Payroll Cycle
Minumum Wage
Overtime Pay
Visa Immigration

Talent Wiki - Brazil

Your quick guide on talent and labor compliance norms in Brazil
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Capital
Brasilia
Currency
Brazilian Real (BR)
Languages
Portuguese, Spanish, German
Payroll Frequency
Fortnightly or Monthly
GDP per Capita
$11,200
Employer Tax
28 % - 30.5 %

Supplementary Guide for Employment and Expansion in Brazil

Talent Overview

Brazil, the world's sixth most populous country, has the third-largest economy among the North and South American countries. The Global Innovation Index (GII), providing insights into the innovation and performance of economies worldwide, ranks Brazil in 57th position. Brazil has 67% of the GDP coming from the service sector.

Major economic hubs:

São Paulo, Rio de Janeiro, Salvador, Fortaleza

Skills in demand :

Financial sector, Banking, public relations, medical professionals

Local Universities

The top local universities in Brazil include the following:

Universidade de São Paulo USP

RANKING

Local : 1

World : 69

Universidade Estadual de Campinas UNICAMP

RANKING

Local : 2

World : 231

Universidade Federal do Rio de Janeiro

RANKING

Local : 3

World : 267

Universidade Estadual Paulista Júlio de Mesquita Filho

RANKING

Local : 4

World : 308

Universidade Federal de Minas Gerais UFMG

RANKING

Local : 4

World : 364

Salary Data

Some top jobs in Brazil along with their monthly salary are listed below:

Job Title Average Salary (in BRL) Average Salary (in USD)
Financial Analyst 11,500 2,293.35
Business Analyst 10,600 2,113.95
HR Manager 12,700 2,532.76
Developer/Programmer 8,790 1,754.27
Project Manager 10,000 1,995.75
Network Engineer 7,480 1,492.82
Accountant 5,920 1,181.68

Talent Sourcing Tips

Top Local Job Boards:

Trabalhabrasil, Vagas, Catho, Buscojobs

Number of LinkedIn users:

49 million

Top Recruitment Agencies:

Huxley, Foxtime, BDR, HProjekt

Employing in Brazil

The Brazilian labor laws are protective of employees. In Brazil, all companies and employees are mandatorily represented by unions. Read forward to know more about employment in Brazil.

Employee Contract

Employment agreements are mostly for an indefinite duration and only in specific conditions were fixed-term agreements made. All employment contracts should be made in the Portuguese language.

Probation Period

The usual probationary period followed in Brazil is 45 to 90 days.

Public and Provincial Holidays

Date Name Type
1 Jan New Year's Day National Holiday
28 Feb Carnival Monday Government Holiday
1 Mar Carnival Tuesday Government Holiday
2 Mar Carnival end (until 2pm) Government Holiday
15 Apr Good Friday National Holiday
21 Apr Tiradentes Day National Holiday
1 May Labor Day / May Day National Holiday
16 Jun Corpus Christi Government Holiday
7 Sep Independence Day National Holiday
12 Oct Our Lady of Aparecida / Children's Day National Holiday
28 Oct Public Service Holiday Government Holiday
2 Nov All Souls' Day National Holiday
15 Nov Republic Proclamation Day National Holiday
24 Dec Christmas Eve (from 2pm) Government Holiday
25 Dec Christmas Day National Holiday
31 Dec New Year's Eve (from 2pm) Government Holiday

Employee Leaves

Type of Leave Time Period Mandatory
Annual/Earned Leave 30 days Yes
Sick Leave 15 days Yes
Maternity Leave 16 weeks Yes

Payroll

Payroll Cycle

The Brazilian labor code establishes salary to employees be made in Brazilian currency and has to be paid at least once a month. Mostly the payments are provided fortnightly or monthly as per the employment agreement.

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Minimum Wage

As of 2022, the minimum wage in Brazil is 1212 BRL, or 245.41 USD.

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Overtime Pay

Overtime is restricted to a maximum of 2 hours per day. It is paid at an additional rate of at least 50% of the normal salary.

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Health Examination Clause

Bonus

13th Month Pay

It is mandatory to provide employees an additional month’s salary at the end of the year, called the 13th month salary. It is paid in two equal installments, the first by November 30th and the second by December 20th.

Employee Benefits

The following benefits are available to the employees in Brazil:

  • ~Non-mandatory private health insurance
  • ~Maternity leave
  • ~Paternity leave
  • ~Holiday/vacation bonus
  • ~13th month pay
  • ~Severance pay
  • ~Transportation voucher
  • ~Daycare assistance
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Taxes

Employer Payroll Tax

Payroll category Contribution %
Social Security 20-22.5%
Employees Severance Indemnity

Fund

8%

Employee Payroll Tax

Payroll Category Contribution %
Social Security

(with a maximum of 828.38 BRL per month)

7.50% to 14.00%

Employee Income Tax

Income at or over (BRL) Up to (BRL) Tax rate (%) Deductible tax amount (BRL)
0 1,903.98 Exempt 0
1,903.99 2,826.65 7.5 142.80
2,826.66 3,751.05 15.0 354.80
3,751.06 4,664.68 22.5 636.13
4,664.68 and above 27.5 869.36

VAT

The standard VAT rate in Brazil is 17%, although it varies between 12% to 25%, depending on the states.

Offboarding & Termination

Termination Process

In Brazil, employment can be terminated at any time without stating the cause, provided the notice period is followed (or instead payment) and adequate severance is paid. Termination must be communicated in written form, duly signed, and dated.

Notice Period

The notice period for both probationary and permanent employees in Brazil is 30 to 90 days.

Severance Pay

Employees' severance pay is mandatory but depends on the type of termination process.

Visa and Immigration

Non-Brazilian nationals require the following documents:

  • ~Residence permit
  • ~Work Visa
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