Macedonia PayrollReading Time: 2 minutes
Macedonia is a landlocked country in southeast Europe that’s located on the Balkan Peninsula. It’s a great location for companies that want to create business ties in southeast Europe and expand across borders. However, your company has multiple areas to consider throughout the incorporation process, starting with payroll. You have to decide on a Macedonia payroll option, set up your payroll to stay compliant with local labor laws, and continue to run both of your company’s locations.
Globalization Partners can make a difference with Macedonia payroll outsourcing. We’ll hire employees as the Employer of Record and assign them to work for your company. Then, we’ll add them to our locally compliant payroll so that you don’t have to worry about setting up your Macedonia payroll.
Taxation Rules for Your Macedonia Payroll
Employers in Macedonia have to follow taxation rules for the company and employees. Your employees have to contribute 10% of their salaries as personal income tax, which employers withhold from all employees’ salaries. As an employer, you also have to take the following contributions from salaries:
- 18% for pension and disability insurance
- 7.3% for health insurance
- 1.2% for employment insurance
- 0.5% for additional health insurance
Macedonia Payroll Options
Payroll is not one-size-fits-all, and there are four Macedonia payroll options you can choose from, including:
- Internal: Larger subsidiaries that want to work in Macedonia for years to come may consider adding employees to an internal payroll. You’ll need a larger HR staff if you choose this option as well as an expert in local labor laws.
- Remote: You can also choose to pay employees remotely using the payroll you run out of your parent company. However, the two sets of employees will have separate regulations and tax codes to follow.
- Macedonia payroll processing company: A local Macedonia payroll processing company will outsource your payroll, but they can’t handle compliance. You’ll still be the company responsible for meeting employment compliance laws.
- Global PEO: A global PEO such as Globalization Partners can offer Macedonia payroll outsourcing services for companies that are expanding. We can take care of setting up your payroll, and we’ll be the company responsible for compliance instead of you.
What Do You Need to Set up Payroll?
If you expand to Macedonia without the help of a global PEO, you’ll have to establish a subsidiary in the country before you can set up your Macedonia payroll and hire employees. The incorporation process depends on a variety of factors, and it can take several weeks or even months before you can start working. Instead of losing valuable time, take advantage of the fact that Globalization Partners offers Macedonia payroll outsourcing that can help you become productive sooner.
Necessary Entitlement and Termination Terms
Sometimes terminating an employment contract can be more difficult than creating one. Including entitlement and termination terms in a contract ahead of setting up your Macedonia payroll can protect both you and your employees. Typically, employers should find terminated employees new employment, pay for training, or give one month’s salary for every two years of service as a severance payment.
Work With Globalization Partners Today
Globalization Partners wants to make your global expansion a little easier. Contact us today to learn more about Macedonia payroll outsourcing.