Cambodia, officially known as the Kingdom of Cambodia, is a southeast Asian country located in the southern part of the Indochina Peninsula that borders the Gulf of Thailand. The country's large population...
Read MoreCambodia, officially known as the Kingdom of Cambodia, is a southeast Asian country located in the southern part of the Indochina Peninsula that borders the Gulf of Thailand. The country's large population around 16 million and thriving export industries such as textiles, vehicles, natural rubber, and fish make it a great place for companies looking to expand to Asia.
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Cambodia, officially known as the Kingdom of Cambodia, is a southeast Asian country located in the southern part of the Indochina Peninsula that borders the Gulf of Thailand. The country’s large population around 16 million and thriving export industries such as textiles, vehicles, natural rubber, and fish make it a great place for companies looking to expand to Asia.
Globalization Partners can help your company expand faster without the stress of compliance. We offer Cambodia payroll outsourcing services through our Employer of Record solution. When you choose us, we’ll add your employees to our locally compliant payroll and shoulder all compliance. With our help, you can have employees working on your behalf in days rather than spending weeks setting up the structures needed to hire Cambodian employees.
Cambodian companies are responsible for a corporate tax rate of 20%, as well as other taxes depending on your location and industry. Employers also have to pay 0.8% of your employees’ monthly wages to social security. Employees do not pay into social security, but they do need to pay personal income taxed progressively up to 20%. As an employer, you’re responsible for withholding taxes at the source and making Tax on Salary declarations no more than 15 days after the previous month’s end.
You have multiple different Cambodia payroll options to choose from, including:
Companies looking to set up their Cambodia payroll must start by registering with the Ministry of Commerce and receiving a certificate of incorporation as well as a license. Other steps include:
It can take a total of three months or more to register your Cambodia payroll. Plus, you have to establish a subsidiary in the country before undertaking any of these steps. Globalization Partners can take that time down to a few days. We can hire employees on your behalf, help them become productive sooner, and provide Cambodia payroll outsourcing services for peace of mind.
We recommend including entitlement and termination terms in an employment contract before setting up your Cambodia payroll and hiring employees. Cambodia lets employees terminate indefinite-term contracts for any reason, but employers need a valid reason related to the employee’s ability to do the work or the company’s economic factors. You need to give termination notice in writing, and employees are typically entitled to severance pay of at least 5% of wages received during their contract.
If you’re ready to expand to Cambodia, let Globalization Partners help. Contact us today to learn more about Cambodia payroll outsourcing.
If you’re ready to grow your business, or you have questions about a specific country, complete the form. One of our experts will be in touch shortly.
