To make sure your new team member is paid on time, it's important to understand the payroll cut-off dates in the country where you're hiring. In most LATAM countries, local labor laws require that team members are paid in the same month they start working. This means that onboarding must be completed by the payroll cut-off (on or around the 15th), or the start date will be moved to the first business day of the following month.
New Hires cut-off per country - only applicable for onboardings -
| Country |
Payroll Cut-off |
Payment Dates* |
Payroll Cycle |
|---|---|---|---|
| Argentina* | 20th of each month | Last working day of the month | Monthly |
| Bolivia | 15th of each month | 30th of each month | Monthly |
| Brazil | 15th of each month | 15th & last day of each month |
Advance - Monthly |
| Chile | 15th of each month | Last working day of the month | Monthly |
| Colombia | 13th of each month | 25th of each month | Monthly |
| Costa Rica | 15th of each month | 25th of each month | Monthly |
| Dominican Republic* | 20th of each month | Last working day of the month | Monthly |
| Ecuador | 15th of each month | 25th of each month | Monthly |
| El Salvador** | 15th of each month | 25th of each month | Monthly |
| Guatemala | 15th of each month | 25th of each month | Monthly |
| Honduras | 15th of each month | 25th of each month | Monthly |
| Jamaica | 15th of each month | 25th of each month | Monthly |
| Mexico |
Changes every month - Link |
15th & last day of each month | Bi-monthly |
| Nicaragua | 15th of each month | 25th of each month | Monthly |
| Panama | 15th of each month | 15th & last day of each month | Bi-monthly |
| Paraguay | 15th of each month | Last working day of the month | Monthly |
| Peru* | 15th of each month | 25th of each month | Monthly |
| Uruguay* | 15th of each month | 25th of each month | Monthly |
*Countries where ad-hoc requests may be granted with Payroll approval. This option might have additional fees. Have in mind that the employee won’t be paid in the same month, but in the first weeks of the following month.
** Be aware that for El Salvador, employees must receive their first payment deposit in the same month they are hired.
Why does the payroll cut-off matter when I’m adding a new hire?
In countries with strict payroll cut-offs, team members can only be added to the monthly payroll if their onboarding is completed before the local cut-off. If the deadline is missed:
- The team member can’t legally start working due to labor laws that require individuals to be paid in the same month they begin working.
- Their first paycheck may be delayed until the next month which isn’t compliant.
- It may cause frustration for you and the new team member.
What happens if my team member’s start date is after the cut-off?
In countries with strict payroll cut-offs, if the onboarding process isn’t completed by the payroll cut-off, our team will move the start date to the first business day of the following month.
In countries with *, ad-hoc requests may be granted with Payroll approval. This option might have additional fees. Have in mind that the employee won’t be paid in the same month, but in the first weeks of the following month.
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