Andorra
Andorra is home to some great remote talent. Want to know how you can hire that talent, legally, without wading into months of paperwork and thousands of dollars in fees? In the next few minutes, we’ll teach you.

Country snapshot
CURRENCY
Euro
EMPLOYER TAXES
15.5%
PAYROLL FREQUENCY
Monthly
OFFICIAL LANGUAGE
Catalan
It’s the fastest way to hire globally
Hiring employees takes months, at the minimum. When you hire with Thera's locally-generated contracts, it’s a matter of days or weeks. This means you can hire the best talent, fast, without losing them to a hellish procession of paperwork.
It’s a lot cheaper
It costs just $0 to sign up for Thera, then $25 per month to hire your contractors with Thera. If you hired employees manually (or did contracting on your own), you’d likely be on the hook for thousands of dollars each month. Setting up an entity alone can cost tens of thousands of dollars.
It’s more flexible for you & your team
Can be less risky than hiring employees
Hiring employees is a bigger commitment, and can open you up to increased liabilities and regulations. When you hire contractors overseas, your biggest risk is misclassification—but laws surrounding contractor classification are often significantly more straightforward.
Some people want to be employees
The contractor life isn’t for everyone—some people want the security that being an employee often appears to provide. Though it’s rare, this does happen, and it’s one disadvantage of manage an all-contractor team.
You might not have as much control over your talent
Most countries’ contractor-employer relationship laws stipulate that the employer can’t set fixed working hours, among other things. These laws give contractors more freedom over how and when they do their work than an employee would have. In reality, however, most contractors are willing & able to work on the company’s schedule—it’s a matter of setting expectations beforehand.
Andorra’s a tiny country, but it’s famous for a few things: Great outdoor activities, quaint mountainside villages, and low taxes. As such, it’s a popular place for remote talent to live. Found somebody there you want to hire? On this page, we’ll teach you how to bring that person onto your team—if your company isn’t based in Andorra.
Hire talent as contractors
Hire talent as employees
If you’ve read up until this point, you’ll know that it’s easier, cheaper, and more flexible to hire contractors in Andorra than employees. Still, there are valid reasons why you might want to hire employees instead. The content below is for you—we’ll cover employer taxes and obligations in Andorra.
Employer tax
Social security
Paid Time Off (PTO)
In Andorra, employees are entitled to 30 days of paid yearly vacation in addition to public holidays. More vacation days may be included in employment agreements and collective bargaining agreements.
Employee’s leave is normally scheduled by collective agreement or by agreement between the employer and the employee. If there is no such agreement, the employer schedules the leave, based on the needs of the business. Employees must be notified of when they will receive leave at least 45 days in advance.
Public Holidays
There are 14 public holidays.
Sick Days
Employees are entitled to 12 months of sick leave, which may be extended in six month increments for up to three years. Employees are paid a varied proportion of their salary depending on how much sick leave they require. Salary is determined by the employee's average daily earnings over the previous 12 months of employment, or minimum pay if no earnings are available.
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 adoptions.
The expecting woman can start her maternity leave up to four weeks before the due date. Benefits are provided at 100% of a female employee's average daily wages for the previous 12 months worked out of the previous 24 months.
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. Part of the female employee’s maternity benefit is paid to the father either after birth of the child or after the female employee returns to work.
Paternity Leave
The father receives a portion of the female employee's maternity benefit either after the kid is born or after the female employee returns to work.
Beginning six weeks after the birth, the child's father, or the mother's spouse or partner, has the option of taking the balance of the mother's maternity leave.
Parental Leave
There are no provisions in the Andorra law regarding parental leave.
Other Leave
No Info.
Marriage Leave
No Info.
Bereavement Leave
No Info.
Termination Process
In Andorra, the contract may be terminated in the following circumstances:
- upon the expiration of the term or termination of the work for which the employee was hired; upon mutual agreement of the parties;
- upon the death or permanent disability of the person worker from performing the work contracted;
- upon the death, incapacity, or retirement of the employed person; upon the worker's deprivation of liberty by a court
- upon the worker's declaration of ban.
Notice Period
The notice period is one day for every month of service, up to 90 days. Employment contracts may have a variety of various notice provisions.
Employees are expected to provide their employer between 14 and 30 days notice of their resignation.
Severance Pay
The Severance Pay in Andorra depends on the Duration of Employment:
- If an employee is terminated without cause, he or she is entitled to the equivalent of two months' salary plus one week's pay for each full year of service, if the employee has worked for the employer for up to five years.
- If the employee has worked for more than five years but less than fifteen, he is entitled to three months' salary plus two weeks' pay for each year of service.
- Employees who have worked for their employer for at least 15 years are entitled to six months' salary plus three weeks' pay for each year of service.
Probation Period
Probation period is cannot exceed one month.
Working Hours
The standard work in Andorra is 40 hours over five days.
Overtime
In Andorra, employees overtime is only allowed if a shortage of staff makes it necessary for the available employees to work extra hours, if there is a temporary increase in the business’ activities (e.g., the month of December for a retailer that sells many items related to Christmas), or if other extraordinary circumstances require it.
%5B1%5D.avif)
Run your global workforce on autopilot with Thera
Book a demo to get started.