Costa Rica

Last Update by , 20 Aug 2024

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Exchange Rate

22 Jan 2025

 

Cost of Living

Indicative value for a working adult in a city: San Jose

Publicly available data (Numbeo, etc..), verified by Marco’s in-country staff

Living Requirement Indicative Amount (CRC)
McDonalds Set Meal 2,772
Monthly Train and Bus Tickets 18,675
3 Bedrooms Rental (City Center) 636,173
3 Bedrooms Rental (Outskirt) 454,139

Current Inflation Rate

2.31%

Wage

Minimum Wages

  • Daily:
    - Unqualified 11,953.65 CRC
    - Semi-Qualified 12,998.72 CRC
    - Certified 13,448.72 CRC
    - Specialised 15,613.91

  • Monthly:
    - Unqualified 385,609.50 CRC
    - Semi-Qualified 389,961.60 CRC
    - Certified 422,798.93 CRC
    - Specialised 521,053.17 CRC

Median Salary

Estimated based on general positions such as HR, Accounting, Admin roles, in tier one cities.

Job Level Monthly Salary (CRC)
Entry-Level
Fresh Graduate
 949,000
Mid-Level
5 Years
 2,270,000
Experienced & Managerial Level
10 Years
 3,000,000
Specialized & Senior-Level
15 Years
 3,860,000

Annual Salary Growth

6%

Statutory Contribution

Country Level

Type Employer Rates Employee Rates Notes
Health and Maternity (SEM) 9.25% 5.50% All staff
Banco Popular Fee 0.25% 1.00% All staff
Basic Pension Scheme (IBM) 5.42% - All staff
Disability, Old Age and Death Benefits (IVM) - 4.17% All staff
Contribution to Banco Popular (Employer only) 0.25% - All staff
Family Allowance 5.00% - All staff
Mixed Institute for Social Assistance (IMAS) 0.50% - All staff
Training Fund (INA) 1.50% - All staff
Labour Capitalisation Fund 1.50% - All staff
Complementary Pension Fund‎ 2.00% - All staff
National Insurance Institute (INS) 1.00% - All staff
Year-End Bonus (Aguinaldo): 1 Month salary paid in December
Average pay from last December to following November 		All staff

Other Benefit

Other common employment benefits in Costa Rica include:

  • Cell Phone Allowances: Up to 43,000 CRC per month
  • Internet Allowances Around 25,000 CRC per month

Income Tax

Residents

  • Tax period: 1st January - 31st December
    Filing Due Date: October the following year

Country Level

Taxable Income Rate
Up to 929,000 0%
929,000 -1,363,000 10%
1,363,000 - 2,392,000 15%
2,392,000 - 4,783,000 20%
Over 4,783,000 25%

Non-residents

  • Non-residents are taxed on income from Costa Rican sources

Working Hours

Statutory

48 hours
8 hours a day, 6 days a week

Typical practice

48 Hours
Monday - Saturday

Day Shift: 05:00 - 19:00
Night Shift 07:00-17:00: 42 Hours a week 7 hours a day, 6 days a week

Overtime

  • After standard daily hours: 1.5 * base salary
  • Holidays and Sunday: 2* base salary

Employment Contract

Fixed-Term

For occasional, seasonal activities and piece work

Contract Format

Can be verbal or written in Spanish or English. Written contracts must be signed by both parties and issued within a month of the employment start date

Payroll Currency

CRC, USD accepted

Probation

Up to 3 months

Contract Period

Up to 1 year and up to 5 years if staff are required to undergo special technical training

Termination

  • Notice during probation:
    - None required
  • Voluntary Resignation and Involuntary Termination:
    - 0-3 months service: No notice
    - 3-6 months service: 1 week
    - 6 months-1 year service: 15 days
    - Over 1 year service: 1 month
  • Severance:
    - Applies to all staff for dismissal without cause
    - 3 - 6 months' service: 7 days salary
    - 6 months - over 1 year service: 14 days salary
    - 1 year service: 19.5 days' salary per year worked
    - 2 years service: 20 days' salary per year worked
    - 3 years' service: 20.5 days' salary per year worked
    - 4 years' service: 21 days' salary per year worked
    - 5 years' service: 21.24 days' salary per year worked
    - 6 years' service: 21.5 days' salary per year worked
    - 7, 8 and 9 years' service: 22 days' salary per year worked
    - Salary is an average of the previous 6 months and capped at 8 years' service

Public Holiday

9 days

Leave

Leave Type Entitlement Notes
Annual Leave 12 days per year All staff with 50 weeks continuous service
Sick Leave 3 working days All staff with 1 month social security contributions
Maternity Leave 4 months -1 month before birth, 3 months after
45 days for abortions 		All expectant mothers
Paternity Leave 8 working days
2 working days per week, for 4 weeks after birth 		All biological fathers
Adoption Leave 3 months for 1 parent
1.5 months if leave is shared 		All staff with proof of adoption

Reference

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