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Country hiring guide

Hiring in Taiwan ๐Ÿ‡น๐Ÿ‡ผ

Taiwan offers a highly skilled, tech-oriented workforce with clear statutory insurances and a portable labor pension. All-in employer cost runs around 1.17x the gross salary. Here is what to know before your first Taiwan hire.

Calculate a Taiwan hire โ†’
Capital cityTaipei
CurrencyNew Taiwan dollar (TWD)
LanguagesMandarin Chinese
Population~23 million
Payroll frequencyMonthly
VAT standard rate5%
Employer burden*~17% of gross
TGTC flat EOR fee$399/mo ยท Tier A
Overview

Employing in Taiwan

Employment runs under the Labor Standards Act, with mandatory labor insurance, national health insurance, and a 6% employer labor-pension contribution. Written terms and enrolment are required from the start.

Minimum wage

The monthly minimum is about TWD 27,470 in 2024*, with an hourly floor, revised annually.

Payroll cycle & extra pay

Monthly payroll. A year-end bonus around Lunar New Year is customary but not statutory.

Public holidays

Around 12 public holidays a year, with make-up rules when they fall on weekends.

Onboarding & probation

Written terms are standard. There is no statutory probation, though a customary three-month period is common.

Employer costs

What you pay on top of salary

Employer costs sit around 17%, split across the employer shares of labor insurance and national health insurance plus the 6% labor-pension contribution.

Employer contribution*Rate
Labor insurance (employer share)~11.5%*
National health insurance (employer share)~5.17%*
Labor pension (employer)6%
Employment insurance (within labor insurance)included*

Portable pension

The 6% employer labor-pension contribution goes to the employee's individual account, so it is portable across jobs.

Employee-side taxes

Employees pay income tax and their insurance share, withheld at source, with an annual filing. Withholding is the employer's responsibility, which under EOR means ours.

Types of leave

Statutory leave in Taiwan

Annual leave

From 3 days after six months up to 30 days a year with long tenure under the Labor Standards Act.

Maternity leave

Eight weeks of maternity leave, paid by the employer for staff with enough service.

Paternity leave

Several days of paid paternity leave, plus shared parental leave with an insurance benefit.

Sick leave

Up to 30 days of half-paid ordinary sick leave a year, with more for hospitalisation.

Employment termination

Ending employment in Taiwan

Process & notice

Notice runs from 10 to 30 days by tenure, and dismissal requires a statutory ground.

Severance

Severance under the current pension system is about half a month's pay per year of service, capped at six months.

Probation

No statutory probation, though a customary period is used; dismissal still needs a valid ground.

Contractor risk

A contractor working like an employee can be reclassified, with back insurance and pension contributions.

*All figures are estimates from public sources (2025-26), pending ops verification - same basis as the EOR cost calculator. Not tax or legal advice.

Employ in Taiwan without opening an entity

Compliant Taiwan employment contract, payroll, insurances, and labor pension, handled. One invoice, flat $399 per month.

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