The Hardest Market · Colombia

Colombia's HR data

The rules and costs of employing people in Colombia (Bogotá), from official sources, in English and Japanese.

41.9%women in management (2025, ILO)

1.30×employer's total cost on COL$12,000,000 a month, as a multiple of salary

18public holidays (2026)

Take-home pay calculator Japan take-home pay

Employment rules

Statutory annual leave	15 working days
Public holidays (2026)	18 days
Notice of dismissal	None for at-will dismissal (indemnity instead)
Severance required by law	30 days + 20/year (below 10 SMMLV)
Typical negotiated exit	No official benchmark
Probation	Up to 2 months
Working hours	42 h/week (from 15 Jul 2026)
How hard is dismissal?	Moderate: at will with statutory indemnity; protected groups

Employer contributions

Pension, employer	12%	up to COL$525,271,500 a year
Health, employer (8.5%; exemption below 10 SMMLV not modelled)	8.5%	up to COL$525,271,500 a year
SENA and ICBF (5%; exemption below 10 SMMLV not modelled)	5%
Family compensation fund (caja de compensación)	4%
Occupational risk insurance (ARL), class I	0.52%	up to COL$525,271,500 a year

Employee contributions

Pension, employee	4%	up to COL$525,271,500 a year
Health (EPS), employee	4%	up to COL$525,271,500 a year
Pension solidarity fund	1%	up to COL$525,271,500 a year

Take-home pay and employer cost by monthly salary

Monthly salary	Employee contributions	Income tax	Take-home	Employer cost	Cost ÷ salary
COL$8,000,000	COL$720,000	COL$92,049	COL$7,187,951	COL$10,401,760	1.30×
COL$12,000,000	COL$1,080,000	COL$617,232	COL$10,302,768	COL$15,602,640	1.30×
COL$18,000,000	COL$1,620,000	COL$1,945,005	COL$14,434,995	COL$23,403,960	1.30×
COL$25,000,000	COL$2,250,000	COL$3,761,450	COL$18,988,550	COL$32,505,500	1.30×

Employee in Bogotá, Colombian national and tax resident, single with no dependants, indefinite contract on an ordinary salary (not salario integral), paid evenly each month with no prima, bonus or benefits, calendar year 2026. Contributions: pension 4%, health 4% and the pension solidarity fund 1% (pay of 4 SMMLV or more), on pay up to 25 SMMLV. Income tax shown as the employer's monthly withholding (retención en la fuente, procedure 1, art. 383 Estatuto Tributario) × 12: mandatory contributions excluded, then the 25% exempt labour income capped at 790 UVT a year, with no other deductions (dependants, prepaid health, mortgage interest, voluntary pension). UVT 2026 COP 52,374; SMMLV 2026 COP 1,750,905.

Sources: [1] [2] [3] Checked 2026-11-08; 2026 rates.