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From
$249/month
$49/month
2% of gross salary / month
Horizons provides compliance solutions to ensure your business in Costa Rica operates in line with local labor laws and tax regulations. Businesses benefit from hiring in, investing in, or job outsourcing to, Costa Rica in a range of industries, from customer service, to accounting services, to software development.
We also process monthly payroll, and, as a Costa Rica Employer of Record, absorb all local employer liabilities. Partnering with our Costa Rica EOR is the quickest and most cost-effective way to enter the Costa Rican market.
Note, a Costa Rica Employer of Record is also known as a Costa Rica Professional Employer Organization (PEO).
Hire in Costa Rica, and pay employees through our platform or app.
Our Costa Rica EOR solution is the most affordable on the market.
Fast onboarding in Costa Rica, hire in as little as 24 hours.
We draft labor contracts compliant with Costa Rican labor law.
We administer all mandatory benefits and contributions in Costa Rica.
It doesn’t stop with Costa Rica — we are an international EOR
Jacqueline Pedroza
Regional Manager Americas
The vast majority – 95% – of our clients choose to hire staff in Costa Rica under an open-ended contract with a 3-month probation period. This has become the most common hiring practice in the country.
3 months (standard)
Contract of 3 – 6 months: 1 week Contract of 6 – 12 months: 2 weeks Contract of 1+ year: 1 month
7 – 22 days total, depending on years of service
3 months (standard)
Contract of 3 – 6 months: 1 week Contract of 6 – 12 months: 2 weeks Contract of 1+ year: 1 month
7 – 22 days total, depending on years of service
Costa Rica has a range of national public holidays that are celebrated annually. In 2025 these holidays are:
| Date | Holiday name |
|---|---|
| 1 Jan 2025 | New Year’s Day |
| 11 Apr 2025 | Juan Santamaría Day |
| 14 Apr – 16 Apr 2025 | Semana Santa (Holy Week) |
| 17 Apr 2025 | Maundy Thursday |
| 18 Apr 2025 | Good Friday |
| 1 May 2025 | Labour Day / May Day |
| 25 Jul 2025 | Annexation of Guanacaste Day |
| 2 Aug 2025 | Virgen de los Ángeles Day |
| 15 Aug 2025 | Mother’s Day/Feast of the Assumption |
| 15 Sep 2025 | Independence Day |
| 1 Dec 2025 | Army Abolition Day |
| 25 Dec 2025 | Christmas Day |
Female employees in Costa Rica are entitled to four months of paid maternity leave, with one month before giving birth and three months after. During this time, employers must pay half of their normal salary and social security covers the remaining half.
Some male employees are entitled to a lower allowance. For example, public sector employees can generally take up to eight days of paid paternity leave.
In general, employees in Costa Rica are entitled to 30 days of notice prior to termination, and must also be given one day per week (paid) to look for another job.
When employees are terminated without proper cause, they are entitled to a severance payment. This payment varies from between seven days and 22 days of pay, depending on their length of service with the employer.
Employees and employers in Costa Rica must both pay into the country’s social security system (known as the Caja). Employees must contribute around 9.5% of salary, while employers contribute around 34.5%.
The income tax rate in Costa Rica is set progressively, so employees pay more at higher income levels. The rates range from 0% to 25% of income.
Corporate tax in Costa Rica is 30% for most companies.
| Minimum Wage Country Comparison Chart | (Per month in USD) |
| Switzerland (Geneva) | $4,000 |
| Italy | $2,255 |
| Australia | $1996 |
| Algeria | $156 |
| Uzbekistan | $22 |
Setting up a benefits system for your employees in Costa Rica can be difficult to navigate, especially if you are unfamiliar with the country and its laws. If you want to tackle the setup independently, you can expect it to take several weeks and potentially cause delays to your expansion process.
Horizons can help you simplify this stage of your Costa Rica expansion by offering tailored benefit management outsourcing. Our experts will advise you on the best course of action and take care of your benefit setup and management, helping you focus on the important job of your Costa Rican expansion.
Hire borderless talent with Horizons
With Horizons, you get quick service, transparent pricing, and expert support.
Generally speaking, the terms “Costa Rica PEO” and “Costa Rica EOR” are used interchangeably.
In most cases, Horizons’ Costa Rica EOR can hire & onboard your employee within 24 hours. The actual start date of the employee will depend on their notice period obligation to their previous employer as well as any relevant hiring rules in Costa Rica.
It is possible to get a work visa in Costa Rica. Horizons’ Global Mobility team is a dedicated team of work visa experts. They assess the details of each case to determine feasibility and costs before Horizons applies for the work visa on behalf of your employee. If the Global Mobility team determines that your case is feasible, the process is smooth and transparent. Visa spots in Costa Rica are limited, however—get started today to secure your employees’ visa spot.
Holiday Schedule in Costa Rica [2025]
