Hiring in Mexico through an EOR: 21.1% with the aguinaldo inside the base
Summary
Mexican employer cost has two layers: nine lines of social security (IMSS) and housing fund (INFONAVIT), and the aguinaldo, a year-end bonus of at least fifteen days' pay. Until 2026-09-06 this site left the aguinaldo out of the contribution base because it held no statutory source either way. Articles 27 and 30 of the Social Security Law were read, the aguinaldo is in the base, and every employer figure for Mexico rose that day.
One hire at MX$720,000
The base is MX$720,000 of salary plus MX$30,000 of aguinaldo (fifteen days), MX$750,000.
| Line | Rate | On MX$750,000 |
|---|---|---|
| INFONAVIT, housing fund | 5.00% | MX$37,500 |
| IMSS, retirement, old age and severance (CEAV), lowest step | 3.15% | MX$23,625 |
| IMSS, retirement (SAR) | 2.00% | MX$15,000 |
| IMSS, disability and life | 1.75% | MX$13,125 |
| IMSS, sickness and maternity, surplus above 3 UMA | 1.10% | MX$8,250 |
| IMSS, medical costs of pensioners | 1.05% | MX$7,875 |
| IMSS, nurseries and social benefits | 1.00% | MX$7,500 |
| IMSS, cash sickness benefits | 0.70% | MX$5,250 |
| IMSS, occupational risk, legal minimum | 0.54% | MX$4,050 |
| Statutory contributions | MX$122,175 | |
| Aguinaldo, fifteen days | MX$30,000 | |
| Added to the salary | MX$152,175 |
Employer cost MX$872,175, 21.1% above the salary. Every line is capped at 25 UMA, MX$1,069,866 a year, so at MX$1,440,000 the share falls to 16.3%.
Not in this floor. Occupational risk is carried at the legal minimum of 0.54%; the real rate is recalculated each year from the employer's accident record. CEAV is carried at the lowest step, 3.15%, and climbs to 7.51% by salary multiple (which step applies at which salary is unconfirmed on this site). State payroll tax and profit sharing (PTU) are left out because this site holds no figure for either; how a provider handles both belongs in the quote.
Leave. Twelve days in the first year, seven statutory public holidays, and a 25% vacation premium (prima vacacional) on paid leave.
Where Deel's "19.75% to 29.45%" sits
Deel's Mexico hiring page estimates employer cost at "19.75% to 29.45% of employee salary." This site's 21.1% is at the lower end of that band. The ten-point spread most likely reflects the occupational-risk rate and the CEAV step, which move with salary and accident history, and state payroll tax, which varies by state; Deel's page gives no breakdown. This site holds the first two at the statutory minimum and leaves the third out. If a quote arrives near 29%, ask which of those three is pushing it.
The fee, in dollars
| Provider | Published fee, monthly | Year | Checked | Provider site |
|---|---|---|---|---|
| Native Teams | $99, starting | $1,188 | 2026-09-28 | See Native Teams EOR pricing |
| RemoFirst | $199, starting | $2,388 | 2026-09-28 | See RemoFirst EOR pricing |
| Skuad | $199, starting | $2,388 | 2026-09-06 | See Skuad EOR pricing |
| Horizons (RemotePeople) | $199, list | $2,388 | 2026-09-06 | See Horizons EOR pricing |
| Deel | $599, list | $7,188 | 2026-09-06 | See Deel EOR pricing |
| Remote | $699, list | $8,388 | 2026-09-06 | See Remote EOR pricing |
Scroll sideways on a phone.
Pesos and dollars are not added here; convert at your own rate.
Provider terms that matter in Mexico
- Pay in the month of joining. Most of Latin America requires people to be paid in the month they start. If onboarding is not complete by that month's cutoff, around the 15th, Remote moves the start date to the first business day of the next month. Someone who clears onboarding on the 18th starts on the 1st.
- Days to start. Deel's page says "as little as 2 days," one of the shortest figures on any of its country pages.
- Billing the aguinaldo. It is due by 20 December. Some providers accrue it monthly on the invoice, others bill it in December; with the latter, December's cash is a month and a half.
Who can employ in Mexico
| Provider | Mexico on its own pages | Checked |
|---|---|---|
| Remote | Country explorer, Employer of Record listed (no equity line) | 2026-10-01 |
| Deel | Country hiring page | 2026-10-01 |
| Oyster | In the "Hire in" list | 2026-10-01 |
| The other eleven | Not checked |
Links on this page currently go directly to providers without affiliate tracking.
Sources
- Employer cost of hiring in Mexico, on this site (statutory lines, sources per line, read 2026-08-21; base corrected 2026-09-06)
- https://www.diputados.gob.mx/LeyesBiblio/pdf/LSS.pdf (Articles 27 and 30, as read 2026-09-06)
- https://www.deel.com/hiring/employees/mexico/
- https://remote.com/country-explorer
- https://support.remote.com/hc/en-us/articles/40144591668749-What-is-the-payroll-cut-off-for-onboarding-new-hires-on-LATAM-countries
- https://www.oysterhr.com/country-availability
- EOR pricing per employee, by published price, on this site
The nine lines' sources are on the Mexico country page; the correction is in what changed.
Related on this site
- Employer cost of hiring in Mexico in 2026
- The thirteenth month, and the countries that require one
- How soon can your first employee abroad start, and when is the first paycheck?
- What changed
Related on this site
- Hiring in the UK through an EOR: £9,846 of employer cost on £55,000, then the fee
- Hiring in India through an EOR: a 6.1% floor, a gratuity accrual, and a fee that looks large
Written by Kaz, independent publisher. No commercial relationship with the providers named unless it is listed on the disclosure page.
Page last updated 2026-10-02. Sources are listed per figure and labeled statutory or payroll reference. Rates last verified 2026-08-21. This is not legal, tax or payroll advice and we do not file anyone's payroll.
Every formula on this site is written out in full on Method. Ordering is by computed cost, never by what a provider pays us.
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