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Payroll Uruguay

Automate payroll in Uruguay with Al-powered calculations, local BPS handling, and compliant payslips generated in seconds.

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Capital

Montevideo

Date Format

DD/MM/YYYY

Currency

UYU $

Payment Frequency

Monthly

Minimum Wage

$22268 UYU

Tax Year

Calendar

Timezone

UYT (GMT-3)

Employer Burden

12.6

Frequently asked questions

Can Ontop Run Payroll in Uruguay for Employees and Contractors?

Ontop supports payroll for both contractors and employees in Uruguay. The platform provides contractor (Arrendamiento de Servicios) contract templates and full EOR services for employees so you can choose the structure that fits compliance and operational needs.

How Does Ontop Calculate Employer BPS in Uruguay?

Ontop applies local employer contribution rules (typically around 18 - 23) and sector-specific rates when calculating payroll liabilities. The system presents a clear breakdown of employer charges during payroll preview so you know the total cost before approval.

Does Payroll in Uruguay Require Sueldo Anual Complementario (Aguinaldo) Payments?

Yes, mandatory bonus structures like Sueldo Anual Complementario (Aguinaldo) are common. The standard structure is 1 extra salary, usually paid in June and December or prorated across the year. Ontop supports both approaches and reflects proration on employees' payslips and in cost projections.

What Taxes Are Withheld From An Employee's Pay In Uruguay?

Employees typically see BPS deductions around 18 - 23 and progressive DGI income tax withholding between 0 - 36 depending on income bracket and region. Ontop calculates and withholds the correct amounts based on salary, location, and personal circumstances.

Can Ontop Show Total Employer Cost Before Hiring?

Yes, Ontop provides cost previews that include employer contributions, taxes, statutory charges (like Indemnización por Despido accruals), and regional variation. Use these previews to budget hires accurately and compare contractor versus employee scenarios.

Can Ontop Run Payroll in Uruguay for Employees and Contractors?

No. Ontop can operate as your Employer of Record (EOR), handling all legal employer responsibilities and registrations. You avoid the complexity and cost of setting up a local company. Alternatively, if you have an entity, Ontop can serve as your payroll processor.

What Are The Main Compliance Risks In Uruguay Payroll?

Common risks include misclassifying employees as contractors, missing DGI payment deadlines, and failing to adhere to Consejos de Salarios rules. Ontop's automation and expert support mitigate these risks.

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