Country Payroll Guide Andorra

We deliver secure, compliant, accurate and touchless global payroll for Andorra.

Get in touch
Andorra image

Key Facts

Capital
Andorra la Vella
Date format
dd/mm/yyyy
Currency
Euro (EUR)
VAT
the standard rate is 4.5%

Contributions

Employers

CASS (Caixa Andorrana de Seguretat Social)
CASS (Caixa Andorrana de Seguretat Social) - 15.5%
Total Employment Cost
Total Employment Cost - 15.5%

Employees

CASS (Caixa Andorrana de Seguretat Social)
CASS (Caixa Andorrana de Seguretat Social) - 6.5%
Total Employee Cost
Total Employee Cost - 6.5%

Minimum Wage

Minimum Wage
The minimum wage in Andorra is 6.47 EUR per hour.

Payroll

Payroll Cycle
Monthly

Income Tax

Employee Income Tax (1)
0 – 24,000 EUR - 0%
Employee Income Tax (2)
24,001 – 40,000 EUR - 5%
Employee Income Tax (3)
Over 40,000 EUR - 10%

Working Hours

General Working Hours

40 hours per week.

Overtime

12 hours of overtime.

Leave

Paid Time Off

Every employee is entitled to 30 days of annual paid leave.

Public Holidays

14 public holidays.

Sick Days

Employees who have worked at least one year of continuous employment are allowed eight days of paid sick leave per year.

Maternity Leave

Female employees receive 20 weeks of paid maternity leave and two additional weeks for each additional child in the event of multiple births or adoption. Benefits are paid at 100% of the female employee’s average daily earnings, based on the last 12 months worked of the 24 months prior to leave.

Paternity Leave

Fathers are entitled to 14 days of paternity leave at full pay.

Parental Leave

Female employees are entitled to 16 weeks of maternity leave at full pay. Fathers are entitled to 14 days of paternity leave at full pay. Mother of the child can transfer some leave entitlement after she has used six weeks.

Termination

Termination Process

Employers in Andorra can terminate employees with or without cause.

Notice Period

One day of notice for every month worked for employer, up to a maximum of 90 days. These notice periods do not apply for workers in a probation period, which range from one month to three months depending on the seniority.

Probation Period

Probation is a maximum of two months. An extension of the probationary period for another 4 months can be applied under certain conditions.

Visa

Employment Visa

To apply for a work permit one of the following is required:

  • Create a company or business in Andorra
  • Own more than 10% of an existing company in Andorra
  • Be a founder of a company, or holds the position of CEO, or member of the board of directors of a company in Andorra
  • Directors and managers will obtain residence immediately. The company must have a service or commercial activity, or another type of activity, and have at least 10% of the shares.
  • Self-employment residency is an option for people who want to work freelance in Andorra and spend at least 183 days there without counting holidays and business trips, not having the need to make a security deposit in the government of Andorra.