Setting up and managing payroll in Bosnia and Herzegovina
If your organization is planning an expansion into Bosnia and Herzegovina, an early part of the process is likely to be registering an official entity in the country, as well as setting up payroll and hiring employees. However, this can regularly take longer than expected, with complex administrative procedures and unique business laws that can stall progress.
One way to bypass the process of setting up a payroll in Bosnia and Herzegovina is to outsource the complex administrative work and ongoing management. At New Horizons, we will establish and run your Bosnia and Herzegovina payroll, ensuring full compliance with local legislation. Our outsourcing services are perfect for organizations with or without a Bosnia and Herzegovina-based entity.
If you have an entity
If your organization already has an entity registered in Bosnia and Herzegovina, then we can help you by setting up and managing your in-country payroll. We’ll ensure everything is in full compliance with Bosnia and Herzegovina legislation and ready to go as quickly as possible, so you don’t have to worry about the complex details and can focus on your expansion.
If you don’t have an entity
If your company does not have an established entity in Bosnia and Herzegovina, we can recruit your new workforce through our Bosnia and Herzegovina subsidiary. This service enables your organization to bypass the long and complex process of establishing an entity. Additionally, we can provide our standard payroll and setup service to help you focus solely on a successful expansion into Bosnia and Herzegovina.
The simplest way to expand into Bosnia and Herzegovina
Bosnia and Herzegovina payroll guide
What are payroll tax and withholdings rules in Bosnia and Herzegovina?
Social security contributions vary depending on the local authority. In FiBH, employees must pay 31% of salary and employers contribute 10.5%. In RS, employees contribute 33% and employers contribute 10.5%.
Income tax in Bosnia and Herzegovina is 10% for the majority of employees across all entities.
Entitlements and terminations
In FiBH, employees are entitled to between 14 days and three months of notice prior to termination. In RS, employees are entitled to a minimum of 60 days of notice. Severance in FiBH is generally paid for employees of more than two years and should be at least one-third of the employee’s monthly salary per year of service.
How to establish a Bosnia and Herzegovina payroll
One option for your payroll in Bosnia and Herzegovina payroll is to establish it internally. This can be a viable choice for larger organizations looking to build a long-term presence in the country, but it can also be very expensive and can cause delays.
We can also take care of the payroll setup and management, as well as any HR, legal compliance, contracts, and more. This flexible and tailored service is designed to help you successfully expand into Bosnia and Herzegovina without delays.
Your all-in-one solution for payroll outsourcing and Bosnia and Herzegovina expansion
New Horizons’ Bosnia and Herzegovina payroll, PEO, and employer of record services can help your business to quickly and compliantly begin trading in Bosnia and Herzegovina, whether or not you already have an established entity in the country. This allows your business to begin your operations in Bosnia and Herzegovina in as little as 48 hours and could save as much as 82% in expansion costs.
Our experts can also handle your company’s payroll, benefits, and expenses in Bosnia and Herzegovina, as well as HR, tax compliance, and more. And as the only global PEO with an in-house recruitment team, New Horizons can also take care of the sourcing, recruiting, and onboarding of your Bosnia and Herzegovina employees.