Employer of Record Brazil

Think of it like this: Agility EOR becomes the legal employer of your employees, taking care of all the paperwork and compliance headaches.

Agility EOR

• We manage the onboarding process and ensure everything’s in order before your employee starts
• We make sure your employees are treated fairly and compliantly in their relevant territory
• We take care of all HR matters, and can answer any and all HR queries you may have e.g. maternity/paternity leave, holidays, sick pay, and more
• We provide compliant contracts, process local payroll, and file taxes
• We issue payslips and handle payments to the employee and authorities

Your Company

• You find and manage your employees’ daily tasks
• You support their development through their work
• You follow our guidance on employment laws and best practices
• You ensure payroll bills are paid to Agility EOR on time

Benefits of using an Employer of Record (EOR)

• Faster and easier hiring: No need to set up your own legal entity.
• Reduced risk and compliance burden: We handle the legal and administrative complexities.
• More time and resources: Focus on your core business while we manage your employees.

There are various ways to employ people in Brazil, each with differing levels of costs and compliance:

Employee is employed by you and paid by you from your overseas Company

• Pros: It seems like the most affordable yet simple choice.
• Cons: The employee won’t be able to make the legally mandated social security contributions, and Brazilian employment legislation will be applicable.

Entity Set-up

• Pros: This may be the least expensive choice if you need to hire a large staff (usually more than 15) for your company.
• Cons: Creating a formal corporate structure and keeping up tight adherence to Brazilian tax and employment laws can be expensive and time-consuming, particularly for smaller businesses. This strategy frequently proves unworkable for companies with fewer than 15 employees.

Using an Employer of Record

• Pros: Employers of Record services are the most efficient and economical way to handle payroll, HR, and compliance duties in Brazil. This is especially true for creating employer-employee relationships with groups of fewer than fifteen workers.
• Cons: Expensive when recruiting large quantities of staff. It can be challenging to decide which Employer of Record supplier to use.

Hire a contractor in Brazil

• Pros: This approach works well when the employee isn’t contracted to your business and can send a stand-in for them on their days off.
• Cons: Hiring a full-time employee who is exclusively committed to your business without obtaining the appropriate employment classification is illegal in Brazil. Such misclassification may result in fines or even criminal prosecution.

Yes, provided that the employee has other jobs, has the autonomy to choose how to complete tasks, and can choose a substitute contractor for when they are not available.

In Brazil, an individual who works only for your business and whose responsibilities are set by your company is considered an employee. Failure to comply with these mandates violating Brazilian employment legislation.

Getting a trade license from the appropriate authorities and registering your company with the Commercial Register are the first stages in starting a business in Brazil. Although the registration process seems straightforward at first, setting up a physical office for tax purposes, opening a bank account in Brazil (which frequently necessitates physical presence), handling payroll software that complies with Brazilian laws, and filing taxes all add complexity to the setup process.

Hiring people in Brazil  means adhering to specific legal obligations. In simpler terms, HR compliance ensures your company strictly follows all employment and work practice regulations.

However, why is it of such significance? HR compliance in Brazil is more than just following the rules; it protects your company and its workers.

Adhering to employment laws ensures that your employees receive equitable treatment, including minimum salary, yearly leave, sick leave, and suitable working hours. This reduces the possibility of financial penalties, legal ramifications, and even litigation resulting from non-compliance, in addition to creating a healthy work atmosphere.

Partnering with Agility EOR as your Employer of Record in Brazil  simplifies tax and social security obligations. We manage all employee-related filings and contributions, ensuring complete compliance, so you can focus on running your business with peace of mind.

Agility EOR takes care of the convoluted legal requirements related to employment in Brazil, but your organization is still in charge of managing your team on a daily basis, resolving performance concerns, enforcing discipline when needed, and promoting a positive work environment through transparency.

Agility EOR handles the legal side of things in Brazil , so you can focus on managing your team and their daily tasks.

In Brazil, both employers and employees contribute to various taxes. Employers are responsible for social insurance, pension, work accident insurance, and additional payments like the 13th-month salary, holiday bonus, and FGTS penalties. Employees pay both social security tax and income tax.

Workers who are employed by a Brazil Employer of Record are given a conventional employment contract along with legal safeguards. This covers relevant tax credits as well as statutory benefits including maternity leave, yearly leave, and sick pay. It’s crucial to remember that everyone living in Brazil is covered by the public healthcare system – not only employees.

Agility EOR takes care of your HR compliance headache:

Trusted Partners: Agility EOR works with top employment specialists and advisers in Brazil. This guarantees that all local legal requirements are properly followed by your employment contracts and other important paperwork.

Comprehensive Knowledge: We keep up-to-date knowledge on all the complex facets of Brazilian employment law, including rules governing remote work, payroll, social security, and data protection.

Quick Action: Our internal staff is there to help and support you as soon as a problem develops.