Employer of Record services

An Employer of Record is a third-party service provider that legally employs workers on behalf of another company. Serving as the official employer, the EOR manages administrative and legal responsibilities, including payroll, tax compliance, benefits, and HR support. Meanwhile, the client company retains control over the employee's daily tasks and operations.

The cost of an Employer of Record typically depends on factors like the country of employment, the services provided, and the number of employees managed. EORs generally charge a monthly fee per employee, which can be a flat rate or a percentage of the employee's salary. While fees vary widely, EOR services are often more cost-effective than establishing a local entity, as they save businesses from dealing with complex legal, tax, and administrative requirements in foreign markets.

Playroll’s EOR fees start from $399 p/month, per employee.

An Employer of Record provider assumes several key responsibilities for a business, including managing payroll, ensuring compliance with local labor laws, handling employee benefits, taxes, and social security contributions, and administering contracts for remote workers. The EOR also takes care of onboarding and offboarding employees, managing HR-related tasks, and providing support for employee welfare.

Using Playroll’s Employer of Record services provides businesses with a streamlined solution to manage international employment without the time and cost needed to establish a legal entity in a foreign country. This also mitigates the risks associated with navigating complex legal frameworks in multiple jurisdictions.

EORs help companies to quickly and efficiently expand into new markets, hire global talent, and scale their workforce while focusing on core business operations. They simplify processes such as onboarding, terminations, and compliance management, offering a cost-effective and low-risk approach to global workforce expansion.

Playroll stands out among international EOR services by offering all the core advantages businesses expect – such as compliance management, payroll processing, and benefits administration – at a cost-effective price point compared to most competitors. What sets Playroll apart is its commitment to flexibility and tailored solutions, ensuring that each client’s unique needs are met without compromising on quality or efficiency.

In addition to its competitive pricing, Playroll provides personalized support at no extra cost, delivering a level of service that many providers charge premiums for. This hands-on approach allows businesses to navigate international expansion with confidence, knowing they have a dedicated partner to address challenges and streamline processes

Yes, you can hire international workers directly without an Employer of Record, but it requires establishing a legal entity in their country to comply with local employment laws, taxes, and regulations. This can be complex, time-consuming, and expensive, making an EOR a simpler alternative for managing compliance and payroll across borders.

You should use an Employer of Record when you want to hire international workers quickly without setting up a local entity, ensuring compliance with local labor laws, taxes, and payroll. It's ideal for testing new markets, managing remote teams in multiple countries, or scaling globally while avoiding the complexities and costs of establishing foreign subsidiaries.

An Employer of Record ensures compliance with local labor laws by acting as the legal employer, managing employment contracts, taxes, benefits, and payroll according to local regulations. They stay updated on legal changes, reducing the risk of fines or legal issues, and handle complexities like termination rules, leave policies, and statutory contributions, so you can focus on your business.