
- Avoids complications or delays
- Avoids bureaucratic complications
- Provides access to professional and technical expertise
PEO/EOR Vs Company Incorporation
The Advantage in Figures
| PEO/EOR | Company Incorporation | |
|---|---|---|
| Price | 80% Less Expensive | |
| Market Entry | 2-5 Days | 6 Months |
| Employee Turnover | Decrease by 14% | |
| Recommendation | 98% of the Current PEO Clients | |
| Administrative Fees | Saves an Average of $450 | |
| Costly Payroll and Compliance Fines | Help Avoid | |
| Company Growth Rate | 7 – 9% | |
| ROI | 27% | |
| Closed During Pandemic | -58% | |
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The Benefits of Working with a PEO or global EOR in Hungary
Assured Compliance
INS Global’s team of legal experts are always on hand to ensure total compliance with all local labor laws and regulations
Time and Cost Saving
A PEO agreement can have your employees operating in Hungary in a matter of days, rather than the months it would usually take through company incorporation
An Emphasis on Growth
We handle as many HR services as you need, allowing you to focus on what matters to your success targets
Market Entry Strategies
Our global expansion experts will provide you with their constant support and guidance
Streamlined Company Structure
We provide all the services of an entire HR team or department via a single point of contact
How We Enable Global Expansion Through Our Hungarian EOR
- 1
After making contact, we meet to discuss your needs in Hungary and prepare a strategy to suit you
- 2
Our EOR in Hungary provides you with the local entity necessary to transfer or hire employees
- 3
We organize the regulatory requirements of providing HR services to your employees
- 4
In just a matter of days, you and your employees can begin operating in Hungary
How Do PEOs and EORs Differ?
When deciding to expand into a new country through an HR outsourcing services provider, it is helpful to understand the differences between a PEO (Professional Employer Organization) and an EOR (Employer of Record).
While these two options provide many of the same services, they differ in how they deliver these services to your employees.
- A PEO is a third-party company that offers HR services to your employees
- These may include payroll or benefits management
- An EOR is a third-party company that offers the same services as a PEO but it also hires your employees on your behalf
- In this way, the EOR takes on all liabilities and responsibilities related to employment
- In a PEO agreement, the contract is made between the companies, whereas with an EOR, the contract is made with the employee and directed by the client company
Depending on your situational requirements, INS Global offers both PEO and EOR services in Hungary. You can read our article on the differences here or contact our team of specialists today to learn more and see which service is best for you.
INS GUIDES
Check Our Labor Law Guides
Learn how the Labor Law Guides is applied in all aspects and situations, from an employer and employee perspective.
Labor Law in Hungary - 2025
Employment Contracts In Hungary
All contracts in Hungary must be made in writing and set forth the basic job details and requirements to be considered valid.
Probation periods may not exceed 3 months.
The minimum amount of paid annual leave days an employee in Hungary is entitled to is 20 days, plus up to 10 extra days depending on the employee’s age.
There are a minimum of 11 days of paid public holidays in Hungary, with some others being unofficial but expected.
Types Of Leave
Employees in Hungary are eligible for up to 15 days of paid sick leave. This is paid at 70% of their standard salary by the employer.
Beyond 15 days, employees can provide proof of sickness and receive up to a year of sick leave. During this time, a sick leave benefit is paid 1/3 by the employer and 2/3 by social security.
Paid maternity leave in Hungary is 24 weeks. During this time, mothers are eligible for a maternity leave benefit of around 70% of their standard salary.
After the end of maternity leave, one parent may choose to take parental leave until the 2nd birthday of their child. During this time, they can receive childcare benefit.
Parents in Hungary are also entitled to a maximum of 7 extra days of paid annual leave, depending on the number of their children.
Taxes and Social Contributions in Hungary
Corporate tax in Hungary is 9%.
Personal income tax is a flat rate of 15% gross income.
As of 2023, employers should expect to contribute around 13% of their employee’s standard salary towards social security contributions. The employee’s contribution is 18.5%.
These social security contributions may not apply to non-Hungarian employees.
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Discover More Solutions in Hungary
Frequently Asked Questions
Global Employer of Record is an effective solution for companies looking to expand their workforce abroad effortlessly.
This approach allows you to outsource the international hiring process quickly and efficiently, providing access to a global talent pool while still managing payroll compliance in each country.
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