- Country Guide
- Colombia
Colombia
Last Update by Katie, 20 Aug 2024
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Exchange Rate
18 Sep 2024
Cost of Living
Indicative value for a working adult in a city: Colombia
Publicly available data (Numbeo, etc..), verified by Marco’s in-country staff
| Living Requirement | Indicative Amount (COP) |
|---|---|
| McDonalds Set Meal | 25,000 |
| Monthly Train and Bus Tickets | 140,130 |
| 3 Bedrooms Rental (City Center) | 2,355,700 |
| 3 Bedrooms Rental (Outskirt) | 1,801,820 |
Current Inflation Rate
5.4%
Wage
Minimum Wages
- 1,300,606 COP per month
Median Salary
Estimated based on general positions such as HR, Accounting, Admin roles, in tier one cities.
| Job Level | Monthly Salary (COP) |
|---|---|
|
Entry-Level
Fresh Graduate
|
2,350,000 |
|
Mid-Level
5 Years
|
2,866,353 |
|
Experienced & Managerial Level
10 Years
|
9,050,000 |
|
Specialized & Senior-Level
15 Years
|
14,200,000 |
Annual Salary Growth
10%
Statutory Contribution
Salary split into 2 categories: Regular and integral.
The Minimum Monthly Wage (SMMV) and all social security contributions are based on the Ingreso Base de Cotización (IBC)
Country Level
| Type | Employer Rates | Employee Rates | Notes |
|---|---|---|---|
| Pension Fund (EPS) |
12% on 25 times SMMV If GDP in past 3 years is higher than 4%, 45 times SMMV |
4% | All staff and cannot exceed 25 times SMMV |
| Pension Solidarity Fund | - |
1%: salary over 4 times minimum monthly salary + 0.2% - 1%- salary over 16 times minimum salary 18,560,000 COP |
All staff |
| Mandatory Health Insurance (POS) |
8.5% Applied on 25 times SMMV |
4% Monthly salary SMMV 1,300,000 10% Monthly salary SMMV 1,300,000 - 3,900,000 12% Monthly salary SMMV over 3,900,000 |
All staff whose income between 10- 25 times SMMV |
| Accident Insurance (Aportes de Riesgos Profesionales) |
0.348% - 8.7% Applied on 25 times SMMV |
- | All staff based on their IBC category 1-6 |
| Payroll Tax |
9% (based on 100% for regular, 70% for integral) |
- | All staff with Income over 10 times SMMV |
| Family Welfare (ICBF) |
3% Applied on 25 times SMMV |
- | All staff with income under 25 times SMMV |
| National Apprenticeship Service (SENA) |
2% Applied on 25 times SMMV |
- | All staff with income over 10 times SMMV |
| Remote Working Allowance | 162,000 COP | - | All staff whit income over 2 times SMMV for 100% remote or hybrid working arrangements |
| Bonus/ Unemployment Insurance (CesantÃa) | 1 month salary per year | - | All full and part time staff |
| 13 Month Salary (Prima) |
15 days salary paid in June 15 days salary paid in December |
- | All full and part time staff |
Other Benefit
Other common employment benefits in Colombia include:
- Additional Health Insurance: 414,700 COP per month
- Postgraduate Study Benefit: Employers cover 50% of the total cost for staff
Income Tax
Residents
-
Taxable income calculated on Tax Unit (TU). 1 TU is 42,412 COP
Taxable period: 1st January - 31st December
Tax file due date: April of the following year
Country Level
| Taxable Income | Rate |
|---|---|
| 0 - 1,090 | 0% |
| 1,090 - 1,700 | 19% |
| 1,700 - 4,100 | 28% + TU 116 |
| 4,100 - 8,670 | 33% + TU 788 |
| 8,670 - 18,970 | 35% + TU 2,296 |
| 18,970 - 31,000 | 37% + TU 5,901 |
| Over 31,000 | 39% + TU 10,352 |
Non-residents
- The taxation rate is same to resident and only applies to income generated in Colombia
Working Hours
Statutory
47 hours
7/8 hours, 6 days a week
Typical practice
47 hours
Monday - Saturday
Overtime
Up to 2 hours/day, 12 hours/ week
- Daytime: 06:00 - 22:00: 125% normal salary
- Sunday, public holidays 21:00 - 06:00: 175% normal salary
- Night shifts 22:00-06:00 : 135% normal salary
Employment Contract
Permanent
Contract Format
Can be written or verbal in Spanish. Contracts must be written if: there is probation, staff are receiving an integral salary, or any non-salary payments
-
Must be written if contracts contain;
- Fully integrated salary agreements
- Agreements for non-salary payments
- Probation period of the contract
- Remote working agreements
Payroll Currency
COP, USD accepted
Probation
Up to 2 months
Contract Period
No minimum duration
Termination
-
Notice during probation:
- No notice -
Voluntary Resignation:
- 30 days' notice -
Involuntary termination:
- Without cause: No notice
- With cause: 15 days' notice -
Severance (CesantÃas):
- Income under 10 times minimum wage: 30 days salary for each year of service + 20 days salary * (service years -1)
- Income 10 times minimum wage: 20 days salary or each year of service + 15 days salary * (service year -1)
Public Holiday
18 days
Country Level
| Date | Name |
|---|---|
| 01 Jan | New Year's Day |
| 08 Jan | Epiphany |
| 25 Mar | Saint Joseph's Day |
| 28 Mar - 29 Mar | Maundy Thursday |
| 01 May | Labor Day |
| 13 May | Feast of the Ascension of Jesus Christ |
| 03 Jun | Feast of Corpus Christi |
| 10 Jun | Sacred Heart |
| 01 Jul | Saint Peter and Saint Paul |
| 20 Jul | Declaration of Independence |
| 07 Aug | Battle of Boyacá Day |
| 19 Aug | Assumption of Mary |
| 14 Oct | Columbus Day |
| 04 Nov | All Saints' Day |
| 11 Nov | Independence of Cartagena |
| 08 Dec | Feast of the Immaculate Conception |
| 25 Dec | Christmas Day |
Leave
| Leave Type | Entitlement | Notes |
|---|---|---|
| Annual Leave | 15 working days | Staff with 1 year service |
| Sick Leave | 180 working days | All staff |
| Maternity Leave |
18 weeks 1-2 weeks taken before birth |
All expectant mothers |
| Paternity Leave | 2 weeks | All expectant fathers |
| Compassionate Leave | Up to 8 calendar days per event | All staff for marriage and bereavement |
Reference
- https://www.numbeo.com/cost-of-living/country_result.jsp?country=Colombia
- https://data.worldbank.org/indicator/FP.CPI.TOTL.ZG?locations=CO
- https://wageindicator.org/salary/minimum-wage/colombia
- https://www.glassdoor.sg/Salaries/colombia-financial-specialist-salary-SRCH_IL.0,8_IN54_KO9,29.htm
- https://taxsummaries.pwc.com/colombia/individual/other-taxes
- https://www.minsalud.gov.co/Lists/FAQ/Filtro.aspx?Paged=TRUE&p_Pregunta=%C2%BFC%C3%B3mo%20es%20la%20afiliaci%C3%B3n%20a%20la%20EPS%3F&p_ID=680&PageFirstRow=31&SortField=Pregunta&SortDir=Asc&&View=%7B7DBF6F33-EA93-438C-ADBB-99FC9E57C4C4%7D#:~:text=El%20aporte%20total%20al%20sistema,vigente%20ni%20superior%20a%2025.&text=%C2%A1Tener%20en%20cuenta!,-Si%20el%20pensionado
- https://www.lexology.com/library/detail.aspx?g=1ea70f22-7f57-4fb8-a78b-6fb4c5b639f2
- https://www.lexology.com/library/detail.aspx?g=10f201fe-ab95-4f44-bc25-2352ad0184a0
- https://www.funcionpublica.gov.co/eva/gestornormativo/norma.php?i=239298#:~:text=Toda%20trabajadora%20en%20estado%20de,momento%20de%20iniciar%20su%20licencia.
- https://www.alcaldiabogota.gov.co/sisjur/normas/Norma1.jsp?i=153157&dt=S
- https://bogota.gov.co/servicios/guia-de-tramites-y-servicios/licencia-por-luto
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Contact UsCountry Guide - Colombia
Last updated: 20 Aug 2024
Exchange Rate
Currency (COP)
- 1 CNY = 0.185 COP
- 1 USD = 1.32 COP
Other currencies can be retrieved via the country guide link above.
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Labor Cost Calculator
To know the total employer cost for hiring a staff with certain salary, please go to our main site: https://marcopayroll.com
Cost of Living
Indicative value for a working adult in a city: Colombia
Publicly available data (Numbeo, etc..), verified by Marco’s in-country staff
| Living Requirement | Indicative Amount (COP) |
|---|---|
| McDonalds Set Meal | 25,000 |
| Monthly Train and Bus Tickets | 140,130 |
| 3 Bedrooms Rental (City Center) | 2,355,700 |
| 3 Bedrooms Rental (Outskirt) | 1,801,820 |
Current Inflation Rate
5.4%
Wage
Minimum Wages
- 1,300,606 COP per month
Median Salary
Estimated based on general positions such as HR, Accounting, Admin roles, in tier one cities.
| Job Level | Monthly Salary (COP) |
|---|---|
|
Entry-Level
Fresh Graduate
|
2,350,000 |
|
Mid-Level
5 Years
|
2,866,353 |
|
Experienced & Managerial Level
10 Years
|
9,050,000 |
|
Specialized & Senior-Level
15 Years
|
14,200,000 |
Annual Salary Growth
10%
Statutory Contribution
Salary split into 2 categories: Regular and integral.
The Minimum Monthly Wage (SMMV) and all social security contributions are based on the Ingreso Base de Cotización (IBC)
Country Level
| Type | Employer Rates | Employee Rates | Notes |
|---|---|---|---|
| Pension Fund (EPS) |
12% on 25 times SMMV If GDP in past 3 years is higher than 4%, 45 times SMMV |
4% | All staff and cannot exceed 25 times SMMV |
| Pension Solidarity Fund | - |
1%: salary over 4 times minimum monthly salary + 0.2% - 1%- salary over 16 times minimum salary 18,560,000 COP |
All staff |
| Mandatory Health Insurance (POS) |
8.5% Applied on 25 times SMMV |
4% Monthly salary SMMV 1,300,000 10% Monthly salary SMMV 1,300,000 - 3,900,000 12% Monthly salary SMMV over 3,900,000 |
All staff whose income between 10- 25 times SMMV |
| Accident Insurance (Aportes de Riesgos Profesionales) |
0.348% - 8.7% Applied on 25 times SMMV |
- | All staff based on their IBC category 1-6 |
| Payroll Tax |
9% (based on 100% for regular, 70% for integral) |
- | All staff with Income over 10 times SMMV |
| Family Welfare (ICBF) |
3% Applied on 25 times SMMV |
- | All staff with income under 25 times SMMV |
| National Apprenticeship Service (SENA) |
2% Applied on 25 times SMMV |
- | All staff with income over 10 times SMMV |
| Remote Working Allowance | 162,000 COP | - | All staff whit income over 2 times SMMV for 100% remote or hybrid working arrangements |
| Bonus/ Unemployment Insurance (CesantÃa) | 1 month salary per year | - | All full and part time staff |
| 13 Month Salary (Prima) |
15 days salary paid in June 15 days salary paid in December |
- | All full and part time staff |
Other Benefit
Other common employment benefits in Colombia include:
- Additional Health Insurance: 414,700 COP per month
- Postgraduate Study Benefit: Employers cover 50% of the total cost for staff
Income Tax
Residents
-
Taxable income calculated on Tax Unit (TU). 1 TU is 42,412 COP
Taxable period: 1st January - 31st December
Tax file due date: April of the following year
Country Level
| Taxable Income | Rate |
|---|---|
| 0 - 1,090 | 0% |
| 1,090 - 1,700 | 19% |
| 1,700 - 4,100 | 28% + TU 116 |
| 4,100 - 8,670 | 33% + TU 788 |
| 8,670 - 18,970 | 35% + TU 2,296 |
| 18,970 - 31,000 | 37% + TU 5,901 |
| Over 31,000 | 39% + TU 10,352 |
Non-residents
- The taxation rate is same to resident and only applies to income generated in Colombia
Working Hours
Statutory
47 hours
7/8 hours, 6 days a week
Typical practice
47 hours
Monday - Saturday
Overtime
Up to 2 hours/day, 12 hours/ week
- Daytime: 06:00 - 22:00: 125% normal salary
- Sunday, public holidays 21:00 - 06:00: 175% normal salary
- Night shifts 22:00-06:00 : 135% normal salary
Employment Contract
Fixed Term
Used for specific projects or activities
Probation
1/5th of the contract or up to 2 months
Termination
-
Notice during probation:
- No notice -
Involuntary termination:
- Extensions and renewals: 30 days' notice before contract end date, in writing
- Cause with misconduct: 15 days in writing -
Severance (CesantÃas):
- Dismissal without cause: Balance of salary paid until the contracts natural expiry date
- Dismissal with cause: No severance
Permanent
Probation
Up to 2 months
Termination
-
Notice during probation:
- No notice -
Voluntary Resignation:
- 30 days' notice -
Involuntary termination:
- Without cause: No notice
- With cause: 15 days' notice -
Severance (CesantÃas):
- Income under 10 times minimum wage: 30 days salary for each year of service + 20 days salary * (service years -1)
- Income 10 times minimum wage: 20 days salary or each year of service + 15 days salary * (service year -1)
Public Holiday
18 days
2024
| Date | Name |
|---|---|
2025
| Date | Name |
|---|---|
Leave
| Leave Type | Entitlement | Notes |
|---|---|---|
| Annual Leave | 15 working days | Staff with 1 year service |
| Sick Leave | 180 working days | All staff |
| Maternity Leave |
18 weeks 1-2 weeks taken before birth |
All expectant mothers |
| Paternity Leave | 2 weeks | All expectant fathers |
| Compassionate Leave | Up to 8 calendar days per event | All staff for marriage and bereavement |
Reference
- https://www.numbeo.com/cost-of-living/country_result.jsp?country=Colombia
- https://data.worldbank.org/indicator/FP.CPI.TOTL.ZG?locations=CO
- https://wageindicator.org/salary/minimum-wage/colombia
- https://www.glassdoor.sg/Salaries/colombia-financial-specialist-salary-SRCH_IL.0,8_IN54_KO9,29.htm
- https://taxsummaries.pwc.com/colombia/individual/other-taxes
- https://www.minsalud.gov.co/Lists/FAQ/Filtro.aspx?Paged=TRUE&p_Pregunta=%C2%BFC%C3%B3mo%20es%20la%20afiliaci%C3%B3n%20a%20la%20EPS%3F&p_ID=680&PageFirstRow=31&SortField=Pregunta&SortDir=Asc&&View=%7B7DBF6F33-EA93-438C-ADBB-99FC9E57C4C4%7D#:~:text=El%20aporte%20total%20al%20sistema,vigente%20ni%20superior%20a%2025.&text=%C2%A1Tener%20en%20cuenta!,-Si%20el%20pensionado
- https://www.lexology.com/library/detail.aspx?g=1ea70f22-7f57-4fb8-a78b-6fb4c5b639f2
- https://www.lexology.com/library/detail.aspx?g=10f201fe-ab95-4f44-bc25-2352ad0184a0
- https://www.funcionpublica.gov.co/eva/gestornormativo/norma.php?i=239298#:~:text=Toda%20trabajadora%20en%20estado%20de,momento%20de%20iniciar%20su%20licencia.
- https://www.alcaldiabogota.gov.co/sisjur/normas/Norma1.jsp?i=153157&dt=S
- https://bogota.gov.co/servicios/guia-de-tramites-y-servicios/licencia-por-luto
Contact Info
-
Singapore (Headquarters)
8 Marina Boulevard, MBFC Tower 1, #11-01, Singapore, 018981
+65 6653 4334 -
China (Headquarters)
79 Jianguo Road, China Central Place Tower 2, #09-52, Beijing, 100025
+86 10 6580 0555 -
China (Service Center)
23 Dagong Street, Eton Place Tower 2, Unit 1808, Dalian, 116001
-
United States
445 S Figueroa St, 31st Floor, Los Angeles, California, 90071
-
United Kingdom
71 - 75 Shelton Street, London, England GB
-
Netherlands
Vijzelstraat 68, 1017 HL, Amsterdam
-
Australia
Level 22, Salesforce Tower, 180 George Street, Sydney, NSW 2000