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Payroll in Paraguay
Payroll in Paraguay runs in PYG on a usually monthly cycle, with statutory employer contributions and mandatory aguinaldo based on annual remuneration. Gracemark operates it end-to-end, humans, not tickets.
Currency
PYG, Paraguayan guaraní
Payroll cycle
Usually monthly
Working week
Generally up to 48 hours
Minimum wage
National minimum wage is adjusted periodically; use the current MTESS resolution
13th-month
Mandatory aguinaldo based on annual remuneration
Employer cost
IPS employer contribution is generally 16.5% of covered payroll, before aguinaldo, leave and other items
Probation
Role-dependent statutory trial periods commonly range from 30 to 90 days
Notice period
Notice and severance increase with tenure and depend on legal cause
Two ways to run payroll in Paraguay
Own-entity payroll
For long-term presence in Paraguay. Gracemark manages statutory filings, pay runs, and year-end reporting under your entity, with a named operator on South America time.
EOR-run payroll
No entity in Paraguay? Employ and pay talent under Gracemark's local infrastructure via EOR, onboard in 2–3 weeks (eor), no local incorporation.
Compliance essentials in Paraguay
- Aguinaldo (13th salary) is mandatory and paid in December
- IPS social security is the core employer contribution
- Leave rises with length of service
- Young, cost-effective and growing labor force
- US Eastern-time overlap for nearshore roles
Get a payroll quote for Paraguay
Send your headcount and salary band. We reply with employer burden, net-to-gross, and setup timeline, no sales scripts.
Deeper guide
Hiring guide: Paraguay →
Employ without entity
EOR services →
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Global payroll overview →