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Liechtenstein PEO & Employer of Record

Expand your business into Liechtenstein with or without a local entity

The tiny nation of Liechtenstein, with a population of under 40,000 people, is a surprisingly large draw for foreign investment. This is, in part, due to its central location in Europe, membership of the European Free Trade Association (EFTA), favorable tax laws, and strong economy.

However, the process of expanding into Liechtenstein can take time, with organizations having to follow a range of strict criteria and comply with complex legislation. These things can be very time-consuming and potentially cause a loss of revenue.

A popular way of bypassing the complex administrative procedures is to outsource the legwork to a global professional employer organization (PEO). At Horizons, our comprehensive PEO, employer of record, and payroll services are designed specifically to help businesses of all kinds expand abroad faster and more efficiently, including into Liechtenstein.

With a dedicated in-house recruitment team, we can also help you to find, hire, and onboard new employees in Liechtenstein. If you don’t have an established entity in Liechtenstein, you can even use our local subsidiary as employer of record, giving you all the benefits of hiring in Liechtenstein without any of the complex administration. Our outsourcing services could cut your expansion costs by thousands and give you greater flexibility for your Liechtenstein expansion.

Our Liechtenstein PEO simplifies your expansion

Horizons enables your business to expand its operations into Liechtenstein, without setting up a legal subsidiary.

Rapid Market Entry

Horizons will enable you to source, hire, and onboard professionals across Liechtenstein in as little as 48 hours.

Cost-Effective Expansion

Our PEO solution can help you benefit from cost savings of up to 85%, without the need to establish a Liechtenstein entity.

Payroll Outsourcing

Simplified Liechtenstein salary & payroll processing, including any tax, withholdings, and any other required contributions.

Employee Onboarding

Utilize the relevant provision for all types of Liechtenstein labor contracts, whether a fixed-term or open-ended contract.

Onsite Legal & HR Team

Full support for Liechtenstein-specific contract renewals, terminations, annual leave management, HR, and strategic guidance.

Ensure Full Compliance

We ensure that employment contracts are fully compliant and adhere to Liechtenstein labor laws and best practices.

Hiring in Liechtenstein: Employment law overview

📝 Liechtenstein employment contracts

In Liechtenstein, contracts of employment can technically be verbal or written, but we always recommend putting a formal written contract in place when hiring employees. These contracts should provide all necessary details such as salary, expected duties, and any benefits and entitlements, be written in the German language, and use the local currency of the Swiss franc.

⏰ Working hours in Liechtenstein

The standard working week for employees in Liechtenstein is 45 hours, spread over five days.

📅 Public holidays in Liechtenstein

1 Jan
New Year’s Day
2 Jan
Berchtolds Day
Three King’s Day
2 Feb
25 Feb
19 Mar
St. Joseph’s Day
10 Apr
Good Friday
12 Apr
13 Apr
Easter Monday
1 May
Labour Day
21 May
Ascension Day
31 May
1 Jun
Whit Monday
11 Jun
Corpus Christi
15 Aug
National Day
8 Sep
Nativity of Our Lady
1 Nov
All Saints’ Day
8 Dec
Immaculate Conception Day
24 Dec
Christmas Eve
25 Dec
Christmas Day
26 Dec
St. Stephen’s Day
31 Dec
New Year’s Eve

🏖 Vacation in Liechtenstein

Employees in Liechtenstein are generally entitled to a minimum of four weeks (20 days) of paid vacation leave annually.

😷 Sick leave in Liechtenstein

Generally, employees in Liechtenstein receive sick pay of at least 80% of lost pay when unable to work through sickness. This compensation is paid by the state, and usually starts on the second day of absence up to a limit of 720 days in any 900-day period.

👶 Maternity and paternity leave in Liechtenstein

Female employees in Liechtenstein are entitled to 20 weeks of paid maternity leave, with a minimum of 16 weeks after birth.

💰 Employee severance and terminations in Liechtenstein

Employees in Liechtenstein are usually entitled to a notice period prior to termination from employment. The mandatory notice period varies from one month to three months, depending on the length of service.

Probation periods in Liechtenstein are usually roughly one month long, but may be as long as three months.

🏦 Taxation in Liechtenstein

The income tax system in Liechtenstein is progressive, with employees paying a higher percentage at higher income levels. This national tax, ranging from 0% to 8%, is very low relative to most countries, but there is also a communal tax which makes the actual total tax liability between 2.5% and 22.4%.

The corporate tax rate in Liechtenstein is 12.5%.

🏥 Health insurance in Liechtenstein

Liechtenstein has a public universal healthcare system, and all employees must contribute to national health insurance. For this reason, private insurance is not necessary, although some employers may choose to offer it as a benefit.

💳 Liechtenstein compensations & benefits

Compensation laws in Liechtenstein

There is no mandatory minimum wage in Liechtenstein.

Benefit management in Liechtenstein

Organizing a Liechtenstein benefits system for your employees can be a long and difficult process as a foreign company. You should be prepared to spend a significant amount of time setting up the system and keeping it compliant, which can cause delays in the hiring process.

Outsourcing your Liechtenstein benefits management is a fast, simple, and effective way to get everything up and running in full compliance with federal and provincial laws.

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