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Hiring employees in Colombia: 2026 employer guide

To employ someone in Colombia you pay at least the minimum wage of COP 1,750,905 a month, add pension, health, Caja and ARL contributions, pay prima, cesantías and vacation, and follow the Código Sustantivo del Trabajo. Without a local entity, an Employer of Record such as Flamingo employs them for you.

Rules as of

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At a glance

Minimum wage
COP 1,750,905 a month1provisional, while a court case is pending
Transport allowance
COP 249,095 a month2up to 2 minimum wages
Payroll
At least monthly4
Working week
42 hours6from 15 July 2026
Employer contributions
Pension 12%, Caja 4%, ARL from 0.522%7plus health, SENA and ICBF from 10 minimum wages
Prima and cesantías
One month's salary each a year4plus 12% interest on cesantías
Vacation
15 working days a year4
Probation
Up to 2 months4agreed in writing

Good to know

  • The 2026 minimum wage of COP 1,750,905 a month was set provisionally by Decreto 0159 of 2026 while a court case over the original decree is pending.1
  • Employees earning up to 2 minimum wages get a transport allowance. Teleworkers in that range get a connectivity allowance of the same amount instead.5
  • Prima and cesantías add two months' salary a year, plus 12% a year interest on cesantías.4
  • Below 10 minimum wages (COP 17,509,050 a month) the employer pays no health (EPS), SENA or ICBF contributions.8
  • Contracts are indefinite unless agreed otherwise in writing. Fixed-term contracts can last up to 4 years in total.5
  • Dismissing someone without a just cause means paying an indemnity set by law, and disciplinary dismissals follow a set procedure.4

What changed in 2026

  1. 25 December 2025

    Night work now starts at 7 pm (Ley 2466 of 2025).5

  2. 1 January 2026

    The tax unit (UVT) is COP 52,374 for 2026.3

  3. 1 January 2026

    The transport allowance is COP 249,095 a month (Decreto 1470 of 2025, which was not suspended).2

  4. 13 February 2026

    The Consejo de Estado suspended Decreto 1469 of 2025, which had set the 2026 minimum wage.1

  5. 19 February 2026

    Decreto 0159 of 2026 set the minimum wage at the same COP 1,750,905, provisionally, until the court rules.1

  6. 1 July 2026

    The surcharge for work on Sundays and holidays rose from 80% to 90%. It reaches 100% on 1 July 2027.5

  7. 13 July 2026

    A new public holiday, added by Ley 2578 of 2026. A court challenge to the law has been reported.17

  8. 15 July 2026

    The maximum working week fell from 44 to 42 hours.6

What an employee costs

On top of gross salary, the employer pays social security and payroll contributions, and sets aside prima, cesantías and vacation. The employee's share comes out of their pay.

Employer and employee contributions in Colombia, 2026
ContributionEmployerEmployee
Pension (AFP)12%4%7
Pension solidarity fund (FSP)None1% from 4 minimum wages, rising in steps to 2% above 207
Health (EPS)8.5%, none below 10 minimum wages4%8
SENA2%, none below 10 minimum wagesNone8
ICBF3%, none below 10 minimum wagesNone8
Caja de Compensación4%None9
ARL (workplace risk)class I 0.522%, class II 1.044%, class III 2.436%, class IV 4.35%, class V 6.96%None10
Contributions are counted on salary between 1 and 25 minimum wages (COP 1,750,905 to COP 43,772,625), or on 70% of an integral salary. The health, SENA and ICBF exemption doesn't apply to integral salaries. ARL rates are the starting rate for each risk class.
Mandatory benefits and allowances in Colombia, 2026
BenefitAmountWhen or who
Prima de servicios30 days' salary a yearHalf by 30 June, half by 20 December4
Cesantías1 month's salary a yearPaid into the employee's fund by 14 February11
Interest on cesantías12% a yearPaid to the employee by 31 January12
Vacation15 working days a yearPaid leave4
Transport allowanceCOP 249,095 a monthUp to 2 minimum wages2
Connectivity allowanceSame amount, instead of transportTeleworkers under 2 minimum wages5
Dotación (work clothing)On 30 April, 31 August and 20 DecemberUp to 2 minimum wages, after 3 months of service4
Our estimate includes prima, cesantías, their interest and vacation. The transport allowance is added in your quote.

Monthly estimate at a COP 6,000,000 salary

With Flamingo as the Employer of Record, from our cost calculator.

Gross salary
COP 6,000,000
Employer contributions
COP 991,320
Mandatory benefits
COP 1,309,800
Flamingo fee (flat $599)
COP 2,396,000
Total monthly cost
COP 10,697,120about $2,674

Estimate, not a quote. USD at a fixed reference rate of 1 USD = 4,000 COP, set October 2026.

Try your own salary in the calculator →

Payroll and income tax

Salaries are paid at least monthly. The employer withholds income tax (retención en la fuente) each month using a table in tax units (UVT). One UVT is worth COP 52,374 in 2026.3

Monthly income tax withholding in Colombia, 2026
Monthly taxable income (UVT)In pesos (2026)Tax withheld
0 to 95 UVTCOP 0 to COP 4,975,5300%8
95 to 150 UVTCOP 4,975,530 to COP 7,856,10019% of the amount over 95 UVT8
150 to 360 UVTCOP 7,856,100 to COP 18,854,64028% of the amount over 150 UVT, plus 10 UVT8
360 to 640 UVTCOP 18,854,640 to COP 33,519,36033% of the amount over 360 UVT, plus 69 UVT8
640 to 945 UVTCOP 33,519,360 to COP 49,493,43035% of the amount over 640 UVT, plus 162 UVT8
945 to 2,300 UVTCOP 49,493,430 to COP 120,460,20037% of the amount over 945 UVT, plus 268 UVT8
Over 2,300 UVTOver COP 120,460,20039% of the amount over 2,300 UVT, plus 770 UVT8
Before the table, 25% of income after mandatory contributions is exempt, up to 790 UVT a year (COP 41,375,460). Exempt income and deductions together are capped at 40% of income and 1,340 UVT a year.
  • From 13 minimum wages (COP 22,761,765 a month) you can agree an integral salary that includes benefits. Contributions are then counted on 70% of it, and prima and cesantías aren't paid.4
  • The 2024 pension reform (Ley 2381) is not yet in force.18

Hours, overtime and premiums

Working hours and pay premiums in Colombia
SituationRule or pay
Maximum week42 hours from 15 July 2026 (44 hours before). Spread over 5 or 6 days, in days of 4 to 9 hours6
Night work7 pm to 6 am, with a 35% surcharge5
Daytime overtimeHourly rate + 25%4
Night overtimeHourly rate + 75%4
Overtime limit2 hours a day and 12 hours a week5
Work on a Sunday or holiday90% surcharge from 1 July 2026, 100% from 1 July 20275

Leave

Statutory leave in Colombia
LeaveEntitlement
Vacation15 working days a year4
Maternity leave18 weeks13
Paternity leave2 weeks13
Sick leaveThe employer pays the first 2 days. The health provider (EPS) pays from day 3 to day 180, and the pension fund from day 181 to day 540, under Decreto 1427 of 202214

Public holidays 2026

Colombia has 19 public holidays in 2026, including a new one on 13 July added by Ley 2578 of 2026. Many move to the following Monday under Ley 51 of 1983. Work on a holiday earns the Sunday and holiday surcharge.

Colombian public holidays in 2026
DateDayHoliday
1 JanThursdayAño Nuevo (New Year's Day)15
12 JanMondayReyes Magos (Epiphany)15
23 MarMondaySan José (Saint Joseph)15
2 AprThursdayJueves Santo (Maundy Thursday)15
3 AprFridayViernes Santo (Good Friday)15
1 MayFridayDía del Trabajo (Labour Day)15
18 MayMondayAscensión del Señor (Ascension)15
8 JunMondayCorpus Christi15
15 JunMondaySagrado Corazón (Sacred Heart)15
29 JunMondaySan Pedro y San Pablo15
13 JulMondayVirgen de Chiquinquirá (new, added by Ley 2578 of 2026)16
20 JulMondayDía de la Independencia (Independence Day)15
7 AugFridayBatalla de Boyacá15
17 AugMondayAsunción de la Virgen (Assumption)15
12 OctMondayDía de la Raza15
2 NovMondayTodos los Santos (All Saints' Day)15
16 NovMondayIndependencia de Cartagena15
8 DecTuesdayInmaculada Concepción (Immaculate Conception)15
25 DecFridayNavidad (Christmas Day)15

Probation, contracts and termination

Probation and contracts

  • Probation must be agreed in writing and lasts up to 2 months. For a fixed-term contract under a year, it can't exceed a fifth of the term.4
  • Contracts are indefinite by default. A fixed-term contract is written, can last up to 4 years, and renews unless either side gives 30 days' notice. A contract for a specific job (obra o labor) is also written.5
  • An employee resigning from an indefinite contract gives 30 days' notice.5
  • Disciplinary dismissals follow a mandatory procedure under Ley 2466 of 2025.5

Dismissal without just cause

Indemnity for dismissal without just cause in Colombia
ContractIndemnity
Indefinite, salary under 10 minimum wages30 days' salary for the first year, plus 20 days for each further year4
Indefinite, salary of 10 minimum wages or more20 days' salary for the first year, plus 15 days for each further year4
Fixed-termSalary for the rest of the term4
Obra o labor (specific job)Salary for the time left on the job, at least 15 days4

Worked example: indefinite contract

Monthly salary
COP 6,000,000
Daily salary (÷ 30)
COP 200,000
Service
3 full years
Days owed
30 + 20 × 2 = 70 days
Indemnity
COP 14,000,000

On top of salary owed, prima, cesantías and their interest, and unused vacation.

IP and non-compete

Agree IP assignment and confidentiality in the employment agreement; enforceability of non-competes varies — take local legal advice.

Employer of Record

Employ in Colombia with Flamingo

Flamingo is the legal employer through its local entity in Colombia. We run payroll, file PILA and DIAN remittances, and pay your team, for $599 per employee.

  • Monthly payroll, paid on the last day of the month
  • Prima, cesantías and interest on cesantías in your monthly cost
  • An e-signed employment agreement, with Flamingo signing as the employer

How Employer of Record works →See pricing →

Flamingo fee, per employee per month

$599

Flat, whatever the salary

Estimate the cost

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Hiring in Colombia: questions

What is the minimum wage in Colombia in 2026?

COP 1,750,905 a month. It was set provisionally by Decreto 0159 of 2026 after the original decree was suspended, and applies while the court case is pending. Employees earning up to 2 minimum wages also get a transport allowance of COP 249,095 a month.

How much does it cost to employ someone in Colombia?

Gross salary, plus the employer's pension (12%), Caja (4%) and ARL contributions, health (8.5%), SENA and ICBF from 10 minimum wages, and prima, cesantías, their interest and vacation. Through Flamingo, add $599. For a COP 6,000,000 monthly salary that's about COP 10,697,120 a month ($2,674 at our reference rate).

What are prima and cesantías?

Prima de servicios is 30 days' salary a year, paid half by 30 June and half by 20 December. Cesantías are one month's salary a year, paid into the employee's severance fund by 14 February, with 12% a year interest paid to the employee by 31 January.

How many hours is the working week?

42 hours from 15 July 2026, down from 44. Night work runs from 7 pm to 6 am, and overtime is limited to 2 hours a day and 12 a week.

How long can probation last?

Up to 2 months, agreed in writing. For a fixed-term contract under a year, no more than a fifth of the term.

What does it cost to dismiss someone without just cause?

On an indefinite contract under 10 minimum wages, 30 days' salary for the first year plus 20 days for each further year. For a COP 6,000,000 salary and 3 years of service that's COP 14,000,000. Fixed-term contracts pay the rest of the term.

How many public holidays does Colombia have in 2026?

19, including a new holiday on 13 July added by Ley 2578 of 2026.

Sources

Rules as of . Numbers in the text link here.

  1. 1.Decreto 0159 de 2026 (Ministerio del Trabajo): provisional 2026 minimum wagedapre.presidencia.gov.co
  2. 2.Decreto 1470 de 2025: transport allowance for 2026cancilleria.gov.co
  3. 3.DIAN Resolución 000238 de 2025: UVT for 2026cijuf.org.co
  4. 4.Código Sustantivo del Trabajosecretariasenado.gov.co
  5. 5.Ley 2466 de 2025 (labour reform)secretariasenado.gov.co
  6. 6.Ley 2101 de 2021 (shorter working week)secretariasenado.gov.co
  7. 7.Ley 100 de 1993 (social security)secretariasenado.gov.co
  8. 8.Estatuto Tributario (Arts. 114-1, 206, 336, 383)secretariasenado.gov.co
  9. 9.Ley 21 de 1982 (Cajas de Compensación Familiar)funcionpublica.gov.co
  10. 10.Decreto 1772 de 1994: ARL contribution tablefuncionpublica.gov.co
  11. 11.Ley 50 de 1990 (cesantías funds)funcionpublica.gov.co
  12. 12.Ley 52 de 1975 (interest on cesantías)suin-juriscol.gov.co
  13. 13.Ley 2114 de 2021 (maternity and paternity leave)funcionpublica.gov.co
  14. 14.Decreto 1427 de 2022: sick leave benefitsminsalud.gov.co
  15. 15.Ley 51 de 1983 (public holidays)funcionpublica.gov.co
  16. 16.El Tiempo: the new holiday under Ley 2578 de 2026eltiempo.com
  17. 17.Portafolio: the 13 July holiday stands while a challenge is pendingportafolio.co
  18. 18.Cuatrecasas: Constitutional Court suspends the pension reform's entry into forcecuatrecasas.com

General information, not legal advice. Laws change; check the sources or ask us before acting.

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