Employer of Record in Argentina: A Complete Guide for 2026

Introduction

An Employer of Record (EOR) in Argentina is a local entity that hires employees on your behalf and takes on all legal employment obligations. Instead of setting up your own Sociedad Anónima (SA) or Sociedad de Responsabilidad Limitada (SRL), you work through an EOR that holds the legal employment relationship, handles payroll, manages contributions, and keeps you compliant with local labor law.

Companies use an EOR to hire in Argentina without a local entity, a bank account, or direct dealings with government agencies.

Under Argentina's Employment Contract Law (Ley de Contrato de Trabajo, or LCT), employers must:

• Register employees with ARCA (Agencia de Recaudación y Control Aduanero)
• File social security contributions at approximately 26.4% of gross salary
• Pay the aguinaldo (13th-month salary) in two installments
• Carry ART (Aseguradora de Riesgos del Trabajo) workplace insurance

Carry ART (Aseguradora de Riesgos del Trabajo) workplace insurance

This guide covers employment rules, payroll contributions, termination obligations, visa requirements, and how an EOR simplifies hiring in Argentina.

Book a demo to see how Skuad supports your first Argentina hire.

Key Takeaways

• Skuad acts as the legal employer in Argentina from $249/month per employee, with no local entity required
• Employer social security contributions total approximately 26.4% of gross salary, covering pension, healthcare (Obra Social), PAMI (Programa de Atención Médica Integral), family allowances, and the national employment fund. ART workplace insurance adds roughly 2%
• The aguinaldo (Sueldo Anual Complementario, or SAC) is a mandatory 13th-month salary, paid in two equal installments in June and December
• Onboarding through an EOR takes one to two weeks, compared to several months for entity setup
• Employees dismissed without cause are entitled to severance of one month's salary per year of service, plus accrued aguinaldo and unused leave

Try the employee cost calculator to estimate your all-in cost for an Argentina hire.

Argentina at a glance

Estimated Population: 46 million

Currency: Argentine Peso (ARS)

Capital: Buenos Aires

Languages frequently used: Spanish, Guarani, Welsh, and Wichi

GDP: USD 638.37 billion

How does an Employer of Record work in Argentina?

An Employer of Record (EOR) in Argentina is a local entity that hires employees on behalf of a foreign company. The EOR holds the legal employment relationship under Argentina's LCT, which means it is responsible for employment contracts, ARCA registration, payroll processing in Argentine pesos, social security contributions, Obra Social enrollment, ART workplace insurance, and Aguinaldo payments. The client company directs the employee's day-to-day work.

This structure lets companies hire in Argentina without incorporating a local Sociedad Anónima (SA) or Sociedad de Responsabilidad Limitada (SRL), which requires capital deposits, bank account setup, ARCA registration, and ongoing compliance filing.

What Skuad helps with as the legal employer in Argentina:

• Employment contract generation aligned with the LCT across 160+ countries
• ARCA registration and social security contribution filing
• Payroll processing in ARS (Argentine pesos) with statutory deductions and aguinaldo calculations
• Obra Social healthcare enrollment and ART insurance
• Termination and offboarding, including notice periods and severance calculations
• Work permit and visa support for foreign nationals

Book a demo to see how Skuad supports hiring in Argentina without entity setup.

What are the employment laws and entitlements in Argentina?

Argentina's Employment Contract Law (LCT) sets standard working hours at 8 hours per day and 48 hours per week, mandates paid annual leave starting at 14 days, provides 90 days of paid maternity leave through the social security system, and protects employees against discrimination based on gender, race, nationality, ideology, or religion.

Employers must also observe Argentina's public holidays and provide special leave for events like marriage, childbirth, and bereavement. Here's the full breakdown of employee entitlements.

Contractors vs full-time employees

Businesses hiring in Argentina can engage workers as either full-time employees or independent contractors. The right model depends on business needs, compliance obligations, and workforce management requirements.

Skuad supports both hiring models from a single platform:

EOR for full-time employees

• Acts as the legal employer across 160+ countries, so you can hire without setting up a local entity
• Supports employment contract generation aligned with local labour laws across supported markets
• Facilitates statutory contribution workflows covering applicable social insurance and pension obligations
• Facilitates payroll processing in 70+ currencies with automated tax withholding and year-end reconciliation
• Helps administer statutory benefits, paid leave, and parental entitlements in line with local requirements
• Assists with termination and offboarding, including notice periods and severance calculations as required locally

Full-time or contractor, Skuad supports both. See pricing

How do you hire employees in Argentina?

Companies hiring in Argentina generally have access to established recruitment channels, including online job portals and professional networking platforms. LinkedIn remains a popular option for identifying and engaging qualified candidates.

Other local job search sites like Bumeran, ZonaJobs, etc., also help companies in scouting the best talent. The recruiters then conduct several rounds of testing to analyze and understand the candidate’s potential and choose the best fit for the role.

Once a candidate is selected, employers must complete onboarding requirements, including employment contracts, payroll registration, tax withholding setup, and enrollment in applicable social security programs.

For international companies, managing these requirements without local expertise can increase administrative complexity and compliance risk. An Employer of Record (EOR) can help streamline hiring, onboarding, payroll, and ongoing employment compliance without requiring the company to establish a local entity.

Skuad handles onboarding, contracts, and payroll registration so you can hire in Argentina without managing these steps locally. Book a demo.

What are the probation and termination rules in Argentina?

Probation period in Argentina

The standard probation period in Argentina is 6 months for indefinite-term employees. In some cases, collective bargaining agreements may extend the probation period for smaller employers.

During probation, either party may terminate the employment relationship without cause and without severance pay. Employees must be registered with the relevant tax and social security authorities from their first day of employment, and all statutory social security contributions apply throughout the probation period.

Termination of employment in Argentina

Employers terminating an employee without cause in Argentina must provide 1 to 2 months' notice (depending on length of service) and pay severance of one month's salary per year of service, plus accrued aguinaldo, unused vacation pay, and the integration month payment. Either party can terminate during the 6-month probation period without notice or severance.

During the probation period, either party can terminate employment without notice or severance pay.

Employees resigning after probation are generally required to provide 15 days' notice. Employers terminating an employee without cause must provide:

Types of visas in Argentina

Most foreign employees hired through an EOR in Argentina need a Working Visa (Visa de Trabajo) or a Visa for Expatriate Staff, depending on the length and nature of the assignment. Short-term business visitors may qualify for a Business Visa instead. Argentina also offers visa categories for students, family reunification, and specific professional activities. The table below covers the most common types.

Work visa requirements

Foreign employees applying for a work visa may be required to provide:

• A valid passport
• Completed visa application form
• Passport-sized photographs
• Employment contract or job offer from the sponsoring employer
• Supporting corporate documentation from the employer
• Evidence of qualifications or professional credentials, where applicable
• Additional documents requested by Argentine immigration authorities

Work visa process

• Obtain a job offer or employment contract from an Argentine employer or sponsoring organization.
• Submit the visa application and supporting documents through the appropriate Argentine consular office.
• Complete any required immigration or identity verification procedures.
• Receive visa approval and travel authorization.
• Upon arrival, complete any applicable residency or registration requirements before commencing employment.

Navigating visa and work authorization requirements can be time-consuming, particularly for companies hiring international talent without local immigration expertise. Managing application processes, supporting documentation, and ongoing compliance obligations often requires coordination across multiple stakeholders and government authorities.

Skuad's global immigration support to help manage work permit requirements, including:

• Supporting work permit and visa applications for foreign employees joining your team
• Helping coordinate visa documentation with relevant local immigration authorities
• Helping track documentation requirements and deadlines across the full permit lifecycle
• Helping keep your team aligned with compliance requirements as permit rules change

How do work permit rules look in Argentina?

What are the payroll & tax rules in Argentina?

Employers in Argentina pay social security contributions of approximately 24% to 26.4% of gross salary, depending on the company's sector and size classification. This is uncapped, meaning it applies to the full gross salary regardless of how high it is.

Employees contribute 17% of gross salary toward pension, healthcare, and social services, subject to a monthly earnings cap. ART (workplace insurance) is a separate, mandatory cost on top of employer contributions.

Employer contributions table:

Notes:

• Services and commerce companies above certain revenue thresholds pay the higher 26.4% rate (20.4% aggregate social security + 6% Obra Social). Smaller companies and other sectors pay 24% (18% + 6%)
• The employer rate has no salary cap. Unlike employee contributions, it applies to the full gross salary
• ART is contracted directly with a licensed insurer. Office-based roles typically fall at the lower end (1-2%); construction and industrial roles at the higher end

Employee deductions table:

Notes:

• The 17% employee social security contribution is capped. Above the monthly ceiling, no further employee contribution applies. The cap is adjusted periodically by ARCA. As of August 2026, the cap is ARS 4,594,798 per month
• In June and December, the cap increases by 50% to account for aguinaldo payments
• Income tax applies only to employees whose earnings exceed the tax-free threshold after personal and family deductions

Employer contributions, ART insurance, and aguinaldo add up fast. Calculate your total cost for an Argentina hire, or book a demo to see how Skuad runs payroll in ARS.

What is the Aguinaldo and how is it calculated in Argentina?

The Aguinaldo, formally called the Sueldo Anual Complementario (SAC), is a mandatory 13th-month salary in Argentina. It is regulated by Article 122 of the Ley de Contrato de Trabajo (LCT, Law 20,744), as amended by Law 27,073, and supplemented by Law 23,041 and Decree 1078/1984. Every registered employee is entitled to it.

The aguinaldo is paid in two installments per year:

• First installment: Due by June 30. Equals 50% of the highest gross monthly salary earned between January and June
• Second installment: Due by December 18. Equals 50% of the highest gross monthly salary earned between July and December

The calculation uses the single highest gross monthly salary in the semester, not the average. It includes all remunerative components: base salary, overtime, commissions, and any salary supplements.

Proportional aguinaldo

Employees who have not completed a full semester (new hires or mid-year terminations) receive a proportional aguinaldo based on days worked:

• Formula: (Best gross salary of the semester ÷ 2) ÷ total days in the semester × days worked

Aguinaldo on termination

When employment ends for any reason, the employer must include proportional aguinaldo in the final settlement. This applies regardless of whether the termination is with or without cause.

Employer cost impact

Standard employer social security contributions (24% to 26.4%) apply to aguinaldo payments at the same rate as regular salary. The employee social security cap increases by 50% in June and December to account for these payments

Skuad handles aguinaldo calculations, accrual, and disbursement as part of payroll processing in Argentina.

What is the total cost of hiring an employee in Argentina?

The total employer cost in Argentina goes beyond gross salary. Employer social security contributions, ART insurance, and aguinaldo accruals add roughly 37% to 40% on top of the monthly gross, depending on the company's sector and ART rate.

Worked example: mid-level employee at ARS 1,500,000/month gross

Notes:

• This example uses the 26.4% rate applicable to services and commerce companies. Smaller companies and other sectors pay ~24%
• ART rates vary from 1% to 5% based on industry risk. Office roles typically fall at 1-2%; construction and industrial roles at the higher end
• A monthly detracción of ARS 7,003.68 per employee is deducted from the social security base, which slightly reduces the contribution at lower salaries
• Salary data sourced from Secretaría de Trabajo SIPA report and Sysarmy 2026.1 survey

Try Skuad's employee cost calculator for a custom estimate

What are the risks of hiring in Argentina without an EOR?

Hiring in Argentina without local expertise or a compliant employment setup exposes companies to financial penalties, legal claims, and operational disruption. Here are the most common risks.

• Worker misclassification: Engaging someone as an independent contractor when the relationship functions like employment can trigger reclassification under Argentina's LCT. If a labor court reclassifies the worker, the employer owes back payment of all social security contributions, aguinaldo, unused leave, severance, and penalties. Argentina's labor courts tend to rule in the employee's favor.
• Severance miscalculation: Employees dismissed without cause are entitled to one month's salary per year of service, plus accrued aguinaldo, unused vacation pay, and the integration month payment (salary for the remainder of the termination month). Missing any component exposes the company to labor claims and additional damages.
• Missed ARCA registration or contribution filing: Employers must register employees with ARCA before their first day of work. Late registration, incorrect Obra Social assignment, or missed contribution payments result in fines and penalties from ARCA. Social security contributions apply from day one, including during probation.
• Obra Social and ART non-compliance: Failing to enroll employees in an Obra Social health fund or to carry ART workplace insurance leaves the employer directly liable for medical costs, workplace injuries, and occupational illness claims.
• Aguinaldo non-payment: The aguinaldo is not discretionary. Failure to pay the SAC on time (by June 30 and December 18) constitutes a breach of the employment contract. Under LCT Article 242, an employee can treat non-payment as grounds for constructive dismissal and claim full severance.

An EOR in Argentina takes on these obligations as the legal employer, so compliance risk sits with the EOR rather than your company.

Book a demo to see how Skuad manages employment compliance in Argentina.

How do you set up a subsidiary in Argentina?

EOR vs entity setup in Argentina: which is right for you?

Setting up a local entity in Argentina (typically a Sociedad Anónima or SRL) gives you full control but comes with capital requirements, registration timelines, and ongoing compliance obligations. An EOR lets you hire immediately without any of that. Here's how they compare.

For most companies hiring their first 1 to 10 employees in Argentina, an EOR is faster and lower-risk. Entity setup becomes more cost-effective as headcount grows and the business has a long-term commitment to the market.

Book a demo to see how Skuad gets your first Argentina hire onboarded in weeks.

What is the difference between a PEO and an EOR in Argentina?

A Professional Employer Organization (PEO) co-employs your workforce alongside your own entity. An EOR replaces the need for an entity entirely. Here's the difference.

If you don't have an entity in Argentina and don't plan to set one up, an EOR is the simpler path. A PEO only works if you already have a local presence.