All About Offering Employee Benefits in Costa Rica
Hire the best talent in Costa Rica with the information you need to offer a competitive benefits package and stay compliant.
Required Benefits in Costa Rica
Competitive benefits and compensation packages are essential for attracting top talent and ensuring compliance when hiring in Costa Rica. Justworks EOR offers guidance to help you access localized benefits and provide attractive perks. Let's explore the key benefits employers should offer.
Social Security
Employers in Costa Rica typically contribute 26.67% of each employee’s base income to the Social Security Administration. Employers must also withhold a portion of the employee’s salary, based on income, for social security payments that cover benefits like various health insurance, maternity leave, disability, and worker’s compensation.
Time Off
Costa Rican employees receive 12 public holidays off per year. Additionally, employees are entitled to at least two weeks of paid leave after 50 weeks of continuous employment. Paid leave is limited to one day per month for employees who have worked less than 50 weeks.
Offer Competitive Benefits
A comprehensive employee benefits package can help employers attract the best talent in Costa Rica. Here are additional benefits to consider for a happier and healthier team.
Retirement Benefits
Retirement benefits are mandatory and offered by the Costa Rican Social Security Fund. Providing your employees with an additional pension plan is a great way to reward them for their hard work. Many employers will opt to match employees' contributions to social security, similar to a 401K in the US or a CashISA in the UK.
Perks
Some employers offer additional perks to help employees maintain a healthy balanced lifestyle. These include flexible hours, professional development funds, birthday paid time off, volunteering days, fitness benefits, meal expenses, and mental health stipends.
Life Insurance
Many employers offer life insurance, which provides an employee’s dependants and spouses compensation after the employee’s death. The amount usually equals four times the base salary, depending on the sector.
Transportation Stipends
Transportation in Costa Rica can be expensive, so many employers offer employees transportation stipends for their daily commute.
Remote Work Stipends
Employers with remote workers or who are considering a hybrid or remote work environment may want to offer home office stipends or reimbursement. Providing a stipend for internet, electricity, or phone costs can offset the cost of working at home while giving employees more flexibility.
Ready to Offer Benefits in Costa Rica?
Justworks EOR makes building your global team seamless by helping you access localized benefits to attract top talent in Costa Rica. Simplify international hiring today.
